Economics: Fixed Income Securities

<p>You will learn about the interest rate market, both domestic (Swedish) and international. The focus is on the securities traded in this market, with pricing and risk management as the main emphasis.</p><p>The course is divided into four sections and begins with an overview of the domestic, i.e. Swedish, interest rate market.</p><p>In the first section, you will examine the instruments traded on the market and how the market operates.</p><p>The second section focuses on the international interest rate market. Here you will also receive an introduction to the foreign exchange market and its connection to national interest rate markets.</p><p>In the third section, you address interest rate risk for both individual interest-bearing assets and portfolios of such assets. The emphasis is on different methods of measuring and managing the risk of losses caused by bond price declines during unfavourable interest rate movements.</p><p>In the final section, wou will deal with risk, but in this case credit risk, i.e. the risk of default and bankruptcy.</p><p>The interest rate market is one of the most important financial markets, and this course provides an understanding of how this crucial market functions. Much of what you learn will be highly relevant for further studies in economics and finance.</p>