Introduction to Bloomberg Terminals
Lesson 4 - More Financial Products
Index futures
- Indexes aren't traded directly
- Use SECF to find all kinds of products
- UKX Index is an example index
- Use CT to view futures contracts
- Use OMON to look at options, just as for equities
- Use GIP to view intraday prices
ETF's
- Exchange traded funds are companies that invest in an index in a predictable way, so investing in an ETF is almost the same as investing in the index
- Use SECF to find ETF's. For example you could find an ETF on the S&P 500 or on Nasdaq.
Commodity Futures
- Use SECF of course. For example you can find futures on your favourite commodities FCOJ and pork bellies.
- Use DES to find out more. The description of the product you get on the commodities market is very precise.
Currency
- Use USDEUR Curncy <Go> to find USD to EUR exchange rates. You could use SECF if you prefer.
- The Big 7 currencies are USD, GBP, EUR, JPY, CHF (Swiss Frances), AUD (Australian $) and CAD (Canadian $).
- OVML is used to price currency derivatives
Bonds
- SECF will again find you Bond prices or you can type DIS Corp <Go> to get Disney prices
- Secured Debt/Unsecured debt
- Senior Debt/Subordinated Debt
- Credit Ratings
- Coupon
- Yield
- Clean Prices and Dirty prices
- Face value
- Maturiy type (Callable=issuer can pay them off early; bullet=all paid off at once, putable=you can demand early repayment, sinkable=backed by a sinking fund)
Yield Curves
- Using ICYM to view the large number of yield curves
- Look at the yield curves for currencies/deposits/sectors/credit ratings etc.
- SWPM is used to price interest rate derivatives
- Use the risk tab to see the sensitivity to one basis point change in the yield curve
- Use the Cashflow tab to visualize the cashflows
- Use the scenarios tab to experiment with market changes
- Use the CVA tab to see the effect that the counterparties credit rating has on the price.
- Use VCUBE to see the data used to price interest rate derivatives
- The data comes from ICAP
Credit
- CDSV View CDS Curves
- CDSW Credit default swap pricer