Derivatives Training Courses
The Fundamentals of Options
Ref: FOO-195
The Fundamentals of Options
IN-PERSON OR REMOTE CLASS
Duration: 2 days
➕ Remote learning activity
1950,00 € VAT Exempt (*)
📌 Reference: FOO-195
(*) As a training organization, Finance Tutoring benefits from a VAT exemption under Article 261-4-4° of the French General Tax Code (CGI).
Training Description
The Fundamentals of Options
The Fundamentals of Options training program provides you with essential knowledge of the mechanisms and applications of options in risk management and market strategies.
Whether you are a trader, analyst, or investor, mastering these financial instruments is crucial, as they offer unique flexibility for hedging, speculation, and arbitrage.
This training covers key concepts of options, including valuation parameters, trading strategies, and major pricing models such as Black-Scholes and binomial trees. You will learn to interpret the “Greeks” (delta, gamma, vega, theta) and understand their impact on portfolio management.
Through a pedagogical approach that combines theory and practical case studies, you will develop strong expertise, enabling you to use options effectively to optimize risk management and improve financial performance.
Training Objectives
- Understand exotic options.
Target Audience
- Finance professionals
- Individual investors
- Institutional fund managers
- Career changers
- Students in applied mathematics
- Anyone curious about understanding options
Training Duration
- 2 days (14 hours)
Training Program
The Fundamentals of Options
I. General Overview of Options
- Definition
- Markets
- Participants
Quiz
II. How Options Work
- Intrinsic value and time value
- The Greeks: Vega, Theta, Rho, Delta, Gamma, Vanna, Volga
Practical Case:
- Examining an options pricer
III. Option Pricing Methods
- Binomial trees
- Black-Scholes
- Monte Carlo simulation
Practical Case:
- Valuing a call and a put using a binomial tree (one and two periods) and the Black-Scholes method
IV. Simple Strategies
- Call
- Put
- Naked options selling
- Covered call
- Protective put
Practical Case:
- Identify simple strategies suited to predefined objectives
V. Strategies Combining Multiple Options
- Bull spread with calls (debit spread)
- Bull spread with puts (credit spread)
- Bear spread with calls
- Bear spread with puts
- Calendar spread
- Straddle
- Strangle
Practical Case:
- Analyzing different strategies
VI. Exotic Options
- Asian options
- Barrier options
Quiz
VII. Portfolio Hedging Strategies
- Delta hedging and gamma hedging
- Long and short reversal
- Long and short seagull
Practical Case:
- Currency hedging from the perspective of an institutional fund manager based on a real scenario