- •Курс англійської мови для фінансистів
- •Unit 1 financial markets. The bond market
- •Text trading in the bond market
- •Vocabulary list
- •Exercises
- •The Eurobond Market
- •French Government Securities
- •The Chinese Bond Market
- •Discussion
- •Eurobond Market
- •In order to get prepared for participation in the class discussion of the above questions, write a short essay on the following:
- •Reading practice
- •Us Government Securities
- •Borrowers Pile Up the Yankees
- •Unit 2 financial markets. The stock market
- •Text stocks and markets
- •The corporate securities market in russia
- •Vocabulary list
- •Exercises
- •Equity Market
- •The New York Stock Exchange
- •Discussion
- •A) Bulls, Bears and Stags
- •Reading practice
- •Third and Fourth Markets
- •Investment activity
- •Investments
- •Investment climate
- •Vocabulary list
- •Exercises
- •Think of word combinations with these nouns:
- •Think of the verbs most commonly used with:
- •Write down 3-5 questions about the text.
- •Say what advantages individuals have when they invest in investment companies.
- •Investment Companies
- •Write down 3-5 questions about the text.
- •Explain how most dynamic institutional investors today - pension funds and
- •Food Giants Build Local Yogurt Plants
- •Norwegians to Buy 25% of Vimpelcom
- •Discussion
- •In order to get prepared for participation in the class discussion of the questions, write a short essay on the following:
- •Reading practice
- •Investment Skill Is a Rare Commodity
- •Investment Trusts
- •Foreign Investments in Russia
- •Cornerstone of the global financial market
- •Vocabulary list
- •Exercises
- •Write down 3-5 questions about the text.
- •Describe the components of the global financial markets. Global Financial Markets
- •Managing Exchange Rate Risk. Hedging
- •The Eurocurrency Market
- •Discussion
- •Present them in a short review.
- •Discuss the problem raised in the text. Tougher Measures Needed to Counter Macroeconomic Effects of Money Laundering
- •In order to get prepared for participation in the class discussion of the questions, write several short paragraphs about:
- •Reading practice
- •Foreign Exchange Swaps
- •Foreign Exchange Options
- •Unit 5 financial management
- •Text finance function
- •Financial ratios
- •Ratio analysis
- •Vocabulary list
- •Exercises
- •Write down 3-5 questions about the texts.
- •Say in what activities financial managers are involved.
- •Financial Capital
- •Discussion
- •Corporate Governance
- •Investment Management
- •In order to get prepared for participation in the class discussion of these questions.
- •Reading practice
- •Capital Structure and Cost of Capital
- •Liquidation
- •The Cash Flow Concept
- •Unit 6 accounting
- •Accounting principles and concepts
- •Accountancy in a free-market economy
- •Public and private accountants
- •Vocabulary list
- •Exercises
- •Accounting Records
- •Accountancy Profession
- •Discussion
- •Accounting Methods .
- •In order to get prepared for participation in the class discussion of the questions, write a short paragraph, explaining:
- •Reading practice
- •Green Accounting
- •Unit 7 international monetary system
- •International monetary institutions
- •Imf's support for russian reforms
- •Vocabulary list
- •Exercises
- •Make your own sentences with any five word combinations from (b) and (c).
- •Match the verbs from (a) with the nouns from (b) below:
- •Write down 3-5 questions about the text.
- •Describe the purposes for which the imf was set up.
- •International Monetary Fund
- •Write down 3-5 questions about the text.
- •Describe the purposes for which the organization was set up. Your Partner ebrd
- •Fiftieth Anniversary of the Bretton Woods Conference
- •Sum up the text in 5-7 sentences and present your summary in class.
- •Describe the World Bank's activities. Say how they differ from those of the imf.
- •Discussion
- •Fiscal Issues Are a Growing Concern of the imf
- •In order to get prepared for participation in the class discussion of the questions, write a short essay on:
- •Reading practice
- •Some Facts About the sdr
- •Literature
- •Contents
- •Курс англійської мови для фінансистів
- •83050, М. Донецьк, вул. Щорса, 31
- •83023, М.Донецьк, вул. Харитонова,10.
In order to get prepared for participation in the class discussion of the questions, write several short paragraphs about:
The composition of the exchange market.
The structure of the global financial market.
Ex. 12. Prepare a short talk on the following:
The major participants of the foreign exchange markets.
What is the rate of exchange determined by?
Instruments and transactions made in the currency markets (spot trading, futures and forward contracts, swaps, options).
Explain the global character of the exchange market.
What is arbitrage?
Russia's efforts to fight money laundering.
Reading practice
Ex. 13. Read the text quickly to find the types of most widely used swaps:
Foreign Exchange Swaps
Swaps are transactions in which two parties swap financial assets by linking a foreign exchange transaction in cash to an opposite futures business in the same currency.
Foreign Exchange Swap Markets have developed since the early 1980s. The oldest type of swap is the conventional foreign exchange deal whereby one currency is simultaneously bought spot and sold forward against another - meaning an immediate exchange of cash followed by a further reverse exchange at a specified date in the future.
The idea of swapping has now spread further. By far the largest business volume amongst swaps occurs in the so-called "vanilla interest rate swap". A "plain vanilla", or fixed-to-fixed foreign exchange, or currency swap is an exchange of the principal and interest payments associated with a fixed-rate loan in one currency for the principal and interest payments on a similar loan in a second currency. The first such swap between IBM and the World Bank was done in 1981. Since then the swap market has grown to over $ 1 billion and, in the process, has evolved several additional types of currency swaps.
Words you may need:
Англiйский варiант |
Росiйський варiант |
Український варiант |
Foreign Exchange Swap |
валютный «своп» |
валютний «своп» |
to buy spot |
купить на условиях «слот» |
купити на умовах «слот» |
followed by |
за которым следует... |
за яким прямує... |
vanilla interest rate swap |
«своп» процентный |
«своп» відсотковий |
plain vanilla |
простой процентный «своп» |
простий відсотковий «своп» |
evolve v |
развиваться, эволюционировать |
розвиватися, еволюціонувати |
Ex. 13.
a) Read the text quickly to find answers to the following questions:
What does the price of a foreign exchange option depend on? What are the prospects for the option markets?
Foreign Exchange Options
Options as a financial instrument have a reasonably short history in financial markets, with the first option contracts being traded in Chicago in 1973. In foreign exchange, a call option on the US dollar is the right to buy the US dollar, and a put option is the right to sell the US dollar. To purchase an option, the buyer has to pay a premium. To write an option, the seller receives a premium.
There are three different types of users of foreign exchange options: the corporate treasury, the fund manager, and the commercial bank trading room. For example, in the currency option markets, the corporate treasury can buy the right, but not the obligation, to sell or buy currency forward, if required. This option, to decide whether to buy or sell currency, is particularly important when the firm is unsure about the timing or size of foreign currency receipts or payment.
International banks, in their turn, use currency options for their customers and for their own trading. In the past few years, nearly all dealing rooms have seen a large growth in the use of currency options and banks have started employing traders purely to trade currency options for the bank's own account.
Options are also sold "over the counter" (OTC) in a manner similar to currency forward contracts. OTC contracts have very flexible terms arranged by negotiation between the (normal bank) supplier and corporate buyer. Thus the currencies to be bought and sold can vary according to the corporate customer's needs and do not have to correspond to exchange market conventions. Amounts, duration of the option, and price can all be negotiated and matched to the corporate customers' exposure.
The volume of trading on the OTC market between banks is even higher than on the listed options market. There is no public secondary market in OTC currency options but trading is conducted by telephone using prices available on screen systems provided by large international (commercial and investment) banks. MNCs are major users of OTC options and are key participants in the screen markets. These OTC markets are closely linked to spot and forward markets in currency in which the banks and MNCs also play central roles.
The organised currency option exchanges provide an important public pricing mechanism for the MNC treasurer and may also provide a suitable currency option contract for foreign cash flows of known size but uncertain likelihood of occurrence.
The price of a foreign exchange option depends on: the length of a period desired to be covered by the option; the underlying volatility of the foreign exchange market; the relationship between the spot exchange rate and the desired price or the desired strike price; option premium; foreign interest rate.
Moreover, the type of currency option that financial institutions, corporations and the like can trade in varies from the extremely simple to the very sophisticated. It is possible to design tailor-made foreign exchange options to suit requirements, as essentially a foreign exchange option is akin to an insurance premium on the foreign exchange market. All this makes this instrument very attractive.
Within the past fifteen years the use of options has grown in all financial markets. It seems quite likely that foreign exchange options will grow further in coming years.
Words you may need:
Англiйский варiант |
Росiйський варiант |
Український варiант |
call option |
опцион «колл» |
опціон «колл» |
put option |
опцион «пут» |
опціон «пут» |
to write an option |
исполнить опцион |
виконати опціон |
corporate treasury |
подразделение в корпорации, занимающееся управлением ее свободными средствами |
підрозділ в корпорації, що займається управлінням її вільними засобами |
to sell (buy) forward |
продать (купить) на срок |
продати (купити) на термін |
convention и |
конвенция, соглашение |
конвенція, угода |
strike price |
цена исполнения |
ціна виконання |
and the like |
и тому подобное |
і тому подібне |
tailor-made adj |
с учетом потребностей заказчика |
з урахуванням потреб замовника |
to be akin (to) |
быть сродни, быть близким (чему-л.) |
бути схожий, бути близьким (чому-не будь) |