The Universe of Bonds and Bond Markets - Overview

• Definitions and descriptions
• Types and characteristics
• Bond market terminology and jargon
• Characteristics of the bond asset class
• How to interpret the bonds pages of the FT
• The major issuers
• Domestic and international markets

Essential Bond Market Maths

• Using an Hewlett Packard bond calculator
• Discount factors - pricing a bond
• Measuring bond returns and using yields
• Yield curves and theories of the yield curve
• The major investors

Structure of the Players in the Bond Market

• The main players and their role
• Market makers, sales, origination, broker-dealers, IDBs, DMO, portfolio managers

Overview of the Government Bond Markets

• Gilts, GEMMS and gilt issuance
• International government bond markets
• Overview of main government bond instruments

Overview of the Credit Markets

• Credit ratings
• The rating agencies and the rating scale
• Credit spreads and benchmarks
• Introduction to asset backed securities and securitisation

What Drives Bond Markets ?

• Factors which drive bond prices
• The importance of macroeconomic figures and issuance levels
• The relationship between interest rates and bond prices
• Interest rate sensitivity
• Duration and modified duration
• Case Study

What Drives Individual Bond Performance?

• Reading a bond prospectus
• The importance of security, seniority, structure and covenants
• Case study

Other Fixed Income Instruments

• Money market instruments
• Index-linked bonds
• Floating rate notes