With more and more physicists and physics students exploring the possibility of utilizing their advanced math skills for a career in the finance industry, this much-needed book quickly introduces them to fundamental and advanced finance principles and methods. Quantitative Finance for Physicists provides a short, straightforward introduction for those who already have a background in physics. Find out how fractals, scaling, chaos, and other physics concepts are useful in analyzing financial time series. Learn about key topics in quantitative finance such as option pricing, portfolio management, and risk measurement. This book provides the basic knowledge in finance required to enable readers with physics backgrounds to move successfully into the financial industry. * Short, self-contained book for physicists to master basic concepts and quantitative methods of finance * Growing field-many physicists are moving into finance positions because of the high-level math required *Draws on the author's own experience as a physicist who moved into a financial analyst position
Author(s): Anatoly B. Schmidt
Series: Academic Press Advanced Finance
Publisher: Academic Press
Year: 2004
Language: English
Pages: 184
Preliminaries......Page 1
Contents......Page 6
Introduction......Page 12
Financial Markets......Page 16
Probability Distributions......Page 28
Stochastic Processes......Page 40
Time Series Analysis......Page 54
Fractals......Page 70
Nonlinear Dynamical Systems......Page 80
Scaling in Financial Time Series......Page 98
Option Pricing......Page 104
Portfolio Management......Page 122
Market Risk Measurement......Page 132
Agent Based Modeling of Financial Markets......Page 140
Comments......Page 156
References......Page 160
Answers to Exercises......Page 170
Index......Page 172
