Product Description

The world’s leading financial thinkers share their insights into the latest developments in credit derivatives

In The Credit Derivatives Handbook, some of the world's sharpest financial and legal minds come together to discuss how credit derivatives have evolved from tools restricted to the banking industry into flexible and customizable instruments used by investors of all kinds.

You will come away with the knowledge and insight needed to measure and value risk, as well as the ability to put credit derivatives to work. Over fifteen contributors provide in-depth analyses of subjects in their respective areas of expertise, such as:

• Key products, applications, and typical trades, hedging and credit structuring
• Pricing of credit default swaps and synthetic CDOs
• Design of synthetic CDOs
• Copula models, with illustrative examples
• Credit derivatives in investment portfolios
• Opportunities for structuring credit derivatives in accordance with Islamic finance

Comprehensive in scope but executed in meticulous detail, The Credit Derivatives Handbook provides a complete, global perspective of what the editors consider “one of the most important financial innovations of recent times.”

Product Details

• Amazon Sales Rank: #845257 in Books
• Published on: 2008-07-02
• Original language: English
• Number of items: 1
• Binding: Hardcover
• 528 pages

From the Back Cover

The Inside Track on the Most Innovative Financial Instrument Today

“[The Credit Derivatives Handbook] presents a rigorous examination of the design, pricing, and use of credit derivatives. It combines an impressive breath of topics with in-depth analysis of individual topics."
-Paul Brockman, Matteson Professor of Financial Services, Department of Finance, University of Missouri-Columbia

"This handbook . . . will be useful to anyone requiring a comprehensive review and introduction to most aspects of this exciting new area . . ."
-David E. Allen, Professor of Finance at Edith Cowan University, Perth, Western Australia

“An impressive survey of current research in credit derivatives by academics and practitioners from around the world. It will be useful to those working outside the area who wish to gain a greater understanding of this topic and to those within the field who want to learn more about state-of-the-art research in credit derivatives.”
-Burt Porter, Professor of Finance, Iowa State University College of Business

“Greg and Paul have struck well the delicate balance between theoretical and empirical papers and also managed to include geographies beyond the United States.”
-Dr. Viral Acharya, Professor of Finance and Academic Director of Private Equity Institute, London Business School

About the Author

Greg N. Gregoriou is Professor of Finance in the School of Business and Economics at the State University of New York, Plattsburgh. He holds a Ph.D. in finance from the University of Quebec in Montreal. Gregoriou specializes in hedge funds, funds of hedge funds, and managed futures. He has published 26 books and over 50 journal articles. He is also hedge fund editor for the peer-reviewed publication Journal of Derivatives and Hedge Funds and editorial board member of the Journal of Wealth Management and the Journal of Risk Management in Financial Institutions.

Paul U. Ali is an Associate Professor in the Faculty of Law at the University of Melbourne, Australia, and a member of its Centre for Corporate Law and Securities Regulation. Previously, he practiced law in Sydney. Ali has published numerous books and articles on banking and finance law, corporate governance and institutional investment law, securitization law, and structured finance law.

Customer Reviews

A complete and comprehensive guide to credit derivatives
Credit derivatives are used by countless investors and bankers, but how do they work? "The Credit Derivatives Handbook" is a complete and comprehensive guide to credit derivatives. Seeking to give their readers everything they need to know to masterfully use derivatives in order to maximize profits and efficiency, co-editors Greg N. Gregoriou and Paul Ali have compiled a core instructional guide and body of informed and informative commentary on one of the more complicated of the financial instruments of the late 20th Century. Called one of the most important recent financial innovations, gaining a grasp of the subject is vital for tomorrow's finance world. It also speaks on international opportunities as well, making "The Credit Derivatives Handbook" enthusiastically recommended for those looking for an encyclopedia on the subject and who want a perfect grasp on today's finance -- especially in view of our financial industry's current volatility.

impressive rigour
The authors explain credit derivatives with impressive rigour. The book marshals contributions from academics and industry professionals.

One distinguishing aspect is the chapter on Islamic finance. While there have been books on this subject, rarely does it seem discussed in the context of credit derivatives. Yet the contortions necessary to avoid the payment of interest often seems to lead to a financial instrument that can indeed be called a credit derivative. We see how the shifting of ownership and risk, and the decoupling between these, gives rise to derivative structures.

Credit default swaps are also covered in the text. You see their common makeup and how pricing can be determined.

The maths in the book is sophisticated and often necessitates a strong background in maths or the sciences.