Planning Wealth

Written by a renowned corporate financial advisor, this timely guide offers a comprehensive treatment of derivative financial instruments, fully covering bonds, interest swaps, options, futures, Forex, and more. The author explains the strategic use of derivatives, their place in portfolio management, hedging, and the importance of managing risk.

This guide provides strategies for coping with volatile returns and profiting with this exciting new asset class. Specific topics include: Profiles of major funds; Historical performance of hedge funds; Hedge funds as a part of the institutional portfolio; Selecting a hedge fund manager; Legal, tax and accounting issues.

Designed for MBA and advanced undergraduate students taking a course in investments/introduction to finance/financial markets. These courses aim to introduce students to the financial markets and instruments (including money markets, fixed income, equities and FX markets). Investments: Spot and Derivative Markets provides an introduction to risk management and provides a real world flavour throughout.
The authors include a lot of pedagogy, namely: chapter objectives summaries; end of chapter exercises; numerous real-world examples and case vignettes; Excel spreadsheets providing simulations for the reader; a glossary of terms; clear, simple and consistent mathematical notation.

Presents day traders with a systematic and rational framework for decision-making in the futures, options and equities markets. Offers complete coverage of day-trading methods including price, time and volume analysis techniques, money and position management strategies, trading systems, computerized trading tactics and much more.

The more precisely risks can be defined the easier it is to make judgments about whether they’re fairly valued. Valuing Fixed Income Futures is a practical resource that equips financial professionals with a means of measuring the performance of Treasury and Eurodollar futures.

Written by David Boberski, one of today’s leading Wall Street analysts, the book explains how to apply technology to develop empirical frameworks to solve for embedded option valuation in Treasury and Eurodollar futures. He shows in detail how to build empirical models to measure risk…the drivers of Treasury/Eurodollar spreads…and more.

Valuing Fixed Income Futures focuses on developing tools to aid in relative value decisions. This expert guide takes readers step by step through every major aspect of fixed income futures valuation using hedging examples from the mortgage market:

An Overview of Where Futures Fit into the Fixed Income Landscape_ examining the characteristics of fixed income futures and what risks they entail

A Comprehensive Examination of the Futures Market_ detailing recent major changes in the trading arena, the ways in which futures mirror mortgage convexity, calendar spreads, and the types of traders who use futures to manage risks

Treasury Futures: The Language of the Basis_ covering delivery option, basis matrix, and “fear arbitrage” from recent squeezes in the market

Eurodollar Futures: Minimal Structure, Complex Implications_ exploring convexity bias, contrasting Eurodollar and Fed Funds valuation, hedging hybrid ARMs, and hedging in practice

Treasury/Eurodollar (TED) Spreads_ analyzing drivers of the spread and TED spread with empirical models

Pricing Options with an Event Model_ explaining why volatility drives option prices, and how to create a volatility map to anticipate future volatility

Filled with scores of financial tables, charts, and figures, this complete valuation tool provides definitions of the entire range of fixed income futures terms, plus in-depth guidance for applying all models and methods.

Valuing Fixed Income Futures presents a careful, state-of-the-art analysis of the technology for understanding price behavior and the risk of each contract not found in any similar resource.

A just-in-time guide to hedge fund investing
Today, access to hedge funds is increasingly available to average investors through “funds of hedge funds” and other registered products. These vehicles allow investors to invest as little as $25,000 to start. Hedges on Hedge Funds provides an overview of hedge fund investing and delves into the key investment strategies employed by hedge fund managers. This comprehensive resource directs people to proper fund selection and allocation, but most importantly, it helps investors avoid the potential pitfalls associated with the industry by discussing transparency, size vs. performance, and other important issues associated with selecting and profiting with hedge funds.
James R. Hedges, IV (Naples, FL), is recognized as a pioneer in the hedge fund industry for his efforts to monitor and review funds and fund managers for performance and transparency. He is the founder, President, and Chief Investment Officer of LJH Global Investments-an investment advisory firm that helps clients select and invest in hedge funds.

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“Real options is an exciting but very challenging subject for many strategy and corporate finance practitioners. Real Options in Practice is an excellent book to get a structured and accurate overview of real options, their use and computation. Marion Brach has succeeded in striking a difficult balance between theoretical firmness and practical actionability: her book is easy to read without sacrificing the richness of a subject that is more and more important for investment decision-making.”
–Remy Schosmann, Partner, Corporate Finance, and global head of strategic options management at Ernst & Young

“Marion Brach makes applied option theory accessible to the practitioner without neglecting technical rigor. Any manager seeking a solid foundation in option concepts–and how to profit by them–should start with this book.”
–John L. McCormack, Senior Vice President
Stern Stewart & Company

“Kolb and Overdahl have produced a clear and well-written introduction to derivatives that should serve as a useful foundational text. Their mixture of mechanics, pricing, and risk management is as well-balanced as their blend of theory and practical applications.”
–Christopher L. Culp, PhD, Adjunct Associate Professor of Finance at The University of Chicago’s Graduate School of Business and Managing Director at CP Risk Management LLC

“The third edition of Kolb and Overdahl presents a nice blend of theory and application of financial derivatives. The concise anthology introduces institutional background and valuation issues and then shows how each instrument can be used to manage risk. This book is sure to be of interest to risk managers as well as business students about to embark on their finance careers.”
–Steve Swidler, J. Stanley Mackin Professor of Finance, Auburn University

“Financial Derivatives is an excellent, accessible introduction to some of the fastest growing markets in modern finance. Kolb and Overdahl clearly explain the uses (as well as the problems underlying several well-publicized abuses) of financial derivatives as risk management tools. Practitioners, regulators, and students of finance will all profit from exercising their option to acquire this book.”
–Michael Ferguson, Assistant Professor of Finance, University of Cincinnati

In the hedge fund marketplace, nothing is more central than risk. Yet there remains no standard for analyzing and measuring risk within this largely unregulated field, leaving the thousands of hedge funds and the tens of thousands of hedge fund investors in dangerously dim light. The industry has not solved the “transparancy” challenge communicating risk to investors without disclosing proprietary information.

“Hedge Fund Risk Fundamentals” is the first book to bring these issues to the forefront. Richard Horowitz lays out the key components and the cutting-edge processes in the field of hedge fund risk management today.

Earn ten hours of credit toward your CFP Board CE requirement.

Written by leading academics and practitioners in the field of financial mathematics, the purpose of this book is to provide a unique combination of some of the most important and relevant theoretical and practical tools from which any advanced undergraduate and graduate student, professional quant and researcher will benefit. This book stands out from all other existing books in quantitative finance from the sheer impressive range of ready-to-use software and accessible theoretical tools that are provided as a complete package. By proceeding from simple to complex, the authors cover core topics in derivative pricing and risk management in a style that is engaging, accessible and self-instructional. The book contains a wide spectrum of problems, worked-out solutions, detailed methodologies and applied mathematical techniques for which anyone planning to make a serious career in quantitative finance must master. In fact, core portions of the book’s material originated and evolved after years of classroom lectures and computer laboratory courses taught in a world-renowned professional Master’s program in mathematical finance. As a bonus to the reader, the book also gives a detailed exposition on new cutting-edge theoretical techniques with many results in pricing theory that are published here for the first time.

*Includes easy-to-implement VB/VBA numerical software libraries
*Proceeds from simple to complex in approaching pricing and risk management problems
*Provides analytical methods to derive cutting-edge pricing formulas for equity derivatives

Introducing Data Envelopment Analysis (DEA) — a quantitative approach to assess the performance of hedge funds, funds of hedge funds, and commmodity trading advisors.  Steep yourself in this approach with this important new book by Greg Gregoriou and Joe Zhu.

“This book steps beyond the traditional trade-off between single variables for risk and return in the determination of investment portfolios. For the first time, a comprehensive procedure is presented to compose portfolios using multiple measures of risk and return simultaneously. This approach represents a watershed in portfolio construction techniques and is especially useful for hedge fund and CTA offerings.”
— Richard E. Oberuc, CEO, Burlington Hall Asset Management, Inc. Chairman, Foundation for Managed Derivatives Research

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Our highest recommendation goes to this comprehensive guide. Best description of trader and floor trader psychology; options strategies; trading syles and tips. Most intriguing is the section discussing the proprietary LSS System. This book is must-reading!

All about the trading world’s hottest new product, from today’s leading expert

Already hugely popular in London, and backed by Chicago’s largest futures and options exchanges, single stock futures have the potential to be among the biggest in the U.S. marketplace. Single Stock Futures­­the first book on this exciting financial instrument­­explains what single stock futures are, how they work, and how to trade them, providing avid traders with both an introduction and an in-depth education on these hot additions to the futures marketplace.

The influential Bridge Trader says single stock futures “could end up becoming the biggest derivative of them all.” Readers will find out why, as Single Stock Futures reveals:

• Must-know specifics such as margin requirements and contract specifications
• Market-tested strategies, including hedging, spread trading, and short selling
• Advantages of single stock futures­­including liquidity and standardized contracts­­over outright stock ownership

Futures trading, for many years the domain of floor traders and other market professionals, was long considered either too risky or too sophisticated for individual investors. However, due to current technology that capitalizes on formerly inaccessible data and research, this vast trading arena holds great promise for astute investors who seek to hedge their market risk and leverage small investments into substantial profits. Profit in the Futures Markets! provides new and seasoned investors alike with practical tools and techniques for understanding and operating successfully in the world of futures trading. In order to succeed, traders will need to know about specific types of analysis, technology, and patterns that can lead to profits, and this book shows how to use this information to best advantage. In addition, investors will discover how to improve their trading strategies by understanding and building upon their own style and developing a specialized plan for success based on their individual needs and abilities. Investors interested in expanding into the world of futures need look no further than this easy-to-read, insight-filled guide. Bernstein, the author of more than 35 books, is a trusted and instructive voice in this sometimes intimidating and elusive, yet potentially lucrative, marketplace.

An Essential Guide for Enlightening Investors • Debunks the myths that until recently have prevented many individual investors from trading in the futures markets • Covers virtually all important aspects of the subject, from the mechanics of trading to advanced strategies and techniques, including futures options and online trading • Reveals the importance of futures as an essential tool for capitalizing on price swings and market volatility • Instructs on discipline and money management—How to trade like a pro • Illustrated with numerous charts and graphs

The Options Applications Handbook offers a lucid, down-to-earth introduction to the fundamentals of options, explaining how options can be used for various purposes, such as options on exchange rates, interest rates, stocks, futures, and fixed-income securities.

With the help of this on-target guide, readers will be able to understand basic option types…use standard market terminology…grasp the costs, benefits, and risks of basic option positions…identify key factors that affect the price of an option…and see how pricing models have been modified for specialized options. The Options Applications Handbook covers in detail:

Conventional Options_focuses on the mechanics of call and put options, basic option payoff profiles, and the creation of synthetic options/assets

Exotic Options_explores second generation option contracts, such as path dependent options and path independent derivatives, that build on the basic structure of conventional options

Option-Embedded Securities_demonstrates how flexible options can be embedded in securities to build customized funding/risk/investment tools

Option-Embedded Derivatives_illustrates how options can be combined with other derivatives to create customized risk/investment products, such as callable and puttable swaps

Option Strategies_describes how options can be used in combinations to create risk management and speculative views on a particular reference asset

Corporate and Investor Applications_examines how to utilize options for hedging, speculating, arbitraging, and value monetization

An Overview of Option Pricing_surveys basic pricing matters, including intrinsic and time value, moneyness, and pricing inputs _ Option Pricing Models_outlines option pricing frameworks, such as the Black-Scholes process and the binomial model

Hedging Option Portfolios_discusses how market-makers and dealers risk-manage their portfolios in practice

Risk and Control Issues_considers option risk control, including credit and market portfolio risk management and internal financial and audit processes

Achieve higher returns with lower risk and take your profits globally.

A leading hedge fund trader offers a solid and profitable trading approach to the world markets.

“This is the best stock market book that I have read in a long time. Boucher lays it out clearly, concisely, and in a most interesting manner. A ‘must read’ for anyone who invests in the equities market.” —Dan Sullivan Editor, The Chartist

“A leading practitioner offers rich theoretical insights and sound practical advice based on years of successful trading. Mark Boucher is that rare investment analyst who knows what really works in trading and can communicate it with authority and grace.” —Nelson Freeburg Editor and Publisher, Formula Research, Inc.

The Hedge Fund Edge is an indispensable guide for any investor or trader who wants to consistently profit from the markets without having to undergo huge risks. Mark Boucher, hedge fund manager and well-known speaker on trading, provides readers with a solid methodology for achieving market-beating, long-run returns with risk that is substantially below the long-run risk of U.S. and global equities.

Boucher first looks at the limitations of traditional stock and bond investing, and then explains how to determine the safest and most profitable periods for investing in stocks in any country. He explains this strategy both conceptually and with an objective model that has been used to manage money successfully since the 1950s. He shows how to allocate funds among global equities at any given time while following safe, reliable, and profitable trends. The book also provides a thorough discussion of the Austrian Liquidity Cycle, an original combination of Austrian Economics, Economic Alchemy, and Liquidity Cycle Theory. Boucher explains how to use this theory to understand the major moves behind the markets and determine the most profitable market in which to invest.

The Hedge Fund Edge provides critical valuation and technical models as well as essential information on stock selection techniques to help readers identify which markets and stocks are both lower-risk and higher-performing. Boucher also describes, in detail, the impact of governmental policies on the markets and the connection between macroeconomic performance and investment performance. Also included are essential timing models for determining when to invest in gold, bonds, commodities, and other asset classes, as well as methods for allocating a portfolio with the goal of investing in the very best trends at any one point in time across all asset classes. The book emphasizes the power of diversification among asset classes, such as arbitrage funds, global hedge funds, different types of futures funds, distressed bonds, and other market-uncorrelated investments. Boucher explains how this diversification can be used to build a bullet-proof and highly profitable portfolio that returns consistently high profits with much lower than market risk. Boucher provides examples from his own real-time hedge fund trading experience and offers his performance as proof of what can be achieved via these techniques.

The Hedge Fund Edge melds market timing, vehicle selection, risk management techniques, economic insight and understanding, and tactical asset allocation into a totally new philosophy and approach that has been proven to produce spectacular gains with relatively low risk.

Trading in single stock futures has just begun. It gives incredible new opportunities to both stock and futures traders. Tremendous leverage, no uptick rule on short sales, and many other advantages will be available in many individual stocks.

This is the most revolutionary development in the financial industry in many years. This is the first book and only book on this fascinating topic. It is the definitive guide to every aspect, covering all the basics of futures, options, margins, and the mechanics of order placement. The background developments leading to the beginning of trading, the exchanges where trading will take place, and trading considerations are all covered in depth.

The many advantages of trading single stock futures over direct ownership of securities are clearly explained. The reader is taught everything he needs in order to get started in trading them.

From novice trader to seasoned professional, this book will prove a valuable addition to any investor’s trading library. Be sure that when trading starts, you are ready to jump on the bandwagon.

Buy Low, Sell High

This one-of-a-kind book outlines a highly successful alternative approach to trading commodity futures that is specifically tailored to today’s low-priced commodities markets. Unlike technical analysis, which uses statistics to derive trading strategies, scale trading utilizes fundamental analysis to make a plan to slowly buy as prices reach bottom and sell as they climb back up. Here, top trader and author Hal Masover describes scaling techniques that work in every commodity market and supplies you with a scale trading system that generates a complete rundown of how much money will be needed, when, and where. Learn when to begin a scale-down buying program, how to choose a broker, and the facts and benefits of scale trading.

• Scaling works in every kind of commodity, including metals, energies, and agricultural commodities
• Scale trading is a fairly conservative methodology that uses big trader strategies but on a much smaller scale
• Value Investing in Commodity Futures includes a disk with the scale program–

…all you have to do is input the data and the program will show how much money is needed, when, and where

Take advantage of the only complete guide to an increasingly popular approach to futures trading. In these times of amazingly low commodity prices, the method presented in this comprehensive and invaluable book works best.

The major purpose of the book is to illustrate that triangular arbitrage in the foreign exchange market can be profitable. This idea is reinforced by the recent evolution of an independent cross market, and the remarkable developments in telecommunications. The book illustrates how a dealer of Foreign Exchange can apply the “buy low and sell high” rule without taking any risk. The keys to avoid the risk are speed and precision. All the procedures are computerized so that speed and precision problems that are inherent in manual trading are now solved.

Originally written in 1930, this work covers making money in the stock market by concentrating on the speculator’s ability to obey certain common-sense rules.