SIAA Fundamentals of Securities case studies
SIAA Fundamentals of Securities · Put your knowledge to work in context.
The SIAA Fundamentals of Securities credential is an entry-level qualification for people starting careers in the securities industry, including sales and advisory roles, operations and back-office staff, compliance and risk assistants, and graduates or career changers who need a structured grounding in how markets work. It is designed to test whether a candidate understands the products, processes and rules that underpin everyday securities business rather than deep quantitative analysis. The SIAA Fundamentals of Securities case studies are 5 cases and about 3,105 words.
1The Client Who Wanted Income and Growth
A 58-year-old client, Ms. Okafor, has a portfolio worth 2.4 million in local currency.
689 words, about 3 min2Duration, Credit and the Laddered Portfolio
A corporate treasurer holds 5 million in a bond portfolio: 60% in a single A-rated 10-year bullet bond yielding 5.2%, 40% in short government bills yielding 3.1%. Rates have risen sharply and the 10-year bond's price has fallen about 8%.
618 words, about 3 min3Settlement Fails and the Trade That Would Not Settle
A fund manager buys 12 million of a thinly traded corporate bond on T+2. On settlement day the seller's custodian does not deliver because the bonds are held in a different depository than the one named in the instructions.
585 words, about 3 min4The Derivative That Hedged Nothing
An asset manager holds 40 million of a diversified equity portfolio benchmarked to a broad index. Expecting a short-term correction, the manager buys put options on the index with a strike 5% below the current level, expiring in three months, paying 600,000 in premium.
595 words, about 3 min5The Fund That Gated Its Investors
An open-end fund holds 30% of its assets in illiquid private loans and 70% in listed bonds. Redemptions have surged: investors representing 25% of units have asked to redeem within one month, and the fund's documents allow redemptions monthly with a 30-day notice.
618 words, about 3 min