This course covers the fundamentals of the equity markets including delving into the question of why companies opt for equity over other forms of financing, such as fixed income. We will review how new issues are brought to market and subsequently traded. In addition, changes in market structure are explained. The features, characteristics, and risks of various equity products are explored. An understanding of these products, from both the investor’s and issuer’s viewpoint, will be discussed.
By the end of this session, participants will be able to:
- Define equity and its role in companies’ financing strategies
- Discuss the size of the US and global equity markets and compare them to the US and global bond markets
- Enumerate and describe the issuers in equity markets and their needs
- Identify investors in equity markets and their needs
- Describe characteristics of different equity products:
- Preferred shares
- Hybrid capital
- Equity indices and products based on them:
- Equity linked notes and funds
Prerequisites: Suggested but not required
- Fundamentals of the Capital Markets/Financial Markets or equivalent knowledge
Fundamentals of the Capital Markets/Financial Markets or equivalent knowledge
Program Level: Foundational
Target Audience: Anyone who wants to learn about the equity markets, such as staff from operations, IT, legal, compliance, middle office, or HR, and regulators who work closely with various aspects of the equity markets.
Advance Preparation: None
Computers and Financial Calculators: Computers or tablets for viewing and accessing the electronic documents.
Recommended CPE Credits: 2.4
Duration: 2 Hours