Browse CFA Level 2 Essentials

Chapter 7: Derivatives Valuation and Applications

Chapter 7: Derivatives Valuation and Applications explains the core concepts, key definitions, and practical implications you need for solid analysis. It highlights common pitfalls and the intuition behind the methods so the results are interpreted correctly.

In this section

  • Forward and Futures Contract Valuation
    Forward and Futures Contract Valuation (CFA Level 2): Covers Forward and Futures Contracts and Cost-of-Carry Model with key formulas and practical examples. Includes exam-style practice questions with explanations.
  • Options Valuation and Strategies
    Options Valuation and Strategies (CFA Level 2): Covers Understanding Calls and Puts and Payoff Diagrams: Visualizing Risk and Return with key formulas and practical examples. Includes exam-style practice questions with explanations.
  • Swap Valuation and Applications
    Swap Valuation and Applications (CFA Level 2): Covers Definition and Mechanics of Swaps and Purposes with key formulas and practical examples. Includes exam-style practice questions with explanations.
  • Advanced Derivatives Usage and Risk Management
    Advanced Derivatives Usage and Risk Management (CFA Level 2): Covers Volatility Derivatives and Variance Swaps and Variance Swaps Basics with key formulas and practical examples. Includes exam-style practice questions with explanations.

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Chapter 6: Fixed Income Valuation and Analysis
Chapter 8: Alternative Investment Analysis