by Brian A. Eales & Moorad Choudhry

Preface

This book is a concise practitioners' guide to the main derivative instruments used in financial markets today. It should also be suitable for graduate students undertaking courses in business finance, economics and financial engineering. The focus is on analysis and valuation techniques, presented for the purposes of practical application. Hence institutional and market-specific data is largely omitted for reasons of apsacde and clarity, as this is abundantly available in existing literature. Students and practitioners alike should be able to understand and apply the methjods discussed here. The book attempts to set out a practical approach in presenting the main issues and the reader should benefit from the practical examples presented in the chapters.

The contents are presented as one unified volume, with coverage of interest rate derivatives such as bond futures and interest rate swaps, and equity derivatives. There is also a detailed introduction to credit derivatives. The final chapter looks at a structured products such as convertible bond structures and guaranteed equity products. The authors hope that readers find the book thought provoking and that it enables them to become familiar with practical concepts of importance in the derivatives  markets.

Comments on the text are welcome and should be sent tot the authors care of Butterworth-Heinemann Finance.