Introduction to Financial Mathematics

Introduction to Financial Mathematics motivates students through a discussion of personal finances and portfolio management. The book covers nearly all of the syllabus topics of the Financial Mathematics Actuarial examination to provide students with the foundation they require for future studies and in their careers. It begins by covering standard material on the mathematics of interest and goes on to address probabilistic financial models and the valuation of financial derivatives. Many of the examples in the book involve numerical solution of complicated non-linear equations; others ask students to produce algorithms which beg to be implemented as programs.