| ||||||||||||
 Trade In this Item for up to £45.45
Get an extra £5 when you trade in books worth £10 or more until June 30, 2012. Trade in Numerical Methods in Finance and Economics: A MATLAB-based Introduction (Statistics in Practice) for an Amazon.co.uk gift card of up to £45.45, which you can then spend on millions of items across the site. Trade-in values may vary (terms apply). Find more products eligible for trade-in.
|
Frequently Bought Together
Product details
|
More About the Author
Product Description
Review
"Inquisitive statisticians may find this book an interesting read in which to put their theories and epistemology to the test." (Journal of American Statistics, 2008)"In summary, this book is a "must have" for professionals and researchers who employ numerical methods in economic and financial modeling. The amount and quality of the material that the author offers is so generous that readers are likely to benefit from it even if they are not interested in some of the specific applications presented." (Interfaces, June 2008)
"...written in such a lucid way that it provides great pleasure in reading...excellent for students...of great value to practitioners who are new to the field." (MAA Reviews, November 23, 2006)
"…a broad and enjoyable introduction to computational finance." (Journal of the American Statistical Association, December 2007)
"...written in such a lucid way that it provides great pleasure in reading...excellent for students...of great value to practitioners who are new to the field." (MAA Reviews, November 23, 2006)
"...written in such a lucid way that it provides great pleasure in reading...excellent for students...of great value to practitioners who are new to the field." (MAA Reviews, November 23, 2006)
Product Description
A state–of–the–art introduction to the powerful mathematical and statistical tools used in the field of finance
The use of mathematical models and numerical techniques is a practice employed by a growing number of applied mathematicians working on applications in finance. Reflecting this development, Numerical Methods in Finance and Economics: A MATLAB?–Based Introduction, Second Edition bridges the gap between financial theory and computational practice while showing readers how to utilize MATLAB?––the powerful numerical computing environment––for financial applications.
The author provides an essential foundation in finance and numerical analysis in addition to background material for students from both engineering and economics perspectives. A wide range of topics is covered, including standard numerical analysis methods, Monte Carlo methods to simulate systems affected by significant uncertainty, and optimization methods to find an optimal set of decisions.
Among this book′s most outstanding features is the integration of MATLAB?, which helps students and practitioners solve relevant problems in finance, such as portfolio management and derivatives pricing. This tutorial is useful in connecting theory with practice in the application of classical numerical methods and advanced methods, while illustrating underlying algorithmic concepts in concrete terms.
Newly featured in the Second Edition:
∗ In–depth treatment of Monte Carlo methods with due attention paid to variance reduction strategies
∗ New appendix on AMPL in order to better illustrate the optimization models in Chapters 11 and 12
∗ New chapter on binomial and trinomial lattices
∗ Additional treatment of partial differential equations with two space dimensions
∗ Expanded treatment within the chapter on financial theory to provide a more thorough background for engineers not familiar with finance
∗ New coverage of advanced optimization methods and applications later in the text
Numerical Methods in Finance and Economics: A MATLAB?–Based Introduction, Second Edition presents basic treatments and more specialized literature, and it also uses algebraic languages, such as AMPL, to connect the pencil–and–paper statement of an optimization model with its solution by a software library. Offering computational practice in both financial engineering and economics fields, this book equips practitioners with the necessary techniques to measure and manage risk.
The use of mathematical models and numerical techniques is a practice employed by a growing number of applied mathematicians working on applications in finance. Reflecting this development, Numerical Methods in Finance and Economics: A MATLAB?–Based Introduction, Second Edition bridges the gap between financial theory and computational practice while showing readers how to utilize MATLAB?––the powerful numerical computing environment––for financial applications.
The author provides an essential foundation in finance and numerical analysis in addition to background material for students from both engineering and economics perspectives. A wide range of topics is covered, including standard numerical analysis methods, Monte Carlo methods to simulate systems affected by significant uncertainty, and optimization methods to find an optimal set of decisions.
Among this book′s most outstanding features is the integration of MATLAB?, which helps students and practitioners solve relevant problems in finance, such as portfolio management and derivatives pricing. This tutorial is useful in connecting theory with practice in the application of classical numerical methods and advanced methods, while illustrating underlying algorithmic concepts in concrete terms.
Newly featured in the Second Edition:
∗ In–depth treatment of Monte Carlo methods with due attention paid to variance reduction strategies
∗ New appendix on AMPL in order to better illustrate the optimization models in Chapters 11 and 12
∗ New chapter on binomial and trinomial lattices
∗ Additional treatment of partial differential equations with two space dimensions
∗ Expanded treatment within the chapter on financial theory to provide a more thorough background for engineers not familiar with finance
∗ New coverage of advanced optimization methods and applications later in the text
Numerical Methods in Finance and Economics: A MATLAB?–Based Introduction, Second Edition presents basic treatments and more specialized literature, and it also uses algebraic languages, such as AMPL, to connect the pencil–and–paper statement of an optimization model with its solution by a software library. Offering computational practice in both financial engineering and economics fields, this book equips practitioners with the necessary techniques to measure and manage risk.
Inside This Book
(Learn More)
Suggested Tags from Similar Products(What's this?)Be the first one to add a relevant tag (keyword that's strongly related to this product)
|
Sell a Digital Version of This Book in the Kindle Store
If you are a publisher or author and hold the digital rights to a book, you can sell a digital version of it in our Kindle Store.
Learn more
What Other Items Do Customers Buy After Viewing This Item?
Customer Reviews
There are no customer reviews yet on Amazon.co.uk.
5 star
4 star
3 star
2 star
1 star
Most Helpful Customer Reviews on Amazon.com (beta)
Amazon.com:
7 reviews
23 of 23 people found the following review helpful
Great all around book and excellent reference
28 April 2008
Format:Hardcover
I am using this as a secondary reference for a half-semester Matlab and Optimization course and it has been invaluable. The writing is crystal clear, the examples and code are pretty close to perfect for every section. The author writes in a very intuitive fashion and of the sections I have covered I don't think I have been lost or confused once, which in this field is uncommon.
This is not really an introductory book for finance and if you read the preface, Brandimarte does explain that the book complements and does not replace more specific texts. I have been seen most of the material in this book covered in at least a cursory fashion in my Financial Engineering program and it makes a difference, so I would recommend that you are familiar with the material covered in Hull's "Options, Futures and Other Derivatives" or Neftci's "Principles of Financial Engineering" and Neftci's "Introduction to the Mathematics of Financial Derivatives" or similar texts.
You also won't be able to get away without having at least some intermediate level linear algebra. You don't have know it well but concept such as conditioning, LU and cholesky factorization should ring a bell. On the other hand some topics such as optimization I feel are covered very solidly. I am using "Optimization Methods in Finance" by Cornuejols and Tutuncu and although it is a great book I have to say that the examples in Brandimarte's book are much better and more intuitively explained, although clearly not in the same detail.
My only gripe with the book is that he tends to use code from the toolboxes, which can be inconvenient if you are student and only have the student version at home. Most of the time he builds the code from scratch but he uses toolbox code enough that it is annoying.
This is not really an introductory book for finance and if you read the preface, Brandimarte does explain that the book complements and does not replace more specific texts. I have been seen most of the material in this book covered in at least a cursory fashion in my Financial Engineering program and it makes a difference, so I would recommend that you are familiar with the material covered in Hull's "Options, Futures and Other Derivatives" or Neftci's "Principles of Financial Engineering" and Neftci's "Introduction to the Mathematics of Financial Derivatives" or similar texts.
You also won't be able to get away without having at least some intermediate level linear algebra. You don't have know it well but concept such as conditioning, LU and cholesky factorization should ring a bell. On the other hand some topics such as optimization I feel are covered very solidly. I am using "Optimization Methods in Finance" by Cornuejols and Tutuncu and although it is a great book I have to say that the examples in Brandimarte's book are much better and more intuitively explained, although clearly not in the same detail.
My only gripe with the book is that he tends to use code from the toolboxes, which can be inconvenient if you are student and only have the student version at home. Most of the time he builds the code from scratch but he uses toolbox code enough that it is annoying.
6 of 7 people found the following review helpful
Practical and Readable
5 Nov 2007
Format:Hardcover
This book certainly is one of THE good books in Finance. I liked the way the author has provided the literature in Finance together with the math behind it. I have been reading other books on the same topic, most of which are crammed with equations without enough details and explanations. This book certainly attempts to fill that gap. (Ignore some of the typos though).
My request to the author...Please write another book, and this time, solely on mathematical Finance and please keep the same style (if not better) than you used in this book. The book (and the author) really helps to not only understand but also enjoy this field by reading books written in such styles.
My request to the author...Please write another book, and this time, solely on mathematical Finance and please keep the same style (if not better) than you used in this book. The book (and the author) really helps to not only understand but also enjoy this field by reading books written in such styles.
3 of 3 people found the following review helpful
A Classic
23 Feb 2008
Format:Hardcover
I own the first edition, which is half the size of this one. I enjoyed that book, but I had always hoped that it a provide a more in depth analysis. Well it appears my wishes have been answered. Paolo Brandimarte has expanded on his original outstanding work producing a rare book that can be used for self-study and which also provides practical exercises. It really is amazing how he has been able to touch on so many topics without sacrificing content in the process. The writing is lucid and the Matlab examples well-conceived. Anyone desiring to obtain a greater knowledge in the field of finance would be well-served in picking up this fine title. Of course, the book loses much of its impact if the reader does not have a copy of Matlab.
Were these reviews helpful?
Let us know
Listmania!
|
|
Look for similar items by category
Look for similar items by subject
Feedback
- Would you like to update product info or give feedback on images?
- I am the Author, and I want to comment on my book.
- I am the Publisher, and I want to comment on this book.
|
