Training Program on Derivatives - Futures and Options (2 days)

Introduction to Derivatives

What are derivatives

Cash v/s derivatives
Over the counter v/s Exchange traded derivatives
Types of derivatives
 Forward
 Futures
 Options
 Swaps

Indian Equity F&O Derivatives Market - An Overview

Derivatives Trading
OTC Equity Derivatives
Derivative Markets today
Equity Derivatives Exchanges in India
Membership
Trading & Settlement and Risk Management systems

Understanding Futures

What are Index Futures?

Product Specifications BSE-30 Sensex Futures, S&P CNX Nifty Futures
Frequently used terms in Index Futures market
Concept of basis in futures market
Operators in the derivatives market
 Pricing Futures
Index Futures and cost and carry model
Risk management through Futures
Speculation in the Futures market
How to benefit from stock futures

Understanding Options

Options Basics
Terminology
Call Options
Put Options
Market players
Options underlyings
Options Classification

Basic Trading Strategies using Options

Volatility: Significance for options

Spread Strategies using Options
Hedging through futures

Derivatives Strategy

Neutral and Volatile Strategies

Delta Neutral Strategies
Liquidity Volume and Open Interest
Pricing of derivatives through financial modeling

Futures
Options