The Money Formula: Dodgy Finance, Pseudo Science, and How Mathematicians Took Over the Markets

— —

Paul Wilmott (Oxford University Mathematics Institute and Imperial College, UK) David Orrell

The Money Formula

Dodgy Finance, Pseudo Science, and How Mathematicians Took Over the Markets

Paul Wilmott (Oxford University Mathematics Institute and Imperial College, UK), David Orrell

$47.95

Paperback

Not in-store but you can order this
How long will it take?

Availability Information

We source books from suppliers in Australia and overseas. For books we don't currently have in stock, the time it takes to get them from our suppliers can vary widely - from a few days to a few months - so we check each book with each supplier to determine the expected time it will take to be supplied to us.

We then advise you accordingly. If the time taken to get any book is too long for you, you can let us know and we will cancel or adjust your order, and refund as required.

To find out the anticipated arrival time for specific items prior to ordering, please contact us by phone or email:

Phone +61 2 9264 3111, or 1800 4 BOOKS (1800 4 26657) if outside Sydney:
option 1 Abbey's Bookshop (Crime, History, Science, Kids & more) • info@abbeys.com.au
option 2 Language Book Centre (ESL & Foreign Languages) • language@abbeys.com.au
option 3 Galaxy Bookshop (Sci-fi, Fantasy, Romance, Graphic Novels) • sf@galaxybooks.com.au

QTY:

English

John Wiley & Sons Inc
07 April 2017

Finance & accounting

"Explore the deadly elegance of finance's hidden powerhouse The Money Formula takes you inside the engine room of the global economy to explore the little-understood world of quantitative finance, and show how the future of our economy rests on the backs of this all-but-impenetrable industry. Written not from a post-crisis perspective – but from a preventative point of view – this book traces the development of financial derivatives from bonds to credit default swaps, and shows how mathematical formulas went beyond pricing to expand their use to the point where they dwarfed the real economy. You'll learn how the deadly allure of their ice-cold beauty has misled generations of economists and investors, and how continued reliance on these formulas can either assist future economic development, or send the global economy into the financial equivalent of a cardiac arrest.

Rather than rehash tales of post-crisis fallout, this book focuses on preventing the next one. By exploring the heart of the shadow economy, you'll be better prepared to ride the rough waves of finance into the turbulent future.

Delve into one of the world's least-understood but highest-impact industries Understand the key principles of quantitative finance and the evolution of the field Learn what quantitative finance has become, and how it affects us all Discover how the industry's next steps dictate the economy's future

How do you create a quadrillion dollars out of nothing, blow it away and leave a hole so large that even years of ""quantitative easing"" can't fill it – and then go back to doing the same thing? Even amidst global recovery, the financial system still has the potential to seize up at any moment. The Money Formula explores the how and why of financial disaster, what must happen to prevent the next one."

By: Paul Wilmott (Oxford University Mathematics Institute and Imperial College UK), David Orrell
Imprint: John Wiley & Sons Inc
Country of Publication: United States
Dimensions: Height: 224mm, Width: 150mm, Spine: 15mm
Weight: 363g
ISBN: 9781119358619
ISBN 10: 1119358612
Pages: 272
Publication Date: 07 April 2017
Audience: Professional and scholarly , Undergraduate
Format: Paperback
Publisher's Status: Active

Acknowledgements ix About the Authors xi Introduction xiii Chapter 1 Early Models 1 Chapter 2 Going Random 15 Chapter 3 Risk Management 35 Chapter 4 Market Makers 61 Chapter 5 Deriving Derivatives 83 Chapter 6 What Quants Do 109 Chapter 7 The Rewrite 135 Chapter 8 No Laws, Only Toys 149 Chapter 9 How to Abuse the System 169 Chapter 10 Systemic Threat 189 Epilogue: Keep it Simple 207 Bibliography 227 Index 237

PAUL WILMOTT is a researcher, best-selling author, and consultant in most things quantitative, and has been a fund manager and academic. He is author of numerous books, including Paul Wilmott on Quantitative Finance and Frequently Asked Questions in Quantitative Finance. DAVID ORRELL is an applied mathematician, best-selling author and founder of Systems Forecasting, a scientific consultancy. He is the author of many books, including The Future of Everything and Economyths.

Reviews for The Money Formula: Dodgy Finance, Pseudo Science, and How Mathematicians Took Over the Markets

"""Anyone interested in investment theory (and that should be everyone working in financial services) would find it worth reading."" (International Investment, June 2017) ""Irrevent and fun, it is at the same time very rigorous in explaining how soem fairly basic mathematics has hijacked the world of finance."" (Marketing Moving, June 2017) “a great description of what has happened, a thorough explanation of what is currently going on, and a solid argument for what should be done in the future.” (Significance, April 2018)"