Securities and Derivatives Professional Practice Exam

A Securities and Derivatives Professional refers to the job role of  who manages stocks, bonds, and derivatives (futures, options, swaps), for investment, and hedging. The job role includes managing portfolios, assessing market trends, doing financial analysis, and giving advises for investments. They analyze securities and derivatives,  while maintaining compliance, and manage risks.

Certification in Securities and Derivatives Professional certifies your skills and knowledge in the trading, structuring, and risk management of securities and derivatives. This certification assess you in financial markets, investment instruments, and assess and address financial risks.
Why is Securities and Derivatives Professional certification important?

• Validates expertise in the field of financial instruments and markets.
• Enhances credibility with clients and employers in the finance industry.
• Improves career prospects, increasing eligibility for senior and specialized roles.
• Provides an in-depth understanding of risk management and market dynamics.
• Helps professionals stay updated on industry regulations and compliance standards.
• Equips candidates with practical knowledge applicable to trading, investing, and financial analysis.
• Increases potential earnings due to the specialized skillset acquired.
• Recognized globally, offering mobility in financial sectors worldwide.

Who should take the Securities and Derivatives Professional Exam?

• Securities Traders
• Derivatives Analysts
• Investment Bankers
• Risk Managers
• Portfolio Managers
• Financial Advisors
• Hedge Fund Managers
• Financial Analysts
• Compliance Officers
• Treasury Managers

Skills Evaluated

Candidates taking the certification exam on the Securities and Derivatives Professional is evaluated for the following skills:

• Stocks, bonds, and derivatives.
• Market trends
• Financial analysis
  
• Risk management
• Hedging
  
• Investment opportunities
  
• Regulations
• Futures, options, and swaps.
• Portfolio management
• Asset allocation.
• Financial reports
• Economic indicators.
• Trading platforms
  

Securities and Derivatives Professional Certification Course Outline
The course outline for Securities and Derivatives Professional certification is as below -

Domain 1. Introduction to Financial Markets

• Types of Markets (Equity, Debt, Commodities)

• Market Participants and Their Roles

• Trading Mechanisms and Platforms

Domain 2. Securities Overview

• Equities and Bonds

• Debt Instruments and Yield Curves

• Equity Valuation Techniques

Domain 3. Derivatives Instruments

• Futures, Options, and Swaps

• Forward Contracts

• Pricing and Valuation of Derivatives

Domain 4. Risk Management

• Risk Types: Market, Credit, Operational

• Hedging Techniques and Strategies

• Value at Risk (VaR) Models

Domain 5. Trading and Investment Strategies

• Technical Analysis

• Fundamental Analysis

• Arbitrage and Speculation

Domain 6. Financial Regulation and Compliance

• International and Local Regulatory Bodies

• Market Conduct Rules and Ethics

• Compliance Framework for Trading

Domain 7. Portfolio Management

• Asset Allocation Techniques

• Risk-adjusted Returns and Performance Metrics

• Diversification and Optimization

Domain 8. Derivatives Market Operations

• Clearing, Settlement, and Margining

• Over-the-Counter (OTC) vs. Exchange-Traded Derivatives

• Derivatives in Hedging and Speculation

Domain 9. Financial Reporting and Analysis

• Reading and Interpreting Financial Statements

• Economic Indicators and Their Impact on Markets

• Advanced Analytical Techniques in Finance