Money managers are always on the hunt for new ways to generate alpha and navigate market moves in the 24-hour news cycle. Costs of uncleared margin rules have prompted many institutions to explore shifting vanilla exposures to listed FX options and Equity Index total return and dividend futures. Regulatory and investor demand for environmental, social and governance (ESG) investments is increasing. And portfolio managers must juggle new risks, new technologies and pressure to find more efficiencies in capital-constrained markets.
To be successful, you need a comprehensive toolbox of the right products, innovative strategies and a forward-thinking mind ready to learn.
The new CME Institute Live course reviews how to use benchmark CME Group Interest Rate, Equity Index and FX derivatives to address modern market challenges. Discover new ways to reduce existing and new margin requirements, free up credit lines, increase capital efficiencies and maximize your risk/return.
Intended Audience: Portfolio managers, research, trading and client facing professionals from pensions, asset management, and insurance firms as well as sell-side professionals from banks, broker-dealers and futures brokerage firms.
The CME Institute Live Course provides in-depth introduction to our benchmark Interest Rate, Equity Index and FX futures and options contracts, reviewing important contract details, pricing quotations, settlement and trading mechanics. "Day 1" lessons cover an introduction to options, including an overview of options terms, put/call parity, and the “Greeks.”
"Day 2" lessons dive into practical applications of exchange-traded derivatives (ETDs) as effective trading and risk management tools. Learn how to analyze the price of futures versus cash markets, and how to evaluate ETDs as an effective tool for your portfolio. Discover the best trading strategies using options for each of the asset classes, including FX, U.S. Treasury, STIRs, and Equity Index products. We also cover environmental, social, and governance (ESG) investments, as well as total return and dividends.
Key Topics by Asset Class:
Interest Rate
- Deconstructing pricing between US Treasury futures and Treasury cash securities
- Determining proper hedge ratios for individual securities and portfolios using UST futures
- Constructing inter-commodity spreads (ICS) in UST futures to manage/trade yield curve risk
- Analyzing Eurodollar futures convexity bias to the Interest Rate swaps market
- Evaluating and selecting shorter maturity ICS to trade or manage credit exposure
Equity Index
- Comparing Equity Index futures vs equivalent ETFs and swaps in total cost analysis and relative value terms
- Measuring the capital needed for futures vs other equity index beta replication products
- Executing cash equitization, portable alpha, and sector rotation strategies with futures
FX Futures
- Calculating the fair value of an FX futures contract
- Applying FX futures as an overlay for exchange rate risk
- Analyzing FX futures correlation to other asset classes
- How capital usage differs for ETD and OTC under Uncleared Margin Rules (UMR)
- Bridging OTC spot FX and FX futures using CME FX Link
Click below to start getting acquainted with financial futures and options from CME Group and the various ways institutions use these contracts today to address market challenges.
Welcome│Introduction to CME Group
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Introduction to FX futures
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Introduction to Equity Index futures
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| Introduction to Interest Rate futures US Treasury foundations
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Short-term interest rate (STIRs) basics
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Introduction to options
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FX futures and options applications
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Equity Index strategies Part I
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Equity Index strategies Part II
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Interest Rates: STIRs applications
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| Eurodollar options: Butterflies and condors |
US Treasury futures and options applications
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CME Institute has registered this program with GARP for Continuing Professional Development (CPD) credits. Attending this program qualifies for 12 credit hours. If you are a Certified ERP® or FRM®, please record this activity in your Credit Tracker.
David Gibbs is a futures market professional with more than 35 years of industry experience. Beginning in the open-outcry pits of the Chicago futures exchanges, David has held leadership positions with global futures commission merchants and actively traded financial futures, options, and cash-market products for both buy-side and sell-side firms. He is an expert in the pricing mechanism for derivatives, including financial futures and their underlying products.
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