UID:
almafu_9961294366702883
Format:
1 online resource (x, 252 pages) :
,
digital, PDF file(s).
Edition:
1st ed.
ISBN:
1-009-05927-0
,
1-009-04967-4
Content:
Stochastic Finance provides an introduction to mathematical finance that is unparalleled in its accessibility. Through classroom testing, the authors have identified common pain points for students, and their approach takes great care to help the reader to overcome these difficulties and to foster understanding where comparable texts often do not. Written for advanced undergraduate students, and making use of numerous detailed examples to illustrate key concepts, this text provides all the mathematical foundations necessary to model transactions in the world of finance. A first course in probability is the only necessary background. The book begins with the discrete binomial model and the finite market model, followed by the continuous Black-Scholes model. It studies the pricing of European options by combining financial concepts such as arbitrage and self-financing trading strategies with probabilistic tools such as sigma algebras, martingales and stochastic integration. All these concepts are introduced in a relaxed and user-friendly fashion.
Note:
Title from publisher's bibliographic system (viewed on 16 Feb 2023).
Additional Edition:
ISBN 9781316511251
Language:
English
