Financial Derivatives (932N1)

15 credits, Level 7 (Masters)

Spring teaching

On this module, you’ll explore today’s coverage of the main parts of financial derivatives.

You’ll cover:

  • an overview of the mechanics of futures markets
  • the hedging strategies using futures
  • the determination of forward and futures prices
  • the mechanics of options markets
  • applications of risk-neutral pricing in different asset markets
  • the use of AI tools to evaluate derivatives strategies
  • the cornerstone of financial derivatives, such as the Black-Scholes-Merton Model
  • the applications of implied volatility in financial markets.

Teaching

67%: Lecture
33%: Practical (Workshop)

Assessment

20%: Coursework (Test)
80%: Written assessment (Report)

Contact hours and workload

This module is approximately 150 hours of work. This breaks down into about 33 hours of contact time and about 117 hours of independent study. The University may make minor variations to the contact hours for operational reasons, including timetabling requirements.

We regularly review our modules to incorporate student feedback, staff expertise, as well as the latest research and teaching methodology. We鈥檙e planning to run these modules in the academic year 2025/26. However, there may be changes to these modules in response to feedback, staff availability, student demand or updates to our curriculum.

We鈥檒l make sure to let you know of any material changes to modules at the earliest opportunity.