Headed by Bernstein, the quantitative equity and equity derivatives strategies group at Merrill Lynch is noted for their proprietary research on market segmentation and style investing. In this book, he highlights the macroeconomic, microeconomic and expectational factors that can affect equity market segment performance. The first section focuses on the definition and identification of market segments and reviews the major equity market segments that concern today's institutional investors. Part two analyzes the historical result of each segment of style strategy within the context of the economic and expectational framework. Lastly, it describes current issues and problems in equity markets and their implications for pension plan sponsors.

In Artificial Intelligence in Finance and Investing, authors Robert Trippi and Jae Lee explain this fascinating new technology in terms that portfolio managers, institutional investors, investment analysis, and information systems professionals can understand. Using real-life examples and a practical approach, this rare and readable volume discusses the entire field of artificial intelligence of relevance to investing, so that readers can realize the benefits and evaluate the features of existing or proposed systems, and ultimately construct their own systems. Topics include using Expert Systems for Asset Allocation, Timing Decisions, Pattern Recognition, and Risk Assessment; overview of Popular Knowledge-Based Systems; construction of Synergistic Rule Bases for Securities Selection; incorporating the Markowitz Portfolio Optimization Model into Knowledge-Based Systems; Bayesian Theory and Fuzzy Logic System Components; Machine Learning in Portfolio Selection and Investment Timing, including Pattern-Based Learning and Fenetic Algorithms; and Neural Network-Based Systems. To illustrate the concepts presented in the book, the authors conclude with a valuable practice session and analysis of a typical knowledge-based system for investment management, K-FOLIO. For those who want to stay on the cutting edge of the "application" revolution, Artificial Intelligence in Finance and Investing offers a pragmatic introduction to the use of knowledge-based systems in securities selection and portfolio management.

The OTC derivatives market has been hit by a massive wave of regulatory change. Capital and margin requirements have increased, trade reporting has been mandated, and execution mechanisms are evolving. Most of all, central clearing is being imposed for many transactions.
"OTC Derivatives: Bilateral Trading and Central Clearing" explains the new rules and the new models. It discusses the traditional bilateral market, then sets out how this will change due to mandatory central clearing and the new ways in which OTC derivatives will have to be traded, reported, and processed. The risks of OTC derivatives clearing houses are discussed in detail, as are the protections that CCPs have against these risks. The book also looks at alternatives to some of the policy decisions that have been made, showing the balance between costs and benefits of various different approaches to derivatives market stability. The book is both a detailed primer on OTC derivatives clearing and a powerful insight into post-crisis financial regulation.
Key features of the book include:
- A discussion of the capital rules for OTC derivatives counterparty credit risk in Basel III;
- An account of OTC derivatives trade processing in both bilateral and cleared markets;
- A detailed account of the risk profile of OTC derivatives CCPs;
- An explanation of the risks run in various collateral segregation models; and
- A comparison of various macro-prudential tools for enhancing the financial stability of OTC derivatives markets.

How did a world-famous dancer with no knowledge of the stock market, or of finance in general, make 2 million dollars in the stock market in 18 months starting with only $10,000? Darvas is legendary, and with good reason. Find out why.

This book provides a comprehensive analysis of the effects that foreign direct investment into China has had on the productivity, exporting activity, and innovation of Chinese domestic firms, as well as on the nation's labor markets. The analysis relies on the most complete data available and state-of-the-art statistical analysis. The book also includes a critical overview of existing theoretical and empirical literature on these issues and is meant to provide guidance to researchers in the area of FDI effects in general, as well as those interested in studying the Chinese economy.

Even after repeated boom and bust cycles on Wall Street, it's still possible to make real money in the stock market--provided investors take a disciplined approach to investing. Financial guru Jim Cramer shows how ordinary investors can prosper, no matter the climate on Wall Street.
How do we find hot stocks without getting burned? How do we fatten our portfolios and stay financially healthy? Former hedge-fund manager and longtime Wall Street commentator Jim Cramer explains how to invest wisely in chaotic times, and he does so in plain English in a style that is as much fun as investing is--or should be, when it's done right.
For starters, Cramer recommends devoting a portion of your assets to speculation. Everyone wants to find the big winners that can bring outsized gains, and Cramer explains how to allocate your portfolio so that you can afford to take this kind of risk wisely. He explains why "buy and hold" is a losing philosophy: For Cramer, it's "buy and homework." If you can't spend an hour a week researching each of your stocks, then you should hand off your portfolio to a mutual fund--and Cramer identifies the very few mutual funds that he'd recommend.
Cramer reveals his Ten Commandments of Trading (Commandment #5: Tips are for waiters). He explains why he's not afraid to compare investing to gambling (and tells you which book on gambling you should read to become a better investor). He discloses his Twenty-Five Rules of Investing (Rule #4: Look for broken stocks, not broken companies).
Cramer shows how to compare stock prices in a way that you can understand, how to spot market tops and bottoms, how to know when to sell, how to rotate among cyclical stocks to catch the big moves, and much more. "Jim Cramer's Real Money" is filled with insider advice that really works, information that Cramer himself used to make millions during his fourteen-year career on Wall Street.
Written in Cramer's distinctive turbocharged style, this is every investor's guide to what you really must know to make big money in the stock market.

This book discusses capital markets and investment decision-making, focusing on the globalisation of the world economy. It presents empirically tested results from Indian and Southwest Asian stock markets and offers valuable insights into the working of Indian capital markets. The book is divided into four parts: the first part examines capital-market operations, particularly clearance and settlement processes, and stock market operations. The second part then addresses the functioning of global markets and investment decisions; more specifically it explores calendar anomalies, dependencies, overreaction effect, causality effect and stock returns volatility in South Asia, U.S. and global stock markets as a whole. Part three covers issues relating to capital structure, values of firm and investment strategies. Lastly, part four discusses emerging issues in finance like behavioral finance, Islamic finance, and international financial reporting standards. The book fills the gap in the existing finance literature and helps fund managers and individual investors make more accurate investment decisions.

This book analyzes the post-subprime crisis world from the global, Asian and Chinese perspectives. It dispels some of the myths about the crisis's effects on Asia and China; and exposes the ugly truth of bailout policies and their distortion and hindering of the world's economic rebalancing effort in the post-subprime era.

This book provides a basic grounding in the use of probability to model random financial phenomena of uncertainty, and is targeted at an advanced undergraduate and graduate level. It should appeal to finance students looking for a firm theoretical guide to the deep end of derivatives and investments. Bankers and finance professionals in the fields of investments, derivatives, and risk management should also find the book useful in bringing probability and finance together. The book contains applications of both discrete time theory and continuous time mathematics, and is extensive in scope. Distribution theory, conditional probability, and conditional expectation are covered comprehensively, and applications to modeling state space securities under market equilibrium are made. Martingale is studied, leading to consideration of equivalent martingale measures, fundamental theorems of asset pricing, change of numeraire and discounting, risk-adjusted and forward-neutral measures, minimal and maximal prices of contingent claims, Markovian models, and the existence of martingale measures preserving the Markov property. Discrete stochastic calculus and multiperiod models leading to no-arbitrage pricing of contingent claims are also to be found in this book, as well as the theory of Markov Chains and appropriate applications in credit modeling. Measure-theoretic probability, moments, characteristic functions, inequalities, and central limit theorems are examined. The theory of risk aversion and utility, and ideas of risk premia are considered. Other application topics include optimal consumption and investment problems and interest rate theory.

As an asset manager or pension trustee, you should worry less about the stocks and products you pick for your clients and more about getting your fundamental investment beliefs right.
After a steep decline in the global stock markets and a recovery that is still uncertain, it is simply is not enough to have a good organization, good staff and a well-defined mission. You need to formulate your own set of investment beliefs: a clear view on how you perceive the way capital markets work and how your fund can add value and strive for excellence. Funds which establish and implement a well-defined investment philosophy have been shown to earn consistently better results.
This practical book provides the framework for determining your own investment beliefs and guidance on how to imbed, communicate and monitor them. Its research is based on a survey of the world's leading fund managers, viewed as excellent companies in the asset management industry. The book includes a speed-read summary at the start of each chapter, useful checklists, and case-studies spanning organizations from a variety of different countries and industries. It also provides a timely overview of the major debates in the industry and an introduction to the issues that matter for long-term survival in financial markets
With investment beliefs firmly in place, you will be able to more easily navigate the investment options available, knowing that your choices and decisions are in accordance with your values and objectives. Successful implementation of investment beliefs might well be one of the decisive factors in becoming a winner or loser in the investment management industry in 2020.

As financial markets expand globally in response to economic and technological developments of the twenty-first century, our understanding and expectations of the people involved in these markets also change. Unmasking Financial Psychopaths suggests that an increasing number of financiers labeled "financial psychopaths" are not truly psychopathic, but instead are by-products of a rapidly changing personal and professional environment. Advances have been made in identifying psychopaths outside of situations accompanied by physical violence, yet it is still difficult to differentiate psychopaths in cultural settings that have adopted psychopathic behavioral tendencies as the norm. Within the investment sector, a fundamental transformation has occurred: the type of person employed by financial firms and the environment within which finance is conducted have both changed. Society's expectation of financiers adapted to these subtle, behind-the-scenes shifts, resulting the public at large perceiving more individuals in the financial sector as acting in a psychopathic manner. Being able to distinguish the truly psychopathic financier from individuals who conform to behavioral expectations is the first step towards a cultural shift away from accepted psychopathic behaviors in the financial sector.