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Chargement... The Money Formula: Dodgy Finance, Pseudo Science, and How Mathematicians Took Over the Marketspar Paul Wilmott
   Aucun Actuellement, il n'y a pas de discussions au sujet de ce livre.  Floyd3345 | Jun 15, 2019 |  aucune critique | ajouter une critique
"Explore the deadly elegance of finance's hidden powerhouse The Money Formula takes you inside the engine room of the global economy to explore the little-understood world of quantitative finance, and show how the future of our economy rests on the backs of this all-but-impenetrable industry. Written not from a post-crisis perspective - but from a preventative point of view - this book traces the development of financial derivatives from bonds to credit default swaps, and shows how mathematical formulas went beyond pricing to expand their use to the point where they dwarfed the real economy. You'll learn how the deadly allure of their ice-cold beauty has misled generations of economists and investors, and how continued reliance on these formulas can either assist future economic development, or send the global economy into the financial equivalent of a cardiac arrest. Rather than rehash tales of post-crisis fallout, this book focuses on preventing the next one. By exploring the heart of the shadow economy, you'll be better prepared to ride the rough waves of finance into the turbulent future. Delve into one of the world's least-understood but highest-impact industries Understand the key principles of quantitative finance and the evolution of the field Learn what quantitative finance has become, and how it affects us all Discover how the industry's next steps dictate the economy's future How do you create a quadrillion dollars out of nothing, blow it away and leave a hole so large that even years of "quantitative easing" can't fill it - and then go back to doing the same thing? Even amidst global recovery, the financial system still has the potential to seize up at any moment. The Money Formula explores the how and why of financial disaster, what must happen to prevent the next one"--
"The book is divided into two main parts. The first dips into the history of quantitative finance and explains its key principles, the second is about the quantitative finance industry today and how it is evolving. Finally, the book will conclude with what should happen, what needs to happen, to prevent future financial disaster"-- Aucune description trouvée dans une bibliothèque |
Discussion en coursAucunCouvertures populaires  
 Google Books — Chargement...GenresClassification décimale de Melvil (CDD)658.155Technology Management and auxiliary services Management Of Corporate Finance Financial Management Of Costs And RevenuesClassification de la Bibliothèque du CongrèsÉvaluationMoyenne: (4.5)
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Well, Paul Wilmott and David Orrell explain that this is a dumb idea and why it is dumb. Human beings don't act like rational agents, motivated by their own self-interest, they are greedy and conniving idiots. Just because they have an advanced degree in mathematics doesn't mean they can tell the economy how to run itself. So the book talks about the main issues inherent in our financial system and goes over the histories of giant financial crashes and how the bankers and investors went home to their families and drank the wine of celebration for losing that much money. It's really rather frightening that such a naive group of people are responsible for this sort of thing, but well, it is hard to model something that accurately reflects a nonlinear system.
Take the weather for instance. Anyone could tell you a situation where the weather person got their info wrong, and you forgot your scarf or umbrella as a consequence. The weather is an extremely complex system with dozens of variables. I'm impressed that they can predict tomorrow's weather, to be honest. Now the same goes for finance. Anyone and their grandma will tell you that the stock market is about people buying and selling things. Since people don't behave rationally, we had to introduce some mathematics borrowed from a lot of different places. Most of it tries to model random behavior as I mentioned before.
Anyway, this book is really good. It even includes jokes and things. So if you want to know about that sort of thing, it isn't really heavy on the mathematics and the stories are interesting. Also, the book is not called Quantitative Seizing, it is called The Money Formula, as seen in the picture. (