Futures & Options trading is by very nature very risky and equally profitable. Most people burn their fingers and lose money while experimenting with this trading.
We start from scratch and help you understand margin based Futures Trading and premium based Options Trading. You understand the inherent risk, the safe strategies and calculated speculative strategies to benefit from F & O trading.
The whole objective of the program is to deliver the practical knowledge of F & O Trading , after the program you are able to confidently trade in Equity Futures &Options, Nifty Futures & Options.
What is the broad Coverage in Certificate in Derivatives market Program?
- Overview of Derivatives :
We start from the basics of derivatives covering market participants, types of derivatives market, significance of derivatives and risk faced by participants in derivatives
- Index; The Barometer of Economy :
Derivatives market is the place where one can trade in Index such
as NIFTY, SENSEX among others. Index is considered as the
barometer of economy since it is made up of stocks from diverse
industrial fields. Under this part we cover significance, types and
attributes of an index, Index management and application of
- Forwards and Futures :
Forwards are OTC traded instruments whereas futures are
exchange traded instruments. Candidates will be acquainted how
to price futures; pay off charts for futures contract and use of
- Understanding the Options Market :
As the name suggests options contracts in derivates market
comes with the option to buy or sell but not an obligation to buy
or sell. Generally it is believed that Options are those instruments
where there is limited possibility of loss with unlimited potential
of profits. Is this phenomena correct? We give you the answers in
this part covering basics of options, pay off charts and use of
- Money making options trading strategies :
By using options one can make strategies according to the view of
the market. Some of the popular strategies include Straddle,
striangle, covered call, protective put, collar, butterfly.
- Understanding the Trading Systems :
In derivatives trading one must know how to select stocks for
trading, what should be the selection criteria of index for trading,
what is the market wise client wise positions limits so that the
trader can adjust the trades according without facing the failed
- Clearing and Settlement system :
As Futures and Options market are exchange traded markets it is
important to know the clearing and settlement mechanism of the
exchange and how the trades are cleared right from placements
of the order till the execution of the trades and finally the
settlements of the trades. Various kinds of margins are required in
Derivates segments before once places the order and also during
the currency of the trades.
- Legal, and taxation aspects :
In India Derivatives is defined under Securities Contracts
(Regulations) Act, 1956 and the income is also taxed as per Indian