Interest Rate Swaps: Pricing, Risk & Hedging Made Simple

Dive into the world of interest rate swaps (IRS) - one of the most widely used interest rate derivatives in modern capital markets. This comprehensive course provides a clear and practical understanding of what an interest rate swap is, how it works, and how it is applied in real-world financial risk management.

You will begin with the fundamentals, exploring interest rate swaps explained in simple terms, including the structure of fixed-to-floating and floating-to-fixed swaps. The course answers key questions such as what an interest rate swap (IRS) is and how interest rate swaps work, helping you build a strong conceptual foundation.

As you progress, you will explore different types of swaps, including basis swaps, and understand how various interest rate swaps are structured and used in practice. The program also covers practical applications such as managing floating rate liabilities and using swaps for risk management and hedging strategies.

You will gain insights into swap pricing and valuation, including how to determine swap rates and understand the mechanics behind interest swap calculations. Real-world interest rate swap examples are used throughout to reinforce learning and connect theory with practice.

The course also introduces the role of OTC clearinghouses and their importance in the financial derivatives market, providing a broader perspective on how interest rate swaps function within global financial systems.

This program is designed to build from foundational concepts to a practical understanding of how interest rate swaps work in real-world environments. The objective is to equip you with the knowledge required to confidently interpret and apply interest rate swap concepts, rather than to train you as a trader or structurer.

Course Structure

The course consists of 20 lectures across 5 sections:

• Introduction to Interest Rate Swaps

• Risk Management of Floating Rate Liabilities

• OTC Clearinghouses

• Swap Pricing and Valuation

• Risk Management with Interest Rate Swaps

  
  

More About This Course and Starweaver

More about this course and Starweaver

This course is led by a seasoned capital markets industry practitioner and executive with many years of hands-on, in-the-trenches financial markets sales, trading, and analysis work. It has been designed, produced, and delivered by Starweaver. Starweaver is one of the most highly regarded, well-established training providers in the world, providing training courses to many of the leading financial institutions and technology companies, including:

Ahli United Bank; Mashreqbank; American Express; ANZ Bank; ATT; Banco Votorantim; Bank of America; Bank of America Global Markets; Bank of America Private Bank; Barclay Bank; BMO Financial Group; BMO Financial Services; BNP Paribas; Boeing; Cigna; Citibank; Cognizant; Commerzbank; Credit Lyonnais/Calyon; Electrosonic; Farm Credit Administration; Fifth Third Bank; GENPACT; GEP Software; GLG Group; Hartford; HCL; HCL; Helaba; HSBC; HSBC Corporate Bank; HSBC India; HSBC Private Bank; Legal & General; National Australia Bank; Nomura Securities; PNC Financial Services Group; Quintiles; RAK Bank; Regions Bank; Royal Bank of Canada; Royal Bank of Scotland; Santander Corporate Bank; Tata Consultancy Services; Union Bank; ValueMomentum; Wells Fargo; Wells Fargo India Solutions; Westpac Corporate Bank; Wipro; and, many others.

Happy learning.