The Derivatives Academy
Chapter 1 Prerequisites
This material aims at serving the Equity Derivatives community by sharing knowledge and thoughts about differents topics in this field. More specifically, it aims at providing graduates with semi-practical knowledge through the use of a derivatives pricer that I developped for pedagogical purposes.
This material is made of notes taken from my readings and my personal experience as an Equity Derivatives Structurer. I have tried to provide links of the books so that you can read them if you want to deepen your knowledge. As mentioned in the material, some parts and examples are entirely taken from these reference books and papers.
I added valuable insights that I am sure you could take advantage of by reading this material attentively. But the real added-value clearly comes from the Exotic Options pricer made available throughout this book and that has a dedicated section on the website. Using the pricer, you can develop a much better intuition about Equity Derivatives. The list of products that the pricer allows you to price has been carefully chosen and is already quite large. Depending on the server capacity, I might add some more exotic structures in the future.
I believe mastering this material is necessary to secure an internship or entry-level position in the field. Necessary but not sufficient as you will also have to show interest and knowledge on financial markets...
Everything will be written the way I speak as I do not intend to publish it anywhere else than on my own website. This is a perpetual work in progress book as improvements and new subjects will come along the way. If you want to contribute, feel free to reach out to me. If you see any mistakes, please do so as well ;).
As I have worked on structured products, they are the main focus of this book. Therefore, I will start speaking shortly about the world of structured products.