Thank you for sending your enquiry! One of our team members will contact you shortly.
Thank you for sending your booking! One of our team members will contact you shortly.
Course Outline
The Global Capital Markets
- Defining the 'financial market place'
- Historical evolution of modern global financial markets
- The influence of financial media
- Structure of major capital markets:
- Exchanges, Clearing houses, and Regulators
- The recent surge in global investment activity
- Classification of 'Stock Exchanges'
- The positioning of Stock Exchanges in today's market landscape
- Overview of US, European, Middle Eastern, and Asian Stock Exchanges
Regulation of Financial Markets:
- Capital Adequacy Requirements
- Basel I
- Basel II
- Basel III and its regulatory implications
- Sources for new product development
Asset Classes and Their Respective Markets
- Current trading instruments on Stock Exchanges
- Equities – Common and Preferred stock
- Bonds – Corporate and Government issues
- Bonds – Fixed rate, Floating rate, and Zero coupon; Understanding the Yield Curve
- Money Market instruments
- Currency markets
- Investor motivations: Drivers for buying and selling
- Differentiating Income versus Capital Gain
- Interrelationships among various asset classes
- The interplay between Exchange-traded and Over-The-Counter (OTC) markets
Short-Term Money Markets
- Certificates of Deposit
- Treasury Bills (T Bills)
- Commercial Paper
- Trade Paper & Bankers' Acceptances (BAs)
- Standard market norms and practices
- Key market participants
Types of Stock Exchange Investors
- Individual and Institutional Investors
- Fund Managers
- Hedge Funds
- Direct Stock Exchange participants
- Investment banks, Stockbrokers, Hedge Funds, and Prime Brokers
- Intra-market dynamics – The buy-side and sell-side of the industry
The Function of the Stock Exchange
- Trading venues for financial products
- The significance of the OTC market
- Historical development of Stock Exchanges
- Leading Stock Exchanges in the current global landscape
- Comparative analysis of US, European, and Asian Market architectures
- Asset classes traded on global Stock Exchanges
- Distinguishing Primary and Secondary markets
- Key hubs: New York, Euronext, London, Shanghai, and Hong Kong
- The appeal of 'listed' companies to investors
- Leveraging Stock Exchanges to pool liquidity and raise capital
- Strategies for Capital Raising
- 'Floating' a company – Various methodologies
Clearing & Settlement
- Settlement mechanics and associated risks
- Varying Settlement Conventions across major markets
- Settlement for Equities, Bonds, and derivatives
- The Derivatives Clearing process
- The Central Counterparty (CCP)
- CCP services delivered to Stock Exchanges
- Margin requirements
- The security trade settlement workflow
- Pre-settlement procedures
- Final Settlement
- Common issues – Unmatched trades, settlement delays, and failed deliveries
- Stock Exchange Settlement Discipline
- The 'life cycle of a trade' – Connecting trade execution to settlement
- Roles of International Central Securities Depositories (ICSDs) and Central Securities Depositories (CSDs) – including LCH.Clearnet, Euroclear, Crest, Clearstream International, and the DTC
Custody Services
- The function of Custodians in Stock markets
- Settlement and asset safekeeping
- Income collection and processing Corporate Actions
- Cash management and funding transactions
- Supplementary services
- Accounting procedures
- Stock Lending and collateral management
- Trustee services
- Valuation reporting
Alternative Investments
- Defining Alternative Investments
- Structured products – Analysis of risks and returns
- Hedge funds – Risk assessment and control mechanisms
- Venture Capital – Valuation challenges, risk, and control
- Private Equity and Angel Finance
- Application of derivatives in Asset Management
- OTC versus ETD (Exchange Traded Derivatives)
- Categories of Derivatives utilized in Asset Management
- Futures
- Options
- Risk and control frameworks for derivatives, covering documentation, valuation, and reporting
Managing Quoted Equity Investments
- Risks inherent in acquiring securities
- Risks involved in managing securities portfolios
- Risks related to corporate actions
- Pricing mechanisms for quoted equity investments
- Primary sources of investment risk
- General controls within equity investment management
- Risks specific to international equity markets
Managing Quoted Fixed Income Investments
- Risks associated with the acquisition and disposal of fixed income securities
- Utilization of credit ratings and related risk considerations
- Pricing risks in fixed income securities
- Risk and control measures in corporate fixed income processing
- Risks specific to Government Securities
- Sovereign risk ratings
- Valuation methods for government securities
- Risk and control frameworks in sovereign bond processing
Market and Credit Risks in Global Investing
- Understanding Market risks
- Value at Risk (VAR) calculations
- Market risk modeling techniques
- Overview of Credit Risks
- Methodologies for measuring Credit risks
- Global Market Risks
- Money Market Risks
- OTC Risks
- Exchange-based risks
14 Hours
Testimonials (1)
The lecturer is very knowledgeable and can substantiate theories with his own personal experiences.