Fundamentals of Financial Markets

with Ivan Kitov
4.9/5
(269)

Navigate financial markets with confidence: Acquire fundamental knowledge in financial instruments, regulations, and market dynamics

5 hours of content 4189 students

$99.00

Lifetime access

Buy now
14-Day Money-Back Guarantee

What you get:

  • 5 hours of content
  • 97 Interactive exercises
  • 4 Downloadable resources
  • World-class instructor
  • Closed captions
  • Q&A support
  • Future course updates
  • Course exam
  • Certificate of achievement

Fundamentals of Financial Markets

A course by Ivan Kitov

$99.00

Lifetime access

Buy now
14-Day Money-Back Guarantee

What you get:

  • 5 hours of content
  • 97 Interactive exercises
  • 4 Downloadable resources
  • World-class instructor
  • Closed captions
  • Q&A support
  • Future course updates
  • Course exam
  • Certificate of achievement

$99.00

Lifetime access

Buy now

$99.00

Lifetime access

Buy now
14-Day Money-Back Guarantee

What you get:

  • 5 hours of content
  • 97 Interactive exercises
  • 4 Downloadable resources
  • World-class instructor
  • Closed captions
  • Q&A support
  • Future course updates
  • Course exam
  • Certificate of achievement

What You Learn

  • Gain a deep understanding of the organization of financial markets
  • Acquire the knowledge to become an intelligent investor with a long-term perspective
  • Explore index investing and study the different types of equity and fixed income indexes
  • Calculate and interpret the value, price, and total return of an index
  • Understand the concepts of market efficiency, including its various forms, and analyze how these impact your investment strategies and decision-making
  • Study carefully the different asset classes and create optimized investment portfolios

Top Choice of Leading Companies Worldwide

Industry leaders and professionals globally rely on this top-rated course to enhance their skills.

Course Description

Being a financial analyst is not easy. You have a lot on your plate, always gathering and processing information, making important investment decisions, trading securities, hedging various risks, and investing capital. To help you complete these tasks successfully, you need to understand the characteristics of the markets in which they are executed. Our Fundamentals of Financial Markets course provides a structural overview of financial markets and their operating characteristics. It touches on several topics, starting from asset classification and the financial system’s primary functions. You will learn the difference between financial instruments such as currencies, securities, commodities, and real assets, which is a must-know for all successful financial analysts. Moreover, we provide an overview of financial intermediaries (entities that facilitate the functioning of the financial system) and compare the trading positions an investor can take in an asset. You will learn about the benefits and risks of short and long positions and how traders finance them. We also explore the different trade orders, how markets process them, and the primary and secondary markets. And finally, we discuss the characteristics of a well-functioning financial system. Next, this Fundamentals of Financial Markets course examines security market indexes and their returns. Securities prices alone reveal little about a market’s investment horizon. Yet, investors’ success largely depends on comparisons between periods, companies, shares, ratios, industries, and so on. Over 100 years ago, Charles Dow and Edward Jones set up the very first security market index. Today, hundreds of indicators help investors and analysts gauge the financial health of a firm or the overall market performance. Gradually, indexes became an inseparable part of the financial ecosystem. So, to improve your analytical skills, we delve into the choices and issues in index construction and management and the main uses of security market indexes. We also define the three forms of market efficiency and discuss the implications for technical and fundamental analysis. Lastly, we explore several market anomalies and describe how they relate to investment strategies. By the end of this course, you will understand what drives the famous saying, “You can’t beat the market.” We highly recommend enrolling for this Fundamentals of Financial Markets course if you want to pursue a career in investment banking or investment analysis. Sign up now and start learning.

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Course Introduction

1.1 Course Introduction

2 min

Financial System (Functions)

1.2 Financial System (Functions)

2 min

Financial System (Purposes)

1.3 Financial System (Purposes)

5 min

Equilibrium Interest Rate

1.4 Equilibrium Interest Rate

3 min

Asset Classification

1.5 Asset Classification

5 min

Security Types

1.7 Security Types

5 min

Curriculum

  • 1. Market Organization and Structure
    33 Lessons 136 Min

    We start learning about financial markets from the building blocks: their organization and structure. We examine the functions of that financial system and the various asset classes that come with it. After covering the basics, we dive deeper into the tools that turn the financial system into a well-oiled machine. Thereupon, we analyze the roles and functions of the so-called financial intermediaries. You will learn what justifies the different trading positions investors take and recognize various approaches to trade execution. The section ends with a look at the bigger picture. We describe the primary and secondary markets and summarize the main characteristics of a well-functioning financial system.

    Course Introduction
    2 min
    Financial System (Functions)
    2 min
    Financial System (Purposes)
    5 min
    Equilibrium Interest Rate
    3 min
    Asset Classification
    5 min
    Security Types
    5 min
    Pooled Investment Vehicles
    8 min
    Currencies
    2 min
    Derivative Contracts
    8 min
    Real Assets
    4 min
    Financial Intermediaries
    4 min
    Dealers
    4 min
    Depository Institutions
    3 min
    Insurance Companies
    3 min
    Arbitrageurs
    3 min
    Clearinghouses and Custodians
    3 min
    Long and Short Position
    4 min
    Short Position
    3 min
    Leveraged Position
    4 min
    Leverage Ratio
    4 min
    Margin Call
    3 min
    Trade Order
    3 min
    Execution Instructions
    7 min
    Validity Instructions
    6 min
    Clearing Instructions
    2 min
    Primary vs. Secondary Market
    2 min
    Initial Public Offering (IPO)
    6 min
    Other Primary Market Transactions
    6 min
    Secondary Market Structures
    4 min
    Execution Mechanisms
    7 min
    Market Information Systems
    1 min
    Characteristics of a Well-functioning Financial System
    5 min
    Market Regulation
    5 min
  • 2. Security Market Indexes
    19 Lessons 60 Min

    In this section of the Fundamentals of Financial Markets course, we discuss the meaning of security market index and the difference between index price and total return. We examine the choices and issues in index construction and management and compare different weighting methods and how they affect index return. Towards the end of the section, we describe the different types of equity, alternative investments, and fixed income indexes.

    Security Market Index
    1 min
    Price and Total Return
    5 min
    Single-period Total Return
    2 min
    Index Value (Multiple Time Periods)
    2 min
    Index Construction and Management
    2 min
    Index Weighting
    3 min
    Equal Weighting
    2 min
    Market-capitalization Weighting
    2 min
    Float-adjusted Market-capitalization Weighting
    2 min
    Fundamental Weighting
    3 min
    Price-weighted Index (Value and Return)
    5 min
    Market-capitalization-weighted Index (Value and Return)
    3 min
    Equal-weighted Index (Value and Return)
    4 min
    Index Rebalancing
    4 min
    Market Indexes (Applications)
    5 min
    Equity Index Types
    4 min
    Fixed-Income Index Types
    2 min
    Alternative Investment Index Types
    4 min
    Security Market Indexes (Comparison)
    5 min
  • 3. Market Efficiency
    11 Lessons 49 Min

    In the last section of the Fundamentals of Financial Markets course, study investments from a theoretical perspective with the concept of market efficiency as the central point of discussion. Of course, we also touch on several types of equity securities. To help you grasp the practicalities, we highlight the difference between intrinsic and market value. Inevitably, the factors that affect a market’s efficiency will be observed, too. Such an in-depth understanding will give you a bird’s-eye view of the market. You will learn how to differentiate between market types and what their implications for fundamental and technical analysis are. And finally, we discuss how behavioral finance can help us learn about financial markets and understand market anomalies.

    Market Efficiency
    4 min
    Market vs. Intrinsic Value
    2 min
    Market Efficiency Factors
    7 min
    Market Efficiency Forms
    6 min
    Market Efficiency Forms (Implications)
    5 min
    Market Anomalies
    3 min
    Market Anomalies (Types)
    4 min
    Momentum and Overreaction Anomalies
    3 min
    Cross-Sectional Anomalies
    3 min
    Other Market Anomalies
    7 min
    Behavioral Finance
    5 min

Topics

Capital MarketsInvestment AnalysisFinance Fundamentals

Tools & Technologies

theory

Course Requirements

  • No prior experience or knowledge is required. We will start from the basics and gradually build your understanding. Everything you need is included in the course.

Who Should Take This Course?

Level of difficulty: Beginner

  • Aspiring investment professionals
  • Individuals seeking to enhance their investment literacy and understanding

Exams and Certification

A 365 Financial Analyst Course Certificate is an excellent addition to your LinkedIn profile—demonstrating your expertise and willingness to go the extra mile to accomplish your goals.

Exams and certification

Meet Your Instructor

Ivan Kitov

Ivan Kitov

COO at

8 Courses

2908 Reviews

33621 Students

Ivan is the COO of 365 Data Science and a CFA charterholder with over 12 years of professional experience in the financial sector. He earned his Master’s degree in Financial Economics from the Erasmus University of Rotterdam, the Netherlands in 2010 and has been fascinated by the world of artificial intelligence and machine learning ever since. Seeing how data science truly redefined the finance industry over the last decade, Ivan knew that he couldn’t stay on the sidelines. In 2019, he published his first online course on corporate finance, combining his expertise with his love of teaching. His goal is to establish 365 Data Science as the best learning platform for aspiring data professionals in the world.

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