Program Brief

Bonds are a type of debt which states a promise of payment by the bond issuer to the bond holder, according to specific terms at the time the bond is issued. The government is the largest issuer of bonds; long-term government bonds are issued to finance expenditures required by governments to support their countries, banks and large corporations are also major issuers of bonds. This program is designed to provide participants with a sound understanding of dealing in the debt and bond market and gain the ability to understand the different types of bonds and methods of evaluating and pricing them according to the return and to identify the risks associated with bonds and how to make the decision to invest in bonds

Program Goals

At the end of the training program, the participant should be able to:

  • Familiarize yourself with the structure and functioning of the international primary debt markets to determine the most appropriate organization of financing for a particular borrower.
  • Getting to know the securities secured by mortgage and the securities secured by Euro assets and bonds.
  • Doing bond-related calculations for bond pricing and yield to maturity.
  • Bond sensitivity analysis using bond duration to determine bond yield curves.
Program Agenda
Module 1: Debt Capital Markets
  • 1 Role and scale of Debt Capital Market

    • 2 Types of Bond Issuers

      • 3 Bond Issues in the region

        • 4 Structure of different types of Bonds

          • 5 Term structure

            • 6 Interest rate dynamics

              • 7 Yield Curves

                Module 2: Credit Analysis
                • 1 Fundamental of Credit Analysis

                  • 2 Credit Risk Measures

                    • 3 Credit Rating

                      • 4 Four Cs of Credit Analysis

                        • 5 Credit Enhancement

                          • 6 Credit Migration

                            • 7 Approaches to credit strategies

                              Module 3: Debt Syndication
                              • 1 Syndications

                                • 2 Pricing feedback/ Market analysis

                                  • 3 Strategizing optimum Syndication

                                    • 4 Due diligence, approval

                                      • 5 Securitization

                                        • 6 Mortgage-backed securities

                                          • 7 Collateralized Debt Obligations

                                            Module 4: Introduction to Bond Valuation
                                            • 1 Valuation process for fixed income security

                                              • 2 Valuing a bond with different coupon frequencies given market discount rate and spot rates

                                                • 3 Exercise: Valuing a recently issued option free bond

                                                  • 4 Yield measures for fixed coupon bonds, floating rate bonds and money market securities

                                                    • 5 Exercise: Calculating YTM on a live bond and analyze its change over time

                                                      • 6 Calculating and analyzing yield spread measures – G spread, Z spread and OAS

                                                        • 7 Exercise: Analyzing comparative attractiveness of comparable bonds using yield spread measures

                                                          Module 5: Fixed Income Portfolio
                                                          • 1 Role of Fixed Income in a portfolio

                                                            • 2 Fixed Income Liquidity

                                                              • 3 Fixed Income investing mandates

                                                                • 4 Modeling expected return

                                                                  • 5 Managing interest rate risks

                                                                    Program Requirements

                                                                    Not Available

                                                                    Program Path

                                                                    Names of the training programs that are integrated (enriched) with the training program:

                                                                    • Not Available

                                                                    Names of the training programs that after the training program:

                                                                    • Not Available
                                                                    Program Method
                                                                    • Lecture
                                                                    • Case Studies
                                                                    • Dialogue and Discussions
                                                                    Evaluation Method
                                                                    • Pre Exam
                                                                    • Post Exam
                                                                    • Other
                                                                    Training Type
                                                                    • In Class Training
                                                                    • Online Training

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