Options and Futures

0.5 credits · Undergraduate

Covers the basic mathematical theory and computational techniques used to price a variety of stock and interest rate options using both discrete-time models, such as binomial probability trees, and continuous time models, such as the Black-Scholes model. Elementary concepts from stochastic calculus are introduced. Computational techniques are emphasized with implementation of models in Maple and Excel. Prerequisite: 10.0 university credits or enrolment in the Postgraduate Certificate in Financial Analytics.