Money and mathematics : a conversational approach to modern financial mathematics and insurance / Ralf Korn, Bernd Luderer.
This book follows a conversational approach in five dozen stories that provide an insight into the colorful world of financial mathematics and financial markets in a relaxed, accessible and entertaining form. The authors present various topics such as returns, real interest rates, present values, ar...
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Main Authors: | , |
Other title: | Mathe, Märkte und Millionen. English. |
Format: | eBook |
Language: | English German |
Published: |
Wiesbaden :
Springer,
[2021]
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Series: | Springer texts in business and economics.
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Table of Contents:
- Part I: Income Taxes, Lottery, and Lion Hunting-Elementary Mathematics
- 1. "We Take over Your VAT!" How Big Is the Actual Discount?
- 2. Millions Every Week, but Not for Me. Six Numbers in the Lottery
- 3. Where Did My Money Go? Loss Compensation After a Price Drop
- 4. How Do You Catch a Lion? Finding a Zero by Halving the Interval
- 5. Upside Down and Up Again. How Many Zeros Does a Polynomial Have?
- 6. "According to Adam Ries, that Comes to..." About Fusti, Freight, and Cartage
- 7. How to Invest? The Cost-Average Effect
- 8. 32a, the Politician and the Coaster. Calculating the Income Tax of a Person
- 9. This Makes the Taxpayer Shudder. What Does "Cold Progression" Actually Mean?
- Part II: Interest Rates, Prices, Yields-Classical Financial Mathematics
- 10. A Fair Deal? Or: There's Nothing Like Starting Young
- 11. Should I Pay the Bill Quickly? Cash Discount
- 12. The Children of the Interest Rate Are the Grand-Children of the Capital. Compound Interest
- 13. When Will Scrooge McDuck Be Satisfied? The Doubling Problem
- 14. How Real Is Nominal? The Actual Rate of Return on a Principal
- 15. "Have I Learned to Calculate Correctly?" Why Dr. X. from Gifhorn Was Wrong
- 16. "What, I Have to Pay that Long?" Full Repayment of a Loan
- 17. The Widow of the General and the Painter. A Loan à la Chekhov
- 18. Why Does Nominal not Equal Effective? The Effective Interest Rate of an Immediate Loan
- 19. Sandwich with a Car Inside. Financing with Hooks and Eyes
- 20. The Assiduous Clerk. Capital Certificates and Federal Bonds
- 21. 7500 Euros Monthly: A Lifetime. Or Better Yet, Two Millions Right Away?
- 22. Financing a Car with Zero Percent: A Bargain?- 23. Interest Payments Anytime: Isn't That Wonderful? Continuous Compounding of Interest
- 24. Bearer Bonds and Coupons. Bond Prices and Returns of Bonds
- 25. Oops! A Law Containing Formulas and Numerical Methods? The Calculation of the Effective Interest Rate According to the German Price Indication Ordinance
- Part III: Financial Products and Strategies-Modern Financial Mathematics
- 26. Fair Prices and Market Prices
- 27. The Short End and the Long End. Yield Curves, Spot Rates, and Forward Rates
- 28. Simple as Vanilla Ice Cream. On Standard Financial Products
- 29. Exchanges for Mutual Benefit. Swaps
- 30. The Telescope That Has Been Pushed Together. How to Calculate a Swap Rate?
- 31. Pull out Yourself of the Swamp by Your Own Hair. The Bootstrapping Method
- 32. No Risk, No Fun! Risk Indicators of Fixed-Income Securities
- 33. Sleep Well Despite Turbulent Markets? The Immunization Property of the Duration
- 34. Rising Like a Phoenix from the Ashes. New Shine for Your Depot?
- 35. The Crop of Standing Corn. Are Speculators Really Bad People?
- 36. Orange Juice and Pork Bellies. Forward Transactions
- 37. Empty Pockets and No Money. About Short Sales and No-Arbitrage Portfolios
- 38. Earning Money Without Capital and Risk. Arbitrage Transactions and Fair Prices
- 39. Fibonacci and His Rabbits. A Few Words About Technical Analysis
- Part IV: Only Rights, No Obligations-Options
- 40. A Trip Around the World: Different Types of Options
- 41. Two Triumvirates: From Arbitrage to Speculation
- 42. Nothing Is for Free: The Arbitrage Principle
- 43. How Much Do I Have to Pay for My Right? Option Pricing According to Black and Scholes
- 44. It Takes Two: Option Pricing in the Binomial Model
- 45. Safe Behind the Hedge: Hedging of Stock Positions
- 46. Wrong Calculation-Right Result: Can This Really Be? The Correct Derivation of the Risk Measure Delta
- 47. The Greeks and the Risk: About Risk Indicators for Stock Options
- 48. "In, At and Out of the Money" The Language of the Actors at the Financial Markets
- 49. Volatility Determines the Option Price-Really?
- 50. Speculating with Options: Rich by Using Leverage?
- Part V: It Is All in the Mix-Portfolio Theory
- 51. A Portfolio of Shares
- 52. Risky Investments: Everything Under Control
- 53. Negative with a Positive Impact: Risk Reduction Using Correlation
- 54. Above Your Needs and Maybe Even More? The CPPI Strategy
- 55. High Risk Pays Off!? Sometimes: On Strategies in Stock Market Games
- Part VI: The Collective Against Risks-Insurance
- 56. A Duo Taming Uncertainty: The Law of Large Numbers and the Central Limit Theorem
- 57. Do You like Classics? A German Life Insurance Concept
- 58. More Opportunities: Dynamic Hybrid Products
- 59. A Million Dollar Roulette in the Financial and Insurance Market? The Monte Carlo Method
- 60. Insurance for Millions-Millions for the Insurer
- 61. CRK: One Number for Risk and Return. Classification of Pension Products
- 62. Living with the Mortality Table
- 63. What Relates Honoré de Balzac and 30 Young Geneva Girls with Life Annuities and Life Tables?
- 64. Sometimes It Clicks and Sometimes Not. A Riester Pension Product with Index Participation
- Part VII: Theoretical Foundations-Classical and Stochastic Financial Mathematics
- Classical Financial Mathematics
- 66. Stochastic Financial Mathematics.