Capital Investment – The Yield Curve and Present Value

calculating the Present Value of a Future Cash Flow by the help of the Yield Curve

Welcome to the course “Yield Curve and its mathematical implications”!

What you’ll learn

  • Understand the Yield Curve (and prevent common misunderstandings).
  • Learn to calculate the Present Value of an investment (with / without the help of the Yield Curve).
  • Learn to generate the Yield Curve by the help of certain Financial Instruments (Zero-Coupon Bonds).
  • Get to know the “Zerobond-Discount Factor”, the ” Zero-Coupon Interest Rate” and the “Forward Rate”.
  • Learn How to generate an arbitrage free “Interest Swap” (fair) by the help of the current Yield Curve.

Course Content

  • Einführung –> 2 lectures • 1hr 3min.
  • Calculation of the Yield Curve by the help of “Zero-Coupon Bonds” –> 2 lectures • 39min.
  • Calculating the “Present Value” by using the Yield Curve –> 2 lectures • 41min.
  • Calculating the Forward Rate (FR) by using the Yield Curve –> 2 lectures • 31min.
  • Script –> 1 lecture • 0min.

Capital Investment - The Yield Curve and Present Value

Requirements

  • No prior knowledge needed (certain financial / mathematical education beneficial).

Welcome to the course “Yield Curve and its mathematical implications”!

 

In this course you will learn:

– What the Yield Curve is

– What common misunderstandings / mistakes are while working with the Yield Curve

– What a Present Value is – how to discount Future Cashflows

– How to generate the Yield Curve by the help of “Zero-Coupon Bonds”

– How to discount Future Cashflows with / without the help of the Yield Curve

– What the “Zerobond-Discount Factor” and the “Zero-Coupon Interest Rate are

– What a Forward Rate (FR) is and what it is needed for

– How to generate an arbitrage free (fair) “Interest Swap” with the help of the Yield Curve

– and much more!

 

The Yield Curve is an important topic if you work in the financial sector, work with financial instruments or are an entrepreneur and plan future Cash Flows. In this course you will become an expert in the basic understanding and use of the Yield Curve. You will get to know the basic formula to discount future Cash flows and to calculate the Forward Rate (FR). Overall you gonna get an holistic picture about the different areas the Yield Curve is applied to and the tools you will need for these purposes.

No certain previous knowledge needed.

 

The Team of MTM Education wishes you a lot of Fun with this Course

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