Author : | Michael J Walker, CPA |
Course Length : | Pages: 141 ||| Review Questions: 100 ||| Final Exam Questions: 100 |
CPE Credits : | 20.0 |
IRS Credits : | 0 |
Price : | $129.95 |
Passing Score : | 70% |
Course Type: | NASBA QAS - Text - NASBA Registry |
Technical Designation: | Technical |
Primary Subject-Field Of Study: | Finance - Finance for Course Id 303 |
Description : | Financial markets represent the lifeblood of our global economy. These mechanisms promote greater economic efficiency by transferring funds from individuals, businesses and governments with an excess of available funds to those with a shortage. Funds are transferred in the financial markets through the purchase and sale of financial instruments (such as stocks and bonds). Short-term financial instruments are available in money markets, while longer-term financial instruments are purchased and sold in the world’s capital markets. Many financial markets have been in existence for hundreds of years; however the modern era has brought along many new innovations such as securitization and the derivatives market. This course provides an introductory overview of the world’s largest financial markets, including the money, bond, stock, mortgage, foreign currency and derivatives markets. This course reviews the various types of financial risk that impact these markets, as well as the economic variables that influence market activity (such as interest rates and monetary policy). |
Usage Rank : | 25000 |
Release : | 2023 |
Version : | 1.0 |
Prerequisites : | None. |
Experience Level : | Overview |
Additional Contents : | Complete, no additional material needed. |
Additional Links : |
Financial Markets: Role in the Economy, Importance, Types, and Examples
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Advance Preparation : | None. |
Delivery Method : | QAS Self Study |
Intended Participants : | Anyone needing Continuing Professional Education (CPE). |
Revision Date : | 03-Oct-2023 |
NASBA Course Declaration : | Participants must complete the final examination within one year of purchase and with a minimum passing grade of 70% or better to receive CPE credit unless otherwise noted on the Course History page (i.e. California Ethics must score 90% or better). After logging in click on the Course History links on your My Courses page for the Begin date and Expire date for the Final Exam. |
Approved Audience : | NASBA QAS - Text - NASBA Registry - 303 |
Keywords : | Finance, Financial, Markets, Comprehensive, Overview, cpe, cpa, online course |
Learning Objectives : |
Course Learning Objectives
After completing this course, participants should be able to:
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 5
Chapter 6
Chapter 7
Chapter 8
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Course Contents : | Chapter 1 – Financial Markets & Intermediaries 1.1 Overview of Financial Markets 1.1.1 What are financial markets? 1.1.2 Market participants 1.2 Structure of Financial Markets 1.2.1 Debt and equity markets 1.2.2 Primary and secondary markets 1.2.3 Exchanges and over-the-counter markets 1.2.4 Money and capital markets 1.3 Pricing Theory in Financial Markets 1.3.1 Pricing mechanisms 1.3.2 The efficient market hypothesis 1.4 Financial Intermediaries 1.4.1 Role of financial intermediaries 1.4.2 Depository institutions 1.4.3 Contractual savings institutions 1.4.4 Investment intermediaries Chapter 2 – Interest Rates 2.1 Overview of Interest Rates 2.1.1 What are interest rates? 2.1.2 Simple and compound interest 2.1.3 Fixed and floating interest rates 2.1.4 Annual percentage rates (APR) 2.1.5 Yield-to-maturity (YTM) 2.2 Determination of Interest Rates 2.2.1 Demand for “loanable funds” 2.2.2 Supply of “loanable funds” 2.2.3 Market equilibrium 2.2.4 Inflation and the Fisher effect 2.3 Risk Structure of Interest Rates 2.3.1 Default risk 2.3.2 Liquidity 2.3.3 Income tax considerations 2.3.4 Estimating bond yields 2.4 Term Structure of Interest Rates 2.4.1 The yield curve 2.4.2 Expectations theory 2.4.3 Segmented markets theory 2.4.4 Liquidity premium theory Chapter 3 – Central Banking and Monetary Policy 3.1 The Federal Reserve System 3.1.1 Federal Reserve Banks 3.1.2 Member Banks 3.1.3 Board of Governors 3.1.4 Federal Open Market Committee (FOMC) 3.1.5 Federal Advisory Council (FAC) 3.2 Monetary Policy 3.2.1 Open market operations 3.2.2 Reserve requirements 3.2.3 Discount lending 3.3 The Money Supply 3.3.1 Money supply measures 3.3.2 History of the money supply and monetary policy Chapter 4 – Money Markets 4.1 Introduction to Money Markets 4.1.1 Money markets defined 4.1.2 Money markets participants 4.2 Money Market Instruments 4.2.1 Treasury bills 4.2.2 Federal funds 4.2.3 Commercial paper 4.2.4 Certificates of deposit 4.2.5 Repurchase agreements 4.2.6 Banker’s acceptances Chapter 5 – Capital Markets (Part I) 5.1 The Bond Market 5.1.1 Bond markets defined 5.1.2 Bond markets participants 5.2 Types of Bonds 5.2.1 U.S. Treasury bonds 5.2.2 Municipal bonds 5.2.3 Corporate bonds 5.3 The Stock Market 5.3.1 Common and preferred stock 5.3.2 Stock quotations 5.3.3 Stock markets and exchanges 5.3.4 Stock indexes Chapter 6 – Capital Markets (Part II) 6.1 The Mortgage Market 6.1.1 Mortgages defined 6.1.2 Mortgage characteristics 6.1.3 Mortgage-lending institutions 6.1.4 Mortgage underwriting process 6.2 Mortgage Securitization Process 6.2.1 Definition and brief history 6.2.2 Benefits of securitization 6.2.3 Participants in the process 6.2.4 Structuring the transaction 6.3 Types of Mortgage-backed Securities 6.3.1 Mortgage pass-through securities 6.3.2 Collateralized mortgage obligations 6.3.3 Stripped mortgage-backed securities Chapter 7 – Foreign Exchange Markets 7.1 Introduction to Foreign Exchange Markets 7.1.1 Foreign exchange defined 7.1.2 Market characteristics 7.1.3 Payment & settlement systems 7.1.4 Institutional use of foreign exchange markets 7.2 Foreign Exchange Rates 7.2.1 Exchange rates defined 7.2.2 Quotes 7.2.3 Exchange rate determination 7.2.4 Purchasing Power Parity (PPP) 7.3 Foreign Exchange Transactions 7.3.1 Spot transactions 7.3.2 Forward transactions 7.4 International Arbitrage 7.4.1 Locational arbitrage 7.4.2 Covered interest arbitrage Chapter 8 – Derivatives Markets 8.1 Financial Risk Management 8.1.1 Financial risks 8.1.2 Hedging financial risk 8.1.3 Derivative instruments 8.2 Forward Markets 8.2.1 Forward contracts 8.2.2 Forward rate agreements 8.3 Futures Markets 8.3.1 Futures contracts 8.3.2 Futures exchanges 8.3.3 Market mechanics 8.4 Swap Markets 8.4.1 Swap contracts 8.4.2 Interest rate swaps 8.4.3 Other types of swaps 8.5 Options Markets 8.5.1 Options contracts 8.5.2 Options trading 8.5.3 The Options Clearing Corporation (OCC) Glossary |