This series of five online self-study modules surveys key facets of investments including an introduction to the most influential trading market systems for securities in the United States, including the national markets such as NYSE, AMEX and NASD, and some regional exchanges as well. For each system, a historical perspective is provided, with explanations on how trading is conducted in these markets. The series consists of the following five self-study, self-paced modules, each approximately 90-120 minutes of study time: Financial Markets in the United States; The Investment Environment; The Money Market; The Fixed Income Capital Market; and The Equity Market.

This module aims to introduce the most influential trading market systems for securities in the United States, including such national markets as NYSE, AMEX, and NASD, and some regional exchanges. For each system, a historic perspective is provided, with explanations on how trading is conducted in these markets.

What you will learn:
-The trend of stock trading activities in the United States national markets.
-Institutional features of national stock exchanges in the United States – NYSE and AMEX.
-Institutional features of an over the counter market in United States – NASDAQ.

This module introduces the general features of the investment environment. It first illustrates the difference between financial assets and real assets. It then introduces three major sectors of market participants, including households and individuals, business, and government. After that, it demonstrates via examples how financial markets are designed and financial innovations are initiated to meet the demands from these sectors. The module further explains different structures of the organized financial markets. It concludes with a discussion of recent trends in financial markets.

What you will learn:
-The distinction between real and financial assets and how they contribute to the productive capacity of the economy.
-How financial markets are designed and financial innovations are initiated to improve the welfare of the households, businesses and governments.

This module discusses on the equity markets, those markets where common stocks that represent ownership shares in corporations, and preferred stocks that resemble features of both debts and equities are traded. This module also introduces several of the important stock market indices, U.S. indices such as the DJIA, S&P500, and non-U.S. indices such as Nikkei, FTSE, and DAX.

What you will learn:
-The key features of common stocks and preferred stocks.
-Different measures of stock values including intrinsic values, book value, replacement cost, and liquidation value.
-The major stock market indices for both U.S. and the non-U.S. stocks markets.

This module studies the market for long-term fixed income securities, including Treasury Notes and Bonds, corporate bonds, federal agency debts including mortgage securities, and municipal bonds. It also covers the instruments traded on international fixed income markets. In addition to the coverage of institutional features of these securities, this module also examines methods of valuation and yields on these instruments.

What you will learn:
-How to calculate present values and different measures of bond yields.
-The key institutional features of Treasury bonds/notes, corporate bonds, Federal agency bonds, etc.
-How embedded options such as callability, putability, and convertibility, affect bond prices.

This module focuses on money market instruments, which are short term, low risk and liquid debt securities, also known as cash equivalents. Particularly, it introduces the key features of various securities including Treasury bills, Certificates of Deposit (CDs), Bankers’ Acceptances, Brokers’ calls, Commercial Paper, Repos and Reverses, Federal Funds, Eurodollars, and LIBOR. The module also discusses how to measure yields on these securities.

What you will learn:
-The operation of the primary and secondary markets for U.S. government Treasury bills.
-How to calculate Bank Discount Yields (BDY), Bank Equivalent Yields (BEY) and Effective Annual Rate (EAR) for Treasury bills.
-Basic overview of other money market instruments including Certificates of Deposit (CDs), Bankers’ Acceptances, and Brokers’ calls, Commercial Paper, Repos and Reverses, Federal Funds, Eurodollars, and the London Interbank Offer Rate (LIBOR).