Course details

Credit-linked and Repackaged Notes

Credit-linked and Repackaged Notes


Overview/Description
Target Audience
Expected Duration
Lesson Objectives
Course Number


Overview/Description
The structured derivatives market gained traction in the early 2000's due to its ability to convert security features, primarily cash flows and maturity, to meet investors' specific needs. This market is composed of complicated combinations of securities and derivatives, allowing for a large degree of flexibility to cater to investor demands. Because potential risks have also become increasingly complicated to identify and measure, it is important for individuals involved in these structured deals to have a good grasp of the dynamics of various transactions and how they may be altered when packaged with others. This course provides an introduction to the basics of credit-linked notes (CLN) and their variations and structures, including total return swap-based CLNs and default-based CLNs. The course also provides an overview of repackaged notes and other synthetic structures dealing with the packaging of derivatives with assets such as synthetic bonds, and callable and puttable asset swaps.

Target Audience
Financial services professionals, consultants, and sales professionals interested in providing or selling products and services to banks, investment companies, and other financial corporations, and everyone interested in the creation and use of credit derivative instruments

Expected Duration (hours)
1.0

Lesson Objectives

Credit-linked and Repackaged Notes

  • describe credit-linked notes
  • identify the structure of credit-linked notes
  • recognize the variations of credit-linked notes
  • identify the structure and variations of credit-linked notes
  • identify the typical uses of repackaged notes
  • describe synthetic bonds and synthetic funding
  • describe structured asset swap packaging
  • describe repackaged notes uses, synthetic bonds, synthetic funding, and structured asset swap packaging
  • Course Number:
    fini_11_a04_bs_enus