Fundamentals of Derivatives Markets / Edition 1

by Robert L. McDonald

Overview

  Fundamentals of Derivatives Markets is a succinct yet comprehensive adaptation of the author’s successful text, successful text, Derivatives Markets . Streamlined for a broad range of undergraduate students, the approachable writing style and accessible balance of theory and applications introduces essential derivatives principles. By exploring various methods for valuing derivatives and by discussing risk management strategies in real-world context, Fundamentals of Derivatives Markets develops students’ financial literacy for today’s corporate environment.

  Introduction to Derivatives. Insurance, Hedging, and Simple Strategies: An Introduction to Forwards and Options; Insurance, Collars, and Other Strategies; Introduction to Risk Management. Forwards, Futures, and Swaps: Financial Forwards and Futures; The Wide World of Futures Contracts; Interest Rates Forwards and Futures; Swaps. Options: Parity and Other Option Relationships; Binomial Option Pricing; The Black-Scholes Formula. Financial Engineering and Applications: Financial Engineering and Security Design; Corporate Applications; Real Options.

  For all readers interested in derivatives, options, and futures.

Product Details

ISBN-13:	9780321357175
Publisher:	Pearson
Publication date:	04/14/2008
Series:	Pearson Custom Business Resources Series
Edition description:	New Edition
Pages:	544
Product dimensions:	7.20(w) x 9.10(h) x 1.10(d)

About the Author

Robert L. McDonald is the Erwin P. Nemmers Distinguished Professor of Finance at Northwestern University’s Kellogg School of Management, where he has taught since 1984. He is co-editor of the Review of Financial Studies and has been an associate editor of the Journal of Finance, the Journal of Financial and Quantitative Analysis, Management Science, and other journals. He holds a BA in economics from the University of North Carolina at Chapel Hill and a PhD in economics from MIT.

Table of Contents

Chapter 1: Introduction to Derivatives

Part I: Insurance, Hedging, and Simple Strategies
Chapter 2: An Introduction to Forwards and Options
Chapter 3: Insurance, Collars, and Other Strategies
Chapter 4: Introduction to Risk Management

Part II: Forwards, Futures, and Swaps
Chapter 5: Financial Forwards and Futures
Chapter 6: The Wide World of Futures Contracts
Chapter 7: Interest Rates Forwards and Futures
Chapter 8: Swaps

Part III: Options
Chapter 9: Parity and Other Option Relationships
Chapter 10: Binomial Option Pricing
Chapter 11: The Black-Scholes Formula

Part IV: Financial Engineering and Applications
Chapter 12: Financial Engineering and Security Design
Chapter 13: Corporate Applications
Chapter 14: Real Options