Triana Lecturing Birds on Flying

Can Mathematical Theories Destroy the Financial Markets?
1. Auflage 2009
ISBN: 978-0-470-50105-4
Verlag: John Wiley & Sons
Format: EPUB
Kopierschutz: Adobe DRM (»Systemvoraussetzungen)

E-Book, Englisch, 400 Seiten, E-Book

Praise for Lecturing Birds On Flying
"Finally, a book taking a critical look at quantitative financemodels, illuminating both their flawed fantasy assumptions as wellas the uncritical use of such models on Wall Street, in many cases,leading to billion dollar losses. Pablo Triana knows both thefinancial industry and the academic community from the inside. Amust-read for anyone interested in finance."
--Dr. Espen Gaarder Haug, trader, thinker, and authorof Derivatives Models on Models
"A thoroughly readable explanation of the problems that havebeset the models and quantitative techniques that have underpinnedso much of finance in recent years. If only the bankers had heededthis message a few years before, we might not be in such a big messtoday."
--Gillian Tett, Assistant Editor of the FinancialTimes, overseeing global financial markets coverage, and authorof Fool's Gold
"Pablo Triana dismembers quantitative finance, in theory and inpractice, with expertise, anger,and an excellent eye for theilluminating anecdote. By the time he has finished marshalling hisevidence, his call to replace complex equations with something morelike common sense sounds like, well, common sense."
--Edward Hadas, Assistant Editor atBreakingviews.com; and author of Human Goods,Economic Evils: A Moral Approach to the Dismal Science
"Pablo Triana is an entertaining and engaging writer, even onthe dry subject of finance theory. His debunking of conventionalwisdom is a treat."
--Pauline Skypala, Editor, FTfm, FinancialTimes
"Triana's book is an unrelenting fusillade of detailed andirrefutable arguments against financial theorems and those whoteach them. It should, by rights, spark a revolution in bothinvestment banks and business schools. But, at the very least, itis required reading for anyone who would regulate the financeindustry."
--Felix Salmon, Finance Blogger, Reuters

Autoren/Hrsg.

Triana, Pablo

Weitere Mitwirkende

Taleb, Nassim Nicholas

Inhaltsverzeichnis

Foreword.
Preface: An Evening at NYU, Taleb's Article, and a CreditCrisis.
Mathew Gladstein's Complaisanc.
ESSENTIALS.
CHAPTER 1 PLAYING GOD.
It's tough to model human action.
Finance is not as religious as physics.
Black Swans make things harder.
The markets are not Normal and the past is a faulty guide.
Should we care that theorists persist?
CHAPTER 2 THE FINANCIAL ECONOMICS FIEFDOM.
Virginity matters.
When describing reality was okay.
It's the incentives, stupid.
Many obstacles to reform.
Heeding Fischer Black's message.
CHAPTER 3 QUANT INVASION.
Machine learning comes to finance.
It's a computational thing.
Models live here, too.
Quant punting.
Interesting enough for a movie.
CRITIQUE.
CHAPTER 4 COPULATED NIGHTMARES.
Abrupt reform, if not so much prison.
Modeling death.
The 2005 pre-warning.
Rating us into hell.
A disapproving grin.
CHAPTER 5 BLAH VaR BLAH.
Insalubrious charlatanism.
Tracking a true culprit.
Credit truths.
A long rap sheet of evidence.
The police are in on it.
CHAPTER 6 BLUE IS NOT GREEN.
Lehman did die.
Anything is possible.
Buffett versus the Black Swan.
Stubbornly holding the theoretical fort.
An end to indoctrination.
CHAPTER 7 THE BLACK-SCHOLES CONUNDRUM.
Once upon a time at MIT.
Frowning, not smiling.
How Black was that Monday.
A devastating KO.
The Taleb & Haug critique.
CONCLUSIONS.
CHAPTER 8 BLACK SWAN DECEIT?
The tired "perfect storm" alibi may be a facade.
Indoctrinating clients and investors.
The unseemly marketers of academic dogma.
Do as I say, not as I do.
Glorifying complexity.
CHAPTER 9 AN UNHEALTHY YEARNING FOR PRECISION.
Dangerous voluntary enslavement.
Let freedom ring.
Normality can kill you.
A VIXing issue.
Protect those derivatives.
CHAPTER 10 WE NEED FAT TONY.
FINALE SHOULD THE NOBEL PRIZE IN ECONOMICS BEELIMINATED?
Notes.
Acknowledgments.
About the Author.
Index.

Über Autor(innen)

Pablo Triana has successful derivatives experience at all levels: on the trading floor and as a professor, consultant, and author. He is a frequent contributor to business publications, including the Financial Times, Forbes.com, Breakingviews.com, and Risk magazine, among others. Triana is also the author of Corporate Derivatives. He holds a master of science from the Stern School of Business, New York University, and a master of arts from American University.