Risk Management and Financial Derivatives: A Guide to the Mathematics (Finance and Capital Markets Series) - Tapa dura

Modern financial management entails an appreciation of a number of key mathematical concepts. This is particularly relevant to risk and risk management products, such as derivatives. The central role played by these products in capital markets is forcing an ever broader range of personnel to be aware of and utilise these concepts either from a supervisory perspective or in their day-to-day activities. This book explains the mathematical basis of risk and derivatives in a non-technical manner to allow non (maths) specialists to gain an appreciation of the concepts that are utilised. Each chapter is written by a leading market practitioner. The book looks at the basic mathematics underlying risk and risk management products and the applications of these techniques to a number of common settings. This should allow understanding to be gained about concepts actually used.

Financial risk management - along with its complex mathematical concepts and equations - is part of daily life for growing numbers of businesspeople, from bankers and portfolio managers to financial executives in most major industries. With millions, or even billions, of dollars continually at risk, the cost of a misunderstood or misapplied concept can be devastating. Risk Management and Financial Derivatives: A Guide to the Mathematics meets the demand for a simple, nontechnical explanantion of the methodology of risk management and financial derivatives. Articles and papers written by leading practitioners from around the globe provide: Easy-to-understand explanantions of the basic mathematics underlying risk management and financial derivaties products. Examples of the actual application of these risk management techniques in a number of commonly encountered settings. In-depth coverage of up-to-the-minute strategies, from hedging and arbitrage to value-at-risk and portfolio stresss simulations based on Monte Carlo techniques. Risk Management and Financial Derivaties provides clear, concise explanations of the mathematics behind today's complex financial risk amangement topics. An ideal introduction for those new to the subject. it will also serve as an indispensible reference for those already experienced in the field.