Overview
Fixed Income Fundamentals course overview
In this Fixed Income Fundamentals course, we will explore the basic products and players in fixed income markets. We will introduce key features of a bond such as par value, coupon, yield curves, and credit spreads. Then, we will calculate the price of a bond using discounted cash flows and the relationship between a bond’s price and its yield. Clean prices, dirty prices, accrued interest, and day count are other fixed income topics discussed in this online course. Finally, we will explore bond risk measures including Macaulay duration, modified duration, dollar duration, and convexity. We will then calculate the price sensitivity to yield changes using these risk measures.
Fixed Income Fundamentals learning objectives
Upon completing this course, you will be able to:
- Define the key concepts of the basic fixed income instrument – bonds
- Explain who buys bonds, who issues bonds, and the bond market
- Examine the concepts of yield, coupon, and day count
- Discuss the yield curve, credit spreads, and what they represent
- Calculate the price of a bond and explain the relationship between price and yield
- Measure the yield sensitivity of a bond by using duration and convexity
Fixed Income Fundamentals Is a Required Course of CFI’s CMSA® Program
CFI’s Capital Markets & Securities Analyst (CMSA)® program covers all the basic, intermediate, and advanced topics about sales and trading, investment banking, and asset management. This program teaches you trading strategies used in the finance and capital markets industry. It is ideal for students who want to learn how to trade different asset classes. The program is completely online so you can take it at your own pace, from anywhere in the world.
Common career paths for students who take the CMSA® are Sales & Trading, Asset Management, Wealth Management, Treasury, Risk Management, and other capital markets careers.
Who should take this CMSA® course?
This Fixed Income Fundamentals course is perfect for anyone who would like to build up their understanding about capital markets. This course is designed to equip anyone who desires to begin a career in fixed income, equity, sales and trading, or other areas of finance with the fundamental knowledge of fixed income.
What you'll learn
Become a certified Financial Modeling & Valuation Analyst (FMVA)® Certification
Fixed Income Fundamentals is part of the Financial Modeling & Valuation Analyst (FMVA)® certification, which includes 29 courses.
- Skills learned Financial modeling and valuation, sensitivity analysis, strategy
- Career prep Investment banking and equity research, FP&A, corporate development
Path to certification
Prerequisite courses
7 courses from beginner to intermediate level.
01 OptionalCore courses
11 courses from beginner to intermediate level.
02 RequiredElective courses
11 courses at an advanced level.
03 RequiredGet Certified
Submit your FMVA® checklist and order your certificate.
04 Required Join our community
Get access to the Global Corporate Finance Society.
05 Optional How the certification works
What our students say
Easy to understand. Best practical course out there at the moment on fixed income.
Brendon LUEE
The course was very Interesting, amazing and productive!
Irakli Partsvania
This course covers the most fundamental concepts in fixed income market, including duration and convexity. I would recommend this course to any student who wants to learn about fixed income in a much more applied approach than a traditional and theoretical in a typical master's degree classroom.
Jingze Sun
Explanations on correlation between Bond Price and Yield, Macaulay Duration, and the importance of Convexity adjustment are exceptional!!!
