Pricing and Valuation of Futures Contracts - Module 6 – Derivatives – CFA® Level I 2026 скачать в хорошем качестве

Pricing and Valuation of Futures Contracts - Module 6 – Derivatives – CFA® Level I 2026

Get our FREE CFA Level 1 summaries: https://www.finquiz.com/cfa/level-1/s... 🌀 Derivatives = Where Finance Gets Tactical Options, forwards, futures, swaps—it sounds intimidating, but it’s just strategy with math. Once you learn how to read the payoffs, CFA exam questions stop looking scary and start looking solvable. Let FinQuiz show you how. 📚 Battle-Ready Summaries – Long/short positions, option strategies, margin mechanics—zero fluff, max clarity 👉 https://www.finquiz.com/cfa/level-1/s... 📖 Stanley Notes – Full walkthroughs of derivative contracts, pricing, and risks 🎯 👉 https://www.finquiz.com/cfa/level-1/n... 📐 Formula Sheet – FRA payoff? Futures vs forward pricing? One clean sheet to rule them all 👉 https://www.finquiz.com/cfa/level-1/f... 💥 Question Bank – Get hit with realistic, tricky questions that test how well you really get derivatives 👉 https://www.finquiz.com/cfa/level-1/q... ⏱️ Mock Exams – Simulate the stress with derivative-heavy vignettes and time pressure 👉 https://www.finquiz.com/cfa/level-1/m... 🧠 All Level 1 Resources. All in One Place. 👉 https://www.finquiz.com/cfa/level-1/ 🚀 Go Premium – Unlock everything. Master derivatives before they master you 👉 https://www.finquiz.com/cfa/level-1/p... 0:00 Introduction to Futures & Forwards (CFA Level 1) Why understanding these contracts is crucial for exam success Overview of FinQuiz study materials (Stanley Notes, mock exams, summaries) 0:31 Pricing Futures Contracts at Inception Comparison of futures (standardized, exchange-traded) vs. forwards (private, customized) Daily settlement (mark-to-market) vs. final settlement in forwards Reduced default risk through a clearinghouse 1:16 Daily Mark-to-Market & Margin Accounts Example: Going long on gold futures, day-by-day losses/profits Settlement of gains/losses before contract maturity Broker “taps on the shoulder” for margin calls 2:30 Forward Contracts vs. Futures: Valuation Over Time Forwards settle at end of contract, futures settle daily Credit risk differences (forward’s private deal vs. futures’ clearinghouse guarantee) Similar end-results with different paths 3:30 Interest Rate Futures vs. Forward Rate Agreements (FRAs) FRAs as customized hedges for future interest rates Interest rate futures: standardized exchange-traded product Price quoted as 100 minus implied interest rate 4:38 Quoting Interest Rate Futures & Basis Point Value Converting 97.75 to an implied rate of 2.25% Basis points (bips) = 0.01% increments Using notional principal to calculate contract value changes 6:00 Divergence Between Futures & Forwards Over Time Impact of daily settlement vs. final settlement Influence of interest rate moves and asset price correlation The possibility of one contract being more expensive due to reinvestment gains 7:02 Convexity Bias & Its Effect on FRAs Concept of convexity in rate-sensitive contracts FRAs discounting feature & stronger reaction to rate decreases Positive vs. negative correlation scenarios in pricing 8:12 Move Toward Central Clearing of OTC Derivatives Similarities to futures model (margin, daily settlement) Reduced counterparty risk but increased margin requirements Extra transaction/financing costs for portfolio managers 9:18 Real-World Analogy: Netflix vs. Gym Membership Futures as “month-by-month subscription,” forwards as “annual pay upfront” Daily vs. end-of-contract settlement differences 10:33 Another Example: Coffee Shop & Caffeine-Fueled Expansion Floating-rate loan concern if interest rates rise Hedging interest rate risk with futures or forward rate agreements 12:20 Futures: Long vs. Short Positions Long position benefits if rates decrease, short if rates increase Understanding gains/losses in practical hedging scenarios 13:00 Forward Rate Agreements (FRAs) in Practice Agreeing to a future rate for a specified period Going “long” (pay fixed, receive floating) vs. “short” (pay floating, receive fixed) Protecting against future rate volatility 16:00 Summarizing the Key Takeaways Long futures & short FRAs gain from falling rates; short futures & long FRAs gain from rising rates Hedging is about offsetting risk exposure (e.g., corporate loans) 18:00 Final Comparison & Wrap-Up Similar end results but different daily cash flow paths (futures vs. forwards) Convexity bias in FRAs Study tips: use FinQuiz notes, mocks, and summaries 19:30 Conclusion & Next Steps Recap of crucial exam concepts (Arbitrage, daily settlement, interest rate hedging) Encouragement for further practice and final push to exam day Farewell & “Happy Studying!” 19:42 End of Session Closing remarks and sign-off