Capstone Simulations for Fixed Income Securities

Jointly Developed with Prof M Kannadhasan, IIM Raipur

Warm greetings and best wishes from the EquityLevers Team!

We introduce a new way to learn finance skills - "by doing". Our online personalized finance lab, www.equitylevers.com, provides real-time simulations in MS excel for a wide range of finance subjects using data from real companies and situations. A logical extension to textbooks and videos for real practice so that work skills could be developed alongside the knowledge. The simulations are designed by senior practitioners having considerable experience in corporates and by professors at the Indian Institutes of Management.

Our Simulations for Teaching/ Testing Skills in Fixed Income securities

We are happy to introduce first of a kind, real data-enabled excel based simulations to develop skills in the area of fixed income securities. These simulations have been developed under the guidance of Prof M Kannadhasan, IIM Raipur.

As fixed-income securities markets are much larger than equity markets, a better understanding is essential for all finance aspirants. We use the real-time spot rates obtained from the CCIL website. The simulations under this subject aim to make participants familiar with the concepts of bond mathematics and the application of the same in real life. Explore the basics of a bond, the relationship between bond price and yield, pricing, and measuring the interest rate risk. Simulations have been set from basic to advanced levels.

Practical Examples in Fixed Income Analysis

  • Sovereign Gold Bond ETF - Sovereign Gold Bonds are government securities denominated in grams of gold. These are substitutes for holding physical gold. The risk and cost of storage of gold are eliminated in this medium of investment. Learn all about how to make investments in SGBs in this unique simulation.

  • Bharat Bond ETF - Bharat bonds invest in government-backed undertakings and corporations. These were launched to give investors a direct opportunity to invest in high-quality, high-security bonds. Today, Bharat Bond is a very popular investment among investors. Learn all about making investments in Bharat Bonds in this simulation.

  • NHAI Tax-Free Bond - NHAI is India's leading National Highways Development Corporation. To fund the highway’s development NHAI has issued several tranches of bonds that have tax exemption on the interest earned. These are also listed and hence offer yield-based investment opportunities to investors. Learn the inner working of NHAI bond investments.

  • RBI Floating Rate Savings Bond - RBI floating rate bonds offer a unique instrument to investors who seek to protect their investments from interest rate risk. However, these instrument has some unique disadvantages. Learn all about making investments in RBI floating rate savings bonds in this simulation.

Where to find the simulations :

  1. Fixed Income - Basics of Bond and Yield Computation

  2. Bond Valuation - Straight Bonds and Embedded Option Bonds

  3. Fixed Income - Interest Rate Measures and Bond Duration

  4. Fixed Income Practical Examples

  5. Gold and Tax-Free Bonds

About EquityLevers: We are AICTE approved.

“Learning by doing” has been scientifically proven as the best way to learn any subject or skill whatsoever.  We at EquityLevers strongly believe that mastering financial concepts is very much like learning to play cricket or learning to dance -- the more time one would spend in solving real-life problems, the deeper would be his/her understanding. EquityLevers offers 140 basic to advanced finance skill projects in Excel across 10 major finance subjects including Investor Education, Personal Finance, Accounting, Financial Analysis, Corporate Finance, Bond and Fixed Income Markets, Valuation, and Modelling Mutual Funds and Wealth Management, Managerial Accounting, Finance for Marketing and Operations Managers, Derivatives and Risk Management.  The projects are set in the Indian context with real-time data from companies to help prepare for job roles in investing, accounting, treasury, trading, wealth management, and so on. 


Key Features of Capstone Simulations

Key highlights of our Simulations are as follows:

1.  Each simulation is built around the practical examples so one can directly apply the knowledge on the job. The projects are set to move up from basic level to advanced level.

2.  The simulations are required to be solved by candidates and “learn by doing”.

3.  A host of features are available to provide personalization to each candidate and also prevent copying (and ensure every candidate solves the simulation).

4.  We also provide study material and video recordings of solutions for similar live projects. The idea is to show how it is done and then enable them to solve it. For students who do not have excel skills, an excel primer was also provided.

5.  Usage: Students can self assign our certifications (a set of simulations) and Professors, trainers and recruiters can assign our certifications as tests and as certifications

How does the Simulation work

Students download a simulation as a password-controlled excel workbook. At the time of download, real-time data of a listed company is downloaded from our live terminal. A student has to solve and provide answers in the solution worksheet. Based on answers, a scoring mechanism scores student’s answers and computations. The structure of the simulation is designed to depict a corporate work situation.

This corporate video explains our product in detail

This full video sample shows how the simulations work. This example is on “cash flow statement preparation” from a provided live Income statement and balance sheet.

Thank you for reading.

Feedback and Queries: founder@equitylevers.com

Leave a comment

Share