Foreign Exchange

FE & IR Options

FX This introductory two-day course is ideal for any candidate who is involved in the forex markets and is looking to get a deeper understanding of the vanilla hedging tools and instruments that are used by clients, as well as an insight into the trading implications and complexities of running an option book.

KEY COURSE OUTCOMES

The course provides a clear understanding of the behaviour and characteristics of currency options. Content includes the practical uses of options and how they are applied as hedging tools in forex risk management, as well as their applications as trading tools. It also includes the building blocks of options, namely calls and puts, and their pricing mechanics, and expands into the world of structuring with basic zero cost structures explored. At the end of this course delegates will be able to:
  • Discuss the influence of volatility on option premiums
  • Compare zero cost options as hedging solutions
  • Evaluate the risks of net selling options
  • Identify volatility trading strategies