The Economics of Financial Markets Book

Preface;

1. Asset markets and asset prices;
2. Asset market microstructure;
3. Predictability of prices and market efficiency;
4. Decision making under uncertainty;
5. Portfolio selection: the mean-variance model;
6. The capital asset pricing model, CAPM;
7. Arbitrage;
8. Factor models and arbitrage pricing theory, APT;
9. Empirical appraisal of the CAPM;
10. Present value relationships and price variability;
11. Intertemporal choice and equity premium puzzle;
12. Bond markets and fixed-interest securities;
13. Term structure and interest rates;
14. Futures markets - fundamentals;
15. Futures markets - speculation and hedging;
16. Futures markets - applications;
17. Swap contracts and swap markets;
18. Options markets: fundamentals;
19. Options markets - price determination;
20. Options markets - applications.