- Level Foundation
- Duration 8 hours
- Course by Indian School of Business
-
Offered by
About
The purpose of this course is to equip you with the knowledge required to comprehend the financial statements of a company and understand the various transactions that take place in the stock market so that you can replicate the strategies discovered by the extant academic literature. The first part of the course provides a brief introduction to financial statements and various common filings of firms. You will learn how to obtain information regarding a company's performance from them and use the information to build trading strategies. Next, you are taught basic asset pricing theories so that you will be able to calculate the expected returns of a stock or a portfolio. Finally, you will be introduced to the actual functioning of asset markets, type of players in the market, different types of orders and the efficient ways and opportune time to execute them, trading costs and ways of minimizing them, the concept of liquidity .etc. This knowledge is required to develop efficient algorithm to execute various trading strategies.Modules
Introduction
1
Videos
- Introduction
Videos
11
Videos
- 1. Introduction to accounting
- 2. The balance sheet
- 3. Assets
- 4. Liabilities
- 5. Shareholders’ Equity
- 6. Income Statement
- 7. Expenses 1
- 8. Expenses 2
- 9. Statement of Cash Flows
- 10. Cash Flows from Operations
- 11. Cash Flows from Investments and Financing
Additional Resources
1
Discussions
- Manchester United
1
Readings
- 10 Things to Know About Every Cash Flow Statement
Quiz 1
1
Assignment
- Quiz 1
Videos
5
Videos
- 1. Financial Statement Analysis
- 2. Profitability ratios
- 3. Activity Ratios
- 4. Solvency and Liquidity Ratios
- 5. DuPont Identity
Additional Resources
1
Readings
- What are the limitations of ratio analysis?
Quiz 2
1
Assignment
- Quiz 2
Videos
9
Videos
- 1. Expected returns and risk
- 2. Diversification
- 3. CAPM
- 4. CAPM Beta
- 5. Multifactor Models
- 6. APT
- 7. Arbitrage
- 8. Arbitrage-Free Price
- 9. Risk Factors
Additional Resources
1
Discussions
- Asset pricing models
1
Readings
- The 15-Stock Diversification Myth
Quiz 3
1
Assignment
- Quiz 3
Videos
11
Videos
- 1. Market and Limit Orders
- 2. Limit Order Book
- 3. More Limit Order Book
- 4. Limit Price Placement
- 5. Stop-Loss Orders
- 6. Short-Selling
- 7. Other Order Instructions
- 8. Liquidity
- 9. Transaction Costs
- 10. Implicit Transaction Costs
- 11. Implementation Shortfall
Additional Resources
1
Discussions
- Liquidity
1
Readings
- Is the market microstructure of stock markets important?
Quiz 4
1
Assignment
- Quiz 4
Auto Summary
"Trading Basics" is a foundational course designed for those interested in Business & Management. Offered by Coursera and led by expert instructors, it provides essential knowledge on interpreting financial statements, understanding stock market transactions, and developing trading strategies. The course covers asset pricing theories, market functions, and trading costs over 480 minutes. Ideal for beginners, it includes a starter subscription option, making it accessible for anyone eager to delve into the world of trading.

Ramabhadran Thirumalai