Course curriculum

  • 1

    Convertible Bond Basics

    • Course Introduction

    • Downloadable Files

    • Convertible Bonds Overview

    • Convertible Bond vs. Straight Bond

    • Convertible Bond Bloomberg Example

    • Conversion Price and Conversion Ratio

    • Parity Value

    • Interactive Exercise 1

    • CB Value Diagram

    • CB vs. Share Price

    • Low, Medium, and High Premium

    • Interactive Exercise 2

    • CB Redemption

    • Types of CBs

    • Who Issues CBs and Why

    • The CB Market

    • Bank Capital

    • Interactive Exercise 3

    • CB Benefits

    • Who Invests in CBs and Why

    • Risks of CBs

    • How Are CBs Issued

    • Interactive Exercise 4

  • 2

    The Math of Convertible Bonds

    • Analyzing CBs Example

    • Analyzing CBs Example - Conversion Price and Conversion Ratio

    • Analyzing CBs Example - Parity and Conversion Premium

    • Analyzing CBs Example -Investment Value and Investment Premium

    • Analyzing CBs Example -Current Yield and Yield Advantage

    • Analyzing CBs Example - Break-Even Period and Break-Even Cash Flow

  • 3

    Trading Strategies

    • Bond Value Inputs and Option Value Inputs

    • Implied Volatility and Historical Volatility

    • How Options Are Priced

    • Delta and Gamma

    • Option Intrinsic and Extrinsic Values

    • Theta and Vega

    • Rho, Omicron, and Phi

    • Greek and BC Valuation Example

    • Interactive Exercise 5

    • Trading CBs

    • CB Indexes

    • CB Trading Strategy - Asset Swap

    • CB Trading Strategy - Arbitrage

    • Interactive Exercise 6

  • 4

    Qualified Assessment

    • Qualified Assessment

    • Share Your Feedback

    • Course Completion