This original text on the basics of option pricing is accessible to readers with limited mathematical training. It is for both professional traders and undergraduates studying the basics of finance. Assuming no prior knowledge of probability, Sheldon Ross offers clear, simple explanations of arbitrage, the Black-Scholes option pricing formula, and other topics such as utility functions, optimal portfolio selections, and the capital assets pricing model. Among the many new features of this second edition are: a new chapter on optimization methods in finance, a new section on Value at Risk and Conditional Value at Risk; a new and simplified derivation of the Black-Scholes equation, together with derivations of the partial derivatives of the Black-Scholes option cost function and of the computational Black-Scholes formula; three different models of European call options with dividends; a new, easily implemented method for estimating the volatility parameter. Sheldon M. Ross is a professor in the Department of Industrial Engineering and Operations Research at the University of California at Berkeley. He received his Ph.D. in statistics at Stanford University in 1968 and has been at Berkeley ever since. He has published nearly 100 articles and a variety of textbooks in the areas of statistics and applied probability including Topics in Finite and Discrete Mathematics (Cambridge University Press, 2000), An Introduction to Probability Methods, Seventh Edition (Harcourt Science snd Technology Company, 2000), Introduction to Probability and Statistics for Engineers and Scientists (Academic Press, 1999), A First Course in Probability, Sixth Edition (Prentice-Hall, 2001), Simulation, Third Edition (Academic Press, 2002), and Stochastic Processes (John Wiley & Sons, 1982). He is the founding and continuing editor of the journal Probability in the Engineering and Informational Sciences, a fellow of the Institute of Mathematical Statistics, and a recipient of the Humboldt U.S. Senior Scientist Award.

*"synopsis" may belong to another edition of this title.*

This unique textbook on the basics of option pricing is mathematically accurate and yet accessible to readers with limited mathematical training. It will appeal to professional traders as well as undergraduates studying the basics of finance. Among the many new features of this second edition are: a new chapter on optimization methods in finance, a new section on Value at Risk and Conditional Value at Risk; a new and simplified derivation of the Black-Scholes equation, together with derivations of the partial derivatives of the Black-Scholes option cost function and of the computational Black-Scholes formula; three different models of European call options with dividends; a new, easily implemented method for estimating the volatility parameter.

Sheldon M. Ross is the Epstein Chair Professor at the Department of Industrial and Systems Engineering, University of Southern California. He received his Ph.D. in statistics at Stanford University in 1968 and was formerly a Professor at the University of California, Berkeley, from 1976 until 2004. He has published more than 100 articles and a variety of textbooks in the areas of statistics and applied probability, including Topics in Finite and Discrete Mathematics (2000), Introduction to Probability and Statistics for Engineers and Scientists, 4th edition (2009), A First Course in Probability, 8th edition (2009), and Introduction to Probability Models, 10th edition (2009), among others. Dr Ross serves as the editor for Probability in the Engineering and Informational Sciences.

*"About this title" may belong to another edition of this title.*

Published by
U.S.A.: Cambridge University Press
(2002)

ISBN 10: 0521814294
ISBN 13: 9780521814294

New
Soft cover
Quantity Available: 4

Seller

Rating

**Book Description **U.S.A.: Cambridge University Press, 2002. Soft cover. Book Condition: New. International Edition. Fast shipping from TX, Brand new, international edition, same content as US edition, soft cover, coverpage and ISBN may be different. Bookseller Inventory # ABE-15891590740

More Information About This Seller | Ask Bookseller a Question

Published by
Cambridge University Press
(2002)

ISBN 10: 0521814294
ISBN 13: 9780521814294

New
Hardcover
Quantity Available: 1

Seller

Rating

**Book Description **Cambridge University Press, 2002. Hardcover. Book Condition: New. 2. Bookseller Inventory # DADAX0521814294

More Information About This Seller | Ask Bookseller a Question

Published by
Cambridge University Press
(2002)

ISBN 10: 0521814294
ISBN 13: 9780521814294

New
Hardcover
Quantity Available: 2

Seller

Rating

**Book Description **Cambridge University Press, 2002. Hardcover. Book Condition: New. Bookseller Inventory # P110521814294

More Information About This Seller | Ask Bookseller a Question

Published by
Cambridge University Press

ISBN 10: 0521814294
ISBN 13: 9780521814294

New
Hardcover
Quantity Available: 1

Seller

Rating

**Book Description **Cambridge University Press. Hardcover. Book Condition: New. 0521814294 New Condition. Bookseller Inventory # NEW6.0283621

More Information About This Seller | Ask Bookseller a Question

Published by
Spain: Cambridge Univ Pr
(2002)

ISBN 10: 0521814294
ISBN 13: 9780521814294

New
Hardcover
Quantity Available: 5

Seller

Rating

**Book Description **Spain: Cambridge Univ Pr, 2002. Hardcover. Book Condition: New. 2nd Edition. Ship out 1-2 business day,Brand new,US edition, Free tracking number usually 2-4 biz days delivery to worldwide Same shipping fee with US, Canada,Europe country, Australia, item will ship out from either LA or Asia,ht. Bookseller Inventory # ABE-5914682000

More Information About This Seller | Ask Bookseller a Question

Published by
Cambridge University Press
(2002)

ISBN 10: 0521814294
ISBN 13: 9780521814294

New
Hardcover
Quantity Available: 1

Seller

Rating

**Book Description **Cambridge University Press, 2002. Hardcover. Book Condition: New. New item. Bookseller Inventory # QX-152-49-5688505

More Information About This Seller | Ask Bookseller a Question

ISBN 10: 0521814294
ISBN 13: 9780521814294

New
Quantity Available: 1

Seller

Rating

**Book Description **Book Condition: Brand New. Book Condition: Brand New. Bookseller Inventory # 97805218142941.0

More Information About This Seller | Ask Bookseller a Question

ISBN 10: 0521814294
ISBN 13: 9780521814294

New
Hardcover
Quantity Available: 1

Seller

Rating

**Book Description **Hardcover. Book Condition: BRAND NEW. BRAND NEW. Fast Shipping. Prompt Customer Service. Satisfaction guaranteed. Bookseller Inventory # 0521814294BNA

More Information About This Seller | Ask Bookseller a Question