MBA Finance - Financial Derivatives (FD) Notes & eBook - Second Year Sem 4


New Member
Apr 16, 2018
Hey Folks,

I welcome you to my MBA thread on Studynama Community. On this thread, I have shared the PDF lecture notes for the subject – Financial Derivatives.

These notes and eBook on Financial Derivatives have been prepared by experienced Commerce faculty and toppers and will provide you with easy to study material. There are 319 no. of pages in this PDF lecture notes and the PDF file can be easily downloaded below.

List of key topics in Financial Derivatives Notes eBook:

  • UNIT – I
Derivatives – Features of a Financial Derivative – Types of Financial Derivatives - Basic Financial derivatives – History of Derivatives Markets – Uses of Derivatives – Critiques of Derivatives – Forward Market: Pricing and Trading Mechanism – Forward Contract concept – Features of Forward Contract – Classification of Forward Contracts – Forward Trading Mechanism – Forward Prices Vs Future Prices.
  • UNIT – II
Options and Swaps – Concept of Options – Types of options – Option Valuation – Option Positions Naked and Covered Option – Underlying Assets in Exchange-traded Options – Determinants of Option Prices – Binomial Option Pricing Model – Black-Scholes Option Pricing – Basic Principles of Option Trading – SWAP: Concept, Evaluation and Features of Swap – Types of Financial Swaps – Interest Rate Swaps – Currency Swap – Debt-Equity Swap.
  • UNIT – III
Futures – Financial Futures Contracts – Types of Financial Futures Contract – Evolution of Futures Market in India – Traders in Futures Market in India – Functions and Growth of Futures Markets – Futures Market Trading Mechanism - Specification of the Future Contract – Clearing House – Operation of Margins – Settlement –Theories of Future prices – Future prices and Risk Aversion – Forward Contract Vs. Futures Contracts.
  • UNIT – IV
Hedging and Stock Index Futures – Concepts – Perfect Hedging Model – Basic Long and Short Hedges – Cross Hedging – Basis Risk and Hedging – Basis Risk Vs Price Risk – Hedging Effectiveness – Devising a Hedging Strategy – Hedging Objectives – Management of Hedge – Concept of Stock Index – Stock Index Futures – Stock Index Futures as a Portfolio managemen Tool – Speculation and Stock Index Futures – Stock Index Futures Trading in Indian Stock Market.
  • UNIT – V
Financial Derivatives Market in India – Need for Derivatives – Evolution of Derivatives in India – Major Recommendations of Dr. L.C. Gupta Committee – Equity Derivatives – Strengthening of Cash Market – Benefits of Derivatives in India – Categories of Derivatives Traded in India – Derivatives Trading at NSE/BSE – Eligibility of Stocks – Emerging Structure of Derivatives Markets in India -Regulation of Financial Derivatives in India – Structure of the Market – Trading systems – Badla system in Indian Stock Market – Regulatory Instruments.

You can download the PDF lecture notes eBook for the subject - Financial Derivatives below. I hope you like them and get help in your studies. Moreover, please feel free to ask any query below or LIKE this post to motivate me to share more study materials with all students!