Product Description

This book provides a beautiful overview of what mathematics and MATHEMATICA can do for finance. Sophisticated theories are presented in a rigorous but user-friendly, practical style, which, with the programming capabilities of MATHEMATICA, help the reader develop good intuition in real trading.

Key features:

* Entire book is on cross-platform CD written in MATHEMATICA

* quick introduction to MATHEMATICA provided

* minimal prerequisites: good understanding of calculus and some differential equations

* a highly original presentation of optimal portfolio diversification.

The book is designed for instructors and students, and most importantly, will meet the everyday trading needs of the professional---the analytically inclined individual investor who wants to solve various problems encountered when investing and trading in stocks and stock options.

Product Details

• Amazon Sales Rank: #941669 in Books
• Published on: 2002-10-04
• Original language: English
• Number of items: 1
• Binding: Hardcover
• 520 pages

Review

"Stojanovic offers an excellent, user-friendly presentation of advanced mathematical techniques and Mathematica programming for solving problems in finance and trading. He demonstrates the value of probability, mathematical statistics, calculus of variations, and optimal control of stochastic, ordinary and partial differential equations to the study of market analysis. Solutions are computed symbolically, numerically, or by means of Monte-Carlo simulations.... A very useful and valuable book for researchers, students, professionals, and individual investors."   —Choice

"It is an innovative approach and is very useful for students and practitioners in finance to learn how to use mathematics for investment analysis."   —Mathematical Reviews

"This book is a state-of-the-art introduction to the mathematics of computational finance. The author reviews and extends several recent breakthroughs and also provides new material, which is highly recommended. The novel use of Mathematica enhances the learning experience by letting the reader focus on the essential ideas. I thoroughly recommend this book to both students and practitioners."   —Peter Carr, Courant Institute, New York University

Customer Reviews

it is a very action orientied book
i am planning to carry out the elabaorated calculation and their variations in this book to develop my model based investment strategy.

Best book on the subject I've read!
I've read a lot about financial math (I'm a physicist and love mathematics). This book is a gift. Just the tips (and code) on using Mathematica to process the data are worth the price alone. I don't buy into the Efficient Market Hypothesis and this book delivers (section 8.2) on fast markets. He correctly looks at the cash balance, something most folks gloss over, and sets up the various symbolic and numerical solutions in a useful way. The language is a bit terse and the structure drove me nuts until I got into the swing of the rhythm of the flow. I am grateful for the language now - we get a detailed look into the mind of someone who just plain KNOWS this subject. The fact you get the whole book as a series of Mathematica notebooks which are executible is a real plus. A few quick changes to the code and you have YOUR problem well on the way to solution. It is practical, explicitly direct, charmingly theoretical and powerfully presented. The only problem is I want a second volume and I want it NOW!

Tough book but very useful
This book is merciless; very complex, very dense. It is also, however, extremely useful. If Stojanovic were to publish ten more books on the topic, he would probably revolutionize the use of Mathematica in finance. The enclosed CD was also useful; such things are usually worthless but in this case, the book contains so much code that it would not be practical to implement without a digital copy.

The book is certainly a bargain at $70.