Derivatives : The Tools That Changed Finance（好书！）

kingburg

Derivatives : The Tools That Changed Finance
http://rapidshare.com/files/54749379/Derivatives.pdf

Publisher:  Risk Books
Number Of Pages:  203
Publication Date:  2001-06
Sales Rank:  714149
ISBN / ASIN:  189933288X
EAN:  9781899332885
Binding:  Hardcover
Manufacturer:  Risk Books
Studio:  Risk Books
Average Rating:  4.5


Equips the lay reader with a clear and thorough explanation of financial derivatives and how they work.

Highy readable introduction to the entire realm of derivatives which is both instructive and entertaining.

Utilises a range of real life examples drawn from everyday life to provide a broad outlook on the subject matter which is global in perspective.

Presents a lucid conceptual background to derivatives by avoiding unnecessary technical details.


Review:

More anecdotal than informative

First a little about the authors-this is why I bought the book in my search to understand derivatives. Phelim Boyle comes to us from the ivory tower of the University of Waterloo, where he went to teach Advanced Finance after earning a PhD in physics from Trinity College, Dublin. With his highly technical background, he is in a good position to teach the eager investor about the most misunderstood tool in modern finance (not to mention I respect him because of his physics background...I know how hard it is!). Phelim was the first person to ever use Monte Carlo analysis to value an option (and if you don't get what that is, read the book-it really isn't that technical). His brother, Feidhlim, also was raised in the Emerald Isle, but he steered clear of academia, deciding to work for Goldman Sachs instead. Good decision. Goldman was the leader in selling and structuring fixed income derivatives in the 80s. Even the lowly bond traders there made their money. Basically, these guys have qualifications up to their ears. This is straight from the horse's mouth of derivative instruments.

With that said, I found the book not quite what I was looking for. This book explains the history of derivatives and gives an overview of the concept behind them. He explains fascinating phenomena-like when LTCM (Wall Street's \"darling\" hedge fund) almost brought down the entire financial system. The investment banks had to collectively fork over billions to save it all. But don't read this book if you are looking for the technical explanation of the Black-Scholes model. But then again: there is no good reason why you should want the technical explanation of the Black-Scholes model. I guess what I am trying to say is that if you want a technical overview of option pricing, go to the \"bible\" of derivative pricing-Options, Futures, and Other Derivatives, by John C. Hull, who is now a demigod on Wall Street (and who also incidentally reviewed this book with 5 stars). It is a text, but I found it very readable.

3Q，可惜是英文，看不懂。