| Options, Futures, and Other Derivatives: International Edition, 7/E | ||||||||
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JOHN C HULL Publisher: Pearson Higher Education
Our Price: £51.99 |
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Description For undergraduate and graduate courses in derivatives, options and futures, financial engineering, financial mathematics, and risk management. Designed to bridge the gap between theory and practice, this highly successful book is regarded is the standard reference on trading floors and in academic classrooms throughout the world. |
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Table Of Contents 1. Introduction 2. Mechanics of Futures Markets 3. Hedging Strategies Using Futures 4. Interest Rates 5. Determination of Forward and Futures Prices 6. Interest Rate Futures 7. Swaps 8. Mechanics of Options Markets 9. Properties of Stock Options 10. Trading Strategies Involving Options 11. Binomial Trees 12. Wiener Processes and Ito’s Lemma 13. The Black-Scholes-Merton Model 14. Derivatives Markets in Developing Countries 15. Options on Stock Indices and Currencies 16. Options on Futures 17. Greek Letters 18. Volatility Smiles 19. Basic Numerical Procedures 20. Value at Risk 21. Estimating Volatilities and Correlations for Risk Management 22. Credit Risk 23. Credit Derivatives 24. Exotic Options 25. Insurance, Weather, and Energy Derivatives 26. More on Models and Numerical Procedures 27. Martingales and Measures 28. Interest Rate Derivatives: The Standard Market Models 29. Convexity, Timing and Quanto Adjustments 30. Interest Rate Derivatives: Models of the Short Rate 31. Interest Rate Derivatives: HJM and LMM 32. Swaps Revisited 33. Real Options 34. Derivatives Mishaps and What We Can Learn from Them Glossary of Terms DerivaGem Software Major Exchanges Trading Futures and Options Table for N(x) when x≤ 0 Table for N(x) when x≥0 Author index Subject index |
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Features For undergraduate and graduate courses in derivatives, options and futures, financial engineering, financial mathematics, and risk management.
Designed to bridge the gap between theory and practice, this highly successful book is regarded is the standard reference on trading floors and in academic classrooms throughout the world. Minimizes Unnecessary Mathematical Complexity One of the key decisions that must be made by an author who is writing in the area of derivatives concerns the use of mathematics. If the level of mathematical sophistication is too high, the material is likely to be inaccessible to many students and practitioners. If it is too low, some important issues will inevitably be treated in a rather superficial way. • Nonessential mathematical material has been either eliminated or included in end-of-chapter appendices and the technical notes on my website. • Concepts that are likely to be new to many readers have been explained carefully, and many numerical examples have been included. Software Version 1.5101 of DerivaGem is included with this book. This consists of two Excel applications: the Options Calculator and the Applications Builder. • The Options Calculator - Consists of easy-to-use software for valuing a wide range of options. • The Applications Builder - consists of a number of Excel functions from which users can build their own applications. It includes a number of sample applications and enables students to explore the properties of options and numerical procedures more easily. It also allows more interesting assignments to be designed. |
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New To This Edition Derivatives Markets in Developing Countries A new chapter 14, Derivatives Markets in Developing Countries,discusses the progress derivatives markets have made in developing countries since 2000 and suggests that these markets will become increasingly important in the years to come. Credit Derivatives Extensively Revised The chapter on credit derivatives (Chapter 23 in the new edition) has been largely rewritten. Before covering CDOs it discusses subprime mortgage lending in the US, the different types of asset-backed securities that were used for securitization, and the current credit crisis. This material can be used without the material in the rest of the chapter to cover the subprime crisis. For instructors who want to talk about the valuations of ABSs and CDOs, the Gaussian copula model is explained in more detail than in the sixth edition and a Gaussian quadrature Excel spreadsheet is provided to help students implement the model. (The material on convertibles has been moved from the credit derivatives chapter to Chapter 26.) Reorganization for Better Flow Options on futures are now covered in a separate chapter from options on indices and currencies. (See Chapters 15 and 16). There has also been some restructuring of the material. Chapter 15, which covers options on indices and currencies, first gives examples of how index and currency options can be used and then covers valuation issues. This makes the chapter flow better. Chapter 16, which covers options on futures, provides more details on how Black's model is used as an alternative to Black--Scholes for valuing a wide range of European options. Restructuring of Chapter 17, Greek Letters Chapter 17, which covers Greek letters, has also been restructured. Delta, gamma, theta, vega, etc are explained in the context of an option on a non-dividend paying stock. Formulas for the Greek letters for other types of options are given in a table toward the end of the chapter. This approach to teaching the material has been found to work well. Consistency with CFA Exam Issues associated with tailing the hedge are covered in Chapter 3. This resolves some minor inconsistencies between formulas in the book and those used in CFA exams. Other New Topics • The VIX volatility index is explained in 24 • Variance swaps (including their valuation) are covered in Chapter 24 • How transactions involving index credit spreads work is explained in detail in Chapter 23 • There is more material on volatility smiles in Chapter 18 including an explanation (with a numerical example) of how an implied probability distribution can be calculated from implied volatilities. • Lookback options are covered in more detail in Chapter 24 with fixed lookbacks being distinguished from floating lookbacks. • Futures-style options are covered in Chapter 16 Revisions to Supplements • A new release of the widely acclaimed software, DerivaGem, is included with the book (Version 1.52). An installation routine is now provided with the software. This ensures that files are loaded into the correct directories, creates icons, and makes it easier for students to use the software. • Solutions to end-of-chapter Questions and Problems are in the Solutions Manual. The Instructors Manual has been restructured so that it contains the answers to both Questions and Problems and Assignment Questions. (Both Manuals are written by the author.) For ease of reference the end-of-chapter questions, as well as the answers, are given in the Manuals. • Several hundred PowerPoint slides (prepared by the author) have been updated and will be provided with the book. |
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All Valuepacks Online Course Pack:Corporate Finance:International Edition/Options, Futures and Other Derivatives with Derivagem CD/MyFinanceLab 6-Month Student Access Code Card Berk, DeMarzo, Hull & Hall © 2007 | Pearson Higher Education | Kit/Package/ShrinkWrap | Estimated Availability: 28 Jun 2008 ISBN-10: 140820729X | ISBN-13: 9781408207291  Our Price: £90.99
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Student Supplements Student Solutions Manual for Options, Futures, and Other Derivatives, 7/E HULL © 2009 | Prentice Hall | Paper;170 pages | Instock - Instructor only resource ISBN-10: 0136015891 | ISBN-13: 9780136015895 As in the sixth edition, end-of-chapter problems are divided into two groups: ``Questions and Problems'' and ``Assignment Questions''. Solutions to the Questions and Problems are in Options, Futures, and Other Derivatives 7e: Solutions Manual which is published by Pearson and can be purchased by students.
Companion Website, 7/E HULL © 2009 | Prentice Hall | On-line Supplement | Available ISBN-10: 0136069711 | ISBN-13: 9780136069713 Technical Notes are used to elaborate on points made in the text. They are referred to in the text and can be downloaded from this web site. www.rotman.utoronto.ca~hull |
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Instructor Supplements Instructor's Manual w/ Test Bank Options, Futures, and Other Derivatives, 7/E HULL © 2009 | Prentice Hall | Paper;250 pages | Instock - Instructor only resource ISBN-10: 0136015875 | ISBN-13: 9780136015871 Solutions to all questions (both Assignment Questions and Questions and Problems) are in Options, Futures, and Other Derivatives 7e: Instructors Manual (ISBN ???) which is available from Pearson to adopting instructors. The instructors manual also includes notes on the teaching of each chapter, test bank questions, some notes on course organization, and other questions that can be used as assignments. Companion Website, 7/E HULL © 2009 | Prentice Hall | On-line Supplement | Available ISBN-10: 0136069711 | ISBN-13: 9780136069713 Technical Notes are used to elaborate on points made in the text. They are referred to in the text and can be downloaded from this web site. www.rotman.utoronto.ca~hull PowerPoints Options, Futures, and Other Derivatives, 7/E HULL © 2009 | Prentice Hall | On-line Supplement | Available ISBN-10: 0136015883 | ISBN-13: 9780136015888 A comprehensive set of PowerPoint slides that can be used by instructors for class presentations or by students for lecture preview or review |
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