Description

Financial
markets represent the lifeblood of our global economy. These mechanisms promote
greater economic efficiency by transferring funds from individuals, businesses
and governments with an excess of available funds to those with a shortage.
Funds are transferred in the financial markets through the purchase and sale of
financial instruments (such as stocks and bonds). Short-term financial instruments
are available in money markets, while longer-term financial instruments are
purchased and sold in the world’s capital markets. Many financial markets have
been in existence for hundreds of years; however, the modern era has brought
along many new innovations such as securitizations, derivatives, and
cryptocurrencies.

This course covers the
primary characteristics of the foreign exchange (“FX”) markets. This includes reviewing
how to translate direct and indirect foreign exchange rates and discussing the
economic factors that influence these rates. This course also reviews foreign
exchange spot and forward transactions, and the differences between the two.
Finally, it reviews the concept of foreign exchange arbitrage.