This book is an introduction. It deals with a broad array of topics that fit together through acertain logic that we generally call Financial Engineering. The book is intended for beginninggraduate students and practitioners in financial markets. The approach uses a combination ofsimple graphs, elementary mathematics and real world examples. The discussion concerningdetails of instruments, markets and financial market practices is somewhat limited. The pricingissue is treated in an informal way, using simple examples. In contrast, the engineering dimensionof the topics under consideration is emphasized.