Risk Management

Risk Management is about how financial institutions identify, price, and offload the uncertainty embedded in their positions, using derivatives as the core toolkit for transferring risk rather than just predicting markets. You'll work through forwards, futures, swaps, and options analytically, building hedging strategies, pricing options with binomial trees and Black-Scholes, and computing Value at Risk on portfolios that include derivatives. It sits downstream of corporate finance and investments, and matters because the same machinery underlies trading desks, treasury operations, and the regulatory frameworks banks actually live under.