- L2/P1: Debt securities: Credit Rating, Bond-Yield, Muni.Bonds, SEBI norms
- L2/P2: Inflation Indexed Bonds (IIB), Nominal vs Real Interest rates
- L2/P3: T-Bill, G-Sec, Zero Coupon Bonds, Bearer Bonds & misc. instruments in Money Market
- L2/P4: Equities: IPO, E-IPO, ADR-GDR-IDR, Bonus shares, preferential shares & Underwriters
- L2/P5: P-Notes, ETF, Hedge Funds, Mutual funds
- L2/P6: Derivatives, Call Option, Put Option, Credit Default Swaps (CDS)
- Fourth lecture was done on 6th February 2015, and uploaded on youtube. Total ~2:30 hours but I’ve split it into six parts.
- PowerPoint of the lecture, available at Mrunal.org/Download
- Medium of instruction- Hindi.
- English version not possible for the moment, because I’m required to teach at this batch, in Hindi/Gujarati only. Besides, same content is available in English-text articles and English PPTs on the site.
Language: Hindi, Topics Covered
- Recap of banking sector lectures and minor updates as per latest monetary policy review (Feb 2015) and Committees for Small banks and Payment Banks
- What is finance? Why should we start business with finance from elsewhere?
- Type types of Financing mechanism: Debt Instrument vs Equity instruments
- What is credit rating? What is India’s current credit rating? What factors affect it?
- What’s the difference between Gilt Edged securities vs. Junk Bonds
- What is bond yield and yield to maturity (YTM)?
- How can higher bond yield and lower credit rating hurt a Government?
- Difference between Bonds and Debentures?
- Municipal bonds: History, their Importance in financing smart cities, SEBI’s 2015 guidelines for Municipal bonds.
- OFCD and other types of Debentures
Youtube Link: http://youtu.be/woc6X7XX9Qc
- What is the difference between nominal interest rate vs real interest rate?
- Why do people invest in gold and real-estate during inflation?
- Why is excessive gold-consumption bad for Indian economy? How to prevent it?
- Differences between IIB an IINSS-C
- Computation mechanism for interest paid on IIB, how is it linked with inflation?
- Why are inflation indexed bonds (IIB) losing their sheen in 2015?
Youtube Link: http://youtu.be/ThHyLb_teoU
- Classification of Financial market: Money market, Capital Market Primary market and secondary market.
- What are the differences between Treasury-Bills (T-Bills) and Government securities (G-Sec)
- Coupon bonds, Zero Coupon Bonds, Bearer Bonds- features, differences
- What’s the purpose of Ways and Means Advances (WMA)
- Misc. Debt instruments in Money market: Commercial Papers, Certificate of Deposits, Commercial Bills, Call money, Notice money.
Youtube Link: http://youtu.be/__fI1BX7tRM
- Explain IPO, Public issue, Red Herring prospectus and underwriters.
- Share value- par value, face value and premium?
- Explain IPO pricing mechanism: Fixed price vs Book-Building methods
- Company’s retained earnings
- FPO and SEBI reforms
- Bonus Issue, Rights issue, preferential shares.
- ADR, GDR, IDR, Bharat Depositary receipts- features, benefits
Youtube Link: http://youtu.be/Ne6kdt8C_tM
- Mutual funds, NAV, Exit Load, types of MF and AMC- Asset management companies.
- Exchange traded funds- purpose, mechanism, how are they different from Mutual funds?
- Hedge funds, Alternative investment funds, SEBI norms
- Participatory Notes (P-Notes), Issues of Hot Money, Capital Gains tax (CGT) evasion), money laundering and SEBI norms
Youtube Link: http://youtu.be/KwdaI143A7w
- What are derivative financial instruments, forward-future contracts?
- How were derivative instruments responsible for sub-prime crisis?
- What is Option agreement? What’s the difference between Call option and Put Option?
- Credit default swaps – purpose, benefits.
Youtube Link: http://youtu.be/3lEt6HJy2II