Lifecycle of a Derivative Trade: Uncovering the Middle- and Back-Office Functions

Lifecycle of a Derivative Trade: Uncovering the Middle- and Back-Office Functions


IFM's one-day course takes you "behind the scenes" to explore how brokers and investors on the buy-side and sell-side of the industry perform these functions for listed and OTC derivatives, as well as cleared and uncleared swaps.  The program explores the functional building blocks of middle- and back-office operations for trade lifecycle activity, the infrastructure that links together these functions, and the points of failure representing operational risk. 

Learning Outcome

After the course you will be able to:

  • Analyze the functional building blocks of the trade for account set-up, client on-boarding, master agreements, confirmation, clearing and settlement, and collateral management
  • Identify the participants and their roles, including the investment managers, end-users, swap dealers, FCM's, interdealer brokers, exchanges and SEF's (Swap Execution Facilities), clearing houses and CCP systems, custodians and prime brokers
  • Explain the links and plumbing that connect industry participants in the trade lifecycle, including standards and protocols and books and records systems
  • Distinguish the role of clearinghouses and CCP systems
  • Analyze the collateral management process in mitigating counterparty credit risk
  • Understand protections in place for customer collateral and assets
  • Be able to explain why novations are done and how they are processed
  • Appreciate the impact of industry regulatory changes on derivative trade processing

Class Size:  Registration is limited to approximately 15 participants to promote student participation and interaction.

Who Should Attend:  Anyone who is interested in learning about the front-to-back functions of the trade lifecycle and OTC derivative trades, from the inception of an order through clearing and settlement.  Content is focused on middle- and back-office operations.  Attendees include operations, technology, audit, legal and compliance staff, as well as, third-party vendors and regulatory personnel.  

Level: Basic/Intermediate.  A prior understanding of derivatives is helpful.

Please read our terms and conditions before registering.

Registration Options

This course is not currently offered. Please email us at and we will notify you when it is available

If you are unable to complete your online order, please contact the IFM at 202-223-1528, or via e-mail at International orders require us to quote you an exact fee before process your order.