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Ever since Black, Scholes, and Merton did their pioneering work in the field of financial mathematics, continuing research has led to the rapid development of a substantial body of knowledge, with numerous applications to the common functioning of the world’s financial institutions.

Mathematics, as the language of science, has always played a role in the development of knowledge and technology. Presently, the high-tech character of modern business has increased the need for advanced methods, which rely to a large extent on mathematical techniques. It has become essential for the financial analyst to possess a high degree of proficiency in these mathematical techniques. The essays in Stochastic Finance describe many of these techniques.

Audience

This book is intended for experts in mathematics, statistics, mathematical finances, and economics.




Ever since Black, Scholes, and Merton did their pioneering work in the field of financial mathematics, continuing research has led to the rapid development of a substantial body of knowledge, with numerous applications to the common functioning of the world’s financial institutions.

Mathematics, as the language of science, has always played a role in the development of knowledge and technology. Presently, the high-tech character of modern business has increased the need for advanced methods, which rely to a large extent on mathematical techniques. It has become essential for the financial analyst to possess a high degree of proficiency in these mathematical techniques. The essays in Stochastic Finance describe many of these techniques.

Audience

This book is intended for experts in mathematics, statistics, mathematical finances, and economics.




Ever since Black, Scholes, and Merton did their pioneering work in the field of financial mathematics, continuing research has led to the rapid development of a substantial body of knowledge, with numerous applications to the common functioning of the world’s financial institutions.

Mathematics, as the language of science, has always played a role in the development of knowledge and technology. Presently, the high-tech character of modern business has increased the need for advanced methods, which rely to a large extent on mathematical techniques. It has become essential for the financial analyst to possess a high degree of proficiency in these mathematical techniques. The essays in Stochastic Finance describe many of these techniques.

Audience

This book is intended for experts in mathematics, statistics, mathematical finances, and economics.


Content:
Front Matter....Pages I-XIV
Front Matter....Pages 1-1
How Often to Sample a Continuous-Time Process in the Presence of Market Microstructure Noise....Pages 3-72
Multipower Variation and Stochastic Volatility....Pages 73-82
Completeness of a General Semimartingale Market under Constrained Trading....Pages 83-106
Extremal behavior of stochastic volatility models....Pages 107-155
Capital Asset Pricing for Markets with Intensity Based Jumps....Pages 157-182
Mortgage Valuation and Optimal Refinancing....Pages 183-196
Computing efficient hedging strategies in discontinuous market models....Pages 197-212
A Downside Risk Analysis based on Financial Index Tracking Models....Pages 213-236
Front Matter....Pages 237-237
Modelling electricity prices by the potential jump-diffusion....Pages 239-263
Finite dimensional Markovian realizations for forward price term structure models....Pages 265-320
Good Portfolio Strategies under Transaction Costs: A Renewal Theoretic Approach....Pages 321-341
Power and Multipower Variation: inference for high frequency data....Pages 343-364


Ever since Black, Scholes, and Merton did their pioneering work in the field of financial mathematics, continuing research has led to the rapid development of a substantial body of knowledge, with numerous applications to the common functioning of the world’s financial institutions.

Mathematics, as the language of science, has always played a role in the development of knowledge and technology. Presently, the high-tech character of modern business has increased the need for advanced methods, which rely to a large extent on mathematical techniques. It has become essential for the financial analyst to possess a high degree of proficiency in these mathematical techniques. The essays in Stochastic Finance describe many of these techniques.

Audience

This book is intended for experts in mathematics, statistics, mathematical finances, and economics.


Content:
Front Matter....Pages I-XIV
Front Matter....Pages 1-1
How Often to Sample a Continuous-Time Process in the Presence of Market Microstructure Noise....Pages 3-72
Multipower Variation and Stochastic Volatility....Pages 73-82
Completeness of a General Semimartingale Market under Constrained Trading....Pages 83-106
Extremal behavior of stochastic volatility models....Pages 107-155
Capital Asset Pricing for Markets with Intensity Based Jumps....Pages 157-182
Mortgage Valuation and Optimal Refinancing....Pages 183-196
Computing efficient hedging strategies in discontinuous market models....Pages 197-212
A Downside Risk Analysis based on Financial Index Tracking Models....Pages 213-236
Front Matter....Pages 237-237
Modelling electricity prices by the potential jump-diffusion....Pages 239-263
Finite dimensional Markovian realizations for forward price term structure models....Pages 265-320
Good Portfolio Strategies under Transaction Costs: A Renewal Theoretic Approach....Pages 321-341
Power and Multipower Variation: inference for high frequency data....Pages 343-364
....
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