Microsoft PowerPoint - PoF.ppt

Products traded on financial marketsƒ 10

Bonds / FI securities (deterministic CF stream):

e.g.

classification according to issuer: government bonds and corporate bonds

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Shares (random CFs):

common stock and preferred stock

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Derivatives:

forwards, futures, swaps and options

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Currencies / foreign exchange (FX)

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Commodities
Introduction to financial markets