Advanced Exotic Derivatives Trading Strategies & Valuation

In this article, we will give a brief outline of the various Advanced Exotic Derivatives Trading Strategies & Valuation Techniques and topics to be covered in the Advanced Exotic Derivatives Trading Strategies & Valuation. The biggest problem with this kind of valution or trading business is that the assets we are dealing with are not known to anyone. All people end up doing is making bets in the market, that too on things which are unknown to them. The Advanced Exotic Derivatives are the ones which led to the downfall of many big banks in the recent times. Hence, it is very very important for anyone to understand and learn the Advanced Exotic Derivatives Trading Strategies & Valuation strategies. Although a full detailed course spanning over a year is required for anyone to become a master of Exotic Derivatives or Advanced Derivatives, but this article will provide the essential details about which all topics one should be looking for while attending a Course on Advanced Exotic Derivatives Trading Strategies & Valuation Techniques.
Let's begin with the basics for the Advanced Exotic Derivatives Trading Strategies & Valuation:

Introduction to Advanced Exotic Derivatives Trading Strategies & Valuation

  -Using Derivatives Versus Trading the Underlying Asset/Commodity/Security: The main difference when you value or trade any particular security v/s its derivative

  -Arbitrage Pricing of Derivatives: The Arbitrage theory or the free money or free lunch trading strategy of derivatives

  -Derivative Pricing Models and usage of these models for Pricing, Trading Strategies & Valuation:

Futures and Forward Contracts and their Trading Strategies & Valuation:

  -Pricing/Valuation of Futures/Forwards and other derivatives

  -Futures/Forwards Valuation mechanism & Trading Strategies

Equity Options Trading Strategies & Valuation:

  -Pricing/Valuation of Options (Plain Vanilla and Exotics)

  -The Greeks and Option Price Sensitivity

  -Option Trading Strategies

Swaps Trading Strategies & Valuation:

  -Interest Rate Swaps

  -Pricing/Valuation and Trading Strategies for Other Types of Swaps

Credit Default Swaps (CDS) Trading Strategies & Valuation:

  -Pricing/Valuation of CDS

  -Trading/Risk Management Applications of CDS