Subject category:
Finance, Accounting and Control
Published by:
Ivey Publishing
Version: 2002-03-13
Length: 19 pages
Data source: Field research
Share a link:
https://casecent.re/p/15670
Write a review
|
No reviews for this item
This product has not been used yet
Abstract
This case addresses the issues involved with fitting a complex financial instrument to an issuer and an investor. It elicits the participants to consider the unique requirements of issuers and investors and how the features of an instrument fulfil those requirements. The examination of the liquid yield option notes demonstrates that complex instruments can be broken down into a basket of primitive securities to assist the students in understanding the behaviour of the instrument and how it is priced.
About
Abstract
This case addresses the issues involved with fitting a complex financial instrument to an issuer and an investor. It elicits the participants to consider the unique requirements of issuers and investors and how the features of an instrument fulfil those requirements. The examination of the liquid yield option notes demonstrates that complex instruments can be broken down into a basket of primitive securities to assist the students in understanding the behaviour of the instrument and how it is priced.