Stochastic Calculus for Finance I: The Binomial Asset Pricing Model (Springer Finance / Springer Finance Textbooks) by Steven Shreve (Author).
Developed for the skilled Master's program in Computational Finance at Carnegie Mellon, the leading monetary engineering program within the U.S. Has been tested in the classroom and revised over an interval of several years Workout routines conclude every chapter; a few of these prolong the theory while others are drawn from sensible problems in quantitative finance.
It could be exhausting to overstate my enthusiasm for this textual content and its companion volume. In subject that's too frequently represented by poorly thought out drafts rushed to market or by superior mathematical remedies that are not easily understood by individuals more targeted on apply, Shreve's texts stand out by being both rigorous and accessible with well thought out examples and exercises.