Derivatives Markets
$26.88
Derivatives Markets by Robert L. McDonald is a comprehensive and authoritative text that explores the theory and application of financial derivatives. Widely used in universities and professional finance programs, the book balances rigorous academic treatment with real-world practical insights, making it essential for students, traders, and professionals in risk management.
The book covers the major categories of derivatives—futures, forwards, options, and swaps—while explaining their mechanics, valuation, and use cases in financial markets. McDonald introduces readers to fundamental pricing models, such as binomial trees and the Black-Scholes framework, and gradually builds toward more advanced topics like interest rate derivatives, exotic options, and credit derivatives. Throughout the text, the author combines mathematical precision with intuitive explanations, ensuring readers not only understand formulas but also the economic reasoning behind them.
A key strength of Derivatives Markets lies in its practical orientation. McDonald integrates numerous examples from equity, fixed income, commodities, and foreign exchange markets, showing how derivatives are used for hedging, speculation, and arbitrage. Case studies and applied problems bridge the gap between theory and practice, preparing readers to apply these tools in professional settings.
Risk management is another central theme, with detailed coverage of hedging strategies, portfolio risk analysis, and the implications of leverage. The book also emphasizes the institutional aspects of derivatives trading, including market structure, clearinghouses, and regulatory considerations. This holistic approach gives readers a well-rounded perspective on both the opportunities and risks of derivatives markets.
Whether used as a university textbook, a CFA preparation resource, or a professional reference, Derivatives Markets remains one of the most respected works in the field. It is best suited for readers with some background in finance, statistics, and mathematics who want a deep and structured understanding of derivatives and their role in global financial systems.
Contents:
- PART ONE: Insurance, Hedging, and Simple Strategies
- PART TWO: Forwards, Futures, and Swap
- PART THREE: Options
- PART FOUR: Financial Engineering and Applications
- PART FIVE: Advanced Pricing Theory and Applications
Derivatives Markets By Robert L. McDonald pdf
| Author(s) | |
|---|---|
| Format | |
| Pages | 976 |
| Publication Year | 2013 |
13 reviews for Derivatives Markets
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Brylee Guerrero (verified owner) –
I love the book.
Christian Nunez (verified owner) –
this one is so good. it is not just likely new, but completely new. I love this one so much
Aryan Warner (verified owner) –
expensive, but worth it.
Frank Holmes (verified owner) –
This book is poorly organized and poorly written. If there are any other options to fulfill your needs, I would strongly recommend a different product. The fact that this book is the foundation for major exams is both disturbing and disappointing.
Bryce Mullen (verified owner) –
Like most people, I bought this textbook to study for the FM/2 actuary exam. Although I passed on the first try, I can’t give much credit to this book. The main reason is that it doesn’t provide answers to the practice questions at all. How could this possibly be a good idea? The best way to learn is by doing, but this book doesn’t even have the decency to let you know if you’re actually doing things the right way.
Isaac Bell (verified owner) –
excellent
Ulises Pace (verified owner) –
Son purchased this for college class.
Kamilah Ayers (verified owner) –
Terrible book. I had to use this book for a class after personally reading Hull. This books not has Illogical examples. Provides no insight into the drivers of the market, nor understanding of why one would take a position in the market. It’s a math book for math people. I try to find the good, but this book causes more harm than good in gaining real world facility.
Davion Wilkinson (verified owner) –
Thank you very much for the book! Its condition exceeded muy expectations
Eithan Reilly (verified owner) –
Just the best resource for SOA’s MFE exam. Its content is quite perfect and its easy-reading makes it the best choice for the syllabus.
Melody Cantrell (verified owner) –
Its a very clear and concise book. Its a Great tool for people who are Not Finance majors, its easy to understand.
Flynn Barber (verified owner) –
I used this item to prepare for the SOA exam IFM.
Shay Chan (verified owner) –
This was a great book! It had a wealth of information and was well layed out.