Theory of Financial Decision Making

About this book

Based on courses developed by the author over several years this book provides access to a broad area of research that is not available in separate articles or books of readings. Topics covered include the meaning and measurement of risk general single-period portfolio problems mean-variance analysis and the Capital Asset Pricing Model the Arbitrage Pricing Theory complete markets multiperiod portfolio problems and the Intertemporal Capital Asset Pricing Model the Black-Scholes option pricing model and contingent claims analysis risk-neutral pricing with Martingales Modigliani-Miller and the capital structure of the firm interest rates and the term structure and others.