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.
