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Crash Course in Bonds and Debt

COURSE
Wall Street Prep
6 hrs 15 mins

Crash Course in Bonds and Debt

COURSE
Wall Street Prep
6 hrs 15 mins
Included in GO1 PremiumStarting from $12 per user for teamsLearn moreTry for free
Included in GO1 PremiumStarting from $12 per user for teamsLearn moreTry for free

Course Overview 

This course will teach you all about bonds. First, we'll take a look at the role of bonds in financing governments, corporations, households and financial institutions around the world. Next, we'll dive into bond math. You'll learn the various calculations and concepts required to accurately analyze the large variety of fixed income products. We'll start slow, but will quickly build up to some of the most traditionally confusing bond concepts: convexity, duration, spot rates, forward rates and the drivers of changes to the all-important yield curve. We conclude with a discussion of credit analysis and an overview of debt capital markets. Enjoy the course!

Instructor - Matan Feldman 

Matan Feldman is Wall Street Prep’s Founder and Managing Partner. His responsibilities include business development, development of courses, and overseeing training programs. Matan has overseen training programs for clients including Morgan Stanley, Credit Suisse, Raymond James, Stifel Nicolaus, FBR Capital Markets, Sagent Advisors, Giuliani Capital Advisors, JP Morgan, Cerberus, Wharton Business School, London Business School, Kellogg, Booth, Stern (NYU), and Cornell. Prior to founding Wall Street Prep, Matan served in several capacities on Wall Street — first as an Analyst in Chase Manhattan Bank's Mergers & Acquisitions Group in New York, and subsequently as an Associate within JP Morgan's Equity Research Group, covering Food & Drug Retail Equities.

Learning
CHAPTER 1: FIXED INCOME MARKET OVERVIEW
What is fixed income?video • 3 mins
Size of the bond marketvideo • 3 mins
Bond market geographic breakdownvideo • 3 mins
CHAPTER 2: BOND BASICS
Bond basic termsvideo • 12 mins
Basic bond mathvideo • 6 mins
Using Excel's RATE() functionvideo • 5 mins
Reinvestment assumption of YTMvideo • 3 mins
YTM vs. current vs. nominal yieldvideo • 2 mins
Annuitiesvideo • 4 mins
Bond price as present value of a bond's cash flowsvideo • 2 mins
Simple bond price exercisevideo • 3 mins
More bond termsvideo • 5 mins
Bond issuance costsvideo • 3 mins
The price/yield relationshipvideo • 4 mins
Primary vs. secondary bond marketvideo • 4 mins
The bid/ask spreadvideo • 3 mins
CHAPTER 3: YIELD CALCULATIONS AND CONVENTIONS
Coupon frequence and bond equivalent yield (BEY)video • 3 mins
BEY vs Effective Annual Yield (EAY)video • 7 mins
Converting BEY to EAYvideo • 4 mins
Compounding conventions of 0-coupon bondsvideo • 8 mins
CHAPTER 4: THE MONEY MARKET MATH
Money market yieldvideo • 8 mins
Money market math exercisesvideo • 5 mins
Compoundingvideo • 10 mins
Discount basisvideo • 13 mins
Converting interest ratesvideo • 6 mins
Money market instrumentsvideo • 3 mins
CHAPTER 5: REAL WORLD BOND PRICING NUANCES
Settlement datevideo • 1 min
Bond pricing between couponsvideo • 1 min
Fractional periodsvideo • 7 mins
Day count conventionvideo • 2 mins
Dirty pricevideo • 2 mins
Dirty price exercisevideo • 6 mins
Clean vs dirty pricevideo • 4 mins
Useful Excel functionsvideo • 3 mins
Bond pricing exercise, part 1video • 7 mins
Bond pricing exercise, part 2video • 8 mins
Bond pricing exercise, part 3video • 5 mins
Interpreting the Bloomberg bond screenvideo • 7 mins
CHAPTER 6: REALIZED COMPOUND YIELD AND HOLDING PERIOD YIELD
Realized compound yield and holding period yieldvideo • 3 mins
RCY / HPY exercise, part 1video • 6 mins
RCY / HPY exercise, part 2video • 3 mins
RCY / HPY exercise, part 3video • 20 mins
CHAPTER 7: INTEREST RATE RISK
Intro to interest rate riskvideo • 4 mins
DV01video • 6 mins
Hedging interest rate riskvideo • 6 mins
Estimating the price impact of rate changesvideo • 3 mins
Modified duration & dollar durationvideo • 5 mins
Modified duration exercisevideo • 6 mins
Useful Excel functions for interest rate riskvideo • 2 mins
Modified duration exercise, part 2video • 7 mins
Modified duration exercise, part 3video • 4 mins
Convexityvideo • 6 mins
Convexity exercisevideo • 14 mins
How convexity is applied in practicevideo • 2 mins
Duration/convexity between couponsvideo • 3 mins
Duration/convexity between coupons exercisevideo • 9 mins
Interpreting the Bloomberg YAS screenvideo • 10 mins
CHAPTER 8: CALLABLE BONDS
Make whole callvideo • 10 mins
Make whole call, Apple examplevideo • 3 mins
Callable bondsvideo • 10 mins
Sinking fund redemptionvideo • 3 mins
Yield to call and yield to worstvideo • 6 mins
CHAPTER 9: THE YIELD CURVE
Yield curve introductionvideo • 5 mins
Term structure theoryvideo • 12 mins
Monetary policy introvideo • 6 mins
Federal funds and the discount ratevideo • 3 mins
Open market operationsvideo • 3 mins
Other central bank toolsvideo • 6 mins
Summary of forces affecting the yield curvevideo • 8 mins
Yield curve shape at various points in the business cyclevideo • 10 mins
CHAPTER 10: SPOT RATES
Spot rates introvideo • 7 mins
Spot rates role in bond valuationvideo • 10 mins
Full vs YTM bond valuation approachesvideo • 7 mins
Bootstrapping the spot curve, part 1video • 11 mins
Bootstrapping the spot curve, part 2video • 14 mins
CHAPTER 11: Z-SPREAD AND OAS
Yield spreads and the z-spreadvideo • 17 mins
Option adjusted spreadvideo • 4 mins
CHAPTER 12: FORWARD RATES
Forward ratesvideo • 9 mins
Forward rate exercise, part 1video • 7 mins
Forward rate exercise, part 2video • 9 mins
Trading strategy using forward ratesvideo • 11 mins
CHAPTER 13: CREDIT ANALYSIS
Credit riskvideo • 8 mins
Credit analysisvideo • 17 mins
Navigating Clear Channels bond agreementvideo • 9 mins
CHAPTER 14: DEBT CAPITAL MARKETS AND THE DEBT ORIGINATION PROCESS
Debt origination primervideo • 1 hr 25 mins
Supplementary Materials
Step by Step Course Manualdocument
Supporting Documents Kittext