Demystify market jargon and discover how and why derivatives are constructed and used. This course introduces participants to the fundamentals of futures, options and swaps. The starting point is the key features of futures; namely pricing and the margin process. Participants will also consider the benefits of futures versus over the counter forwards. The key definitions of options follow and participants are encouraged to consider options from the point of view of a deferred decision to invest. Pay-off profiles form a large part of this session, before the key issues of volatility are addressed. The final part of the course looks at swaps: interest rate, cross currency, equity and credit default. Using these derivatives to create solutions for banking clients is a key emphasis of the course.