This course provides a comprehensive overview of average pricing, including how and why futures and options trades are average priced. It explains how fund managers achieve fair and equitable distribution of trades among their customers by using average pricing or best fit methodologies. The course features a detailed average pricing workflow, offering a step-by-step guide to processing of average trades. Knowledge checks, scenarios and an assessment test learners’ knowledge of the subject matter takes approximately 45 minutes.

Average Pricing is a required Level 2 course for candidates seeking to earn a Give-Up Professional micro-credential. Please note that Give Up Essentials and Give Up Essentials: Troubleshooting Real-World Scenarios are prerequisites to take this course.

eLearning Outcomes

Upon successful completion of the course, learners will be able to:

• Describe the two methods for allocating multiple executions to individual accounts and their benefits and applicable rules. Identify the differences between using on-Clearinghouse (CCP) or off-CCP Average Pricing and Best Fit methodologies.
• Explain how average prices are calculated and various system limitations to applying average pricing.
• Apply the steps for processing average pricing instructions according to the customer’s allocation schema.

Who Should Take This Course?

Whether you are employed by:

• a customer, including investment managers, principal trading firms, commercial hedgers or an introducing broker,
• an executing or clearing broker and work in sales, compliance, customer service, operations or are a new hire or inner firm transferee...

If your responsibilities include overseeing, explaining or implementing average pricing, you will benefit from this course.

Training Duration: Approximately 40 minutes. Course completion is earned by passing the assessment at the end of the course with a score of 80% or higher.

Qualify for a Discount? FIA Member firms and their employees are eligible for discounts on courses. FIA members include more than 300 financial services firms as well as fund managers, commercial hedgers, global exchanges, technology vendors, and legal and other professional services providers.