Modern Financial Markets : Prices, Yields, and Risk Analysis

by David W. Blackwell (Texas A&; M University ); Mark D. Griffiths (Miami University ); Drew B. Winters (Texas Tech University )

• ISBN13: 9780470000106
• ISBN10: 0470000104
• Format: Hardcover
• Copyright: 2006-12-01
• Publisher: WILEY

Summary

Throughout this concise, accessible book, readers will quickly learn the fundamental concepts of managerial finance while discovering how things really work. The material is explained using an intuitive theoretical context, providing them with a richer understanding of the material and better insights into solving problems. Finance concepts are covered in a common sense manner and the use of mathematical jargon is minimized. The unifying theme for the book is the concept of valuation since it is the most fundamental concept in finance. The authors define and discuss value in terms of net present value (NPV).

Author Biography

David W. Blackwell is the James W. Aston/RepublicBank Professor of Finance and Head of the Department of Finance at Texas A&M University's Mays Business School. Prior to joining Texas A&M, Dr. Blackwell worked for several years as a consultant with PricewaterhouseCoopers LLP and KPMG LLP. Before his stint in the Big 4, he served on the faculties of the University of Georgia, the University of Houston, and Emory University. He was also a visiting professor at the University of Rochester. His publications have appeared in the leading scholarly journals of finance and accounting such as Journal of Finance, Journal of Financial Economics, Journal of Financial and Quantitative Analysis, Financial Management, Journal of Financial Research, Journal of Accounting Research, and Journal of Accounting and Economics. While in the Big 4, Dr. Blackwell consulted on a broad range of issues including intellectual property valuation, securities and business valuation, corporate governance, and executive compensation. Dr. Blackwell received a Ph.D. in Finance and a B.S. in Economics from the University of Tennessee, Knoxville. He is a past president of the Southern Finance Association and a former Associate Editor of the Journal of Financial Research.

Mark D. Griffiths is the Jack Anderson Professor of Fiance at Miami University's Richard T. Farmer School of Business. His research focuses primarily on issues in market microstructure, money markets and short-term interest rates. Dr Griffiths' publications appear in leading academic journals including Journal of Business, Journal of Finance, Journal of Financial Economics, Journal of Banking and Finance, and Journal of Financial Intermediation. He received undergraduate degrees in French and administrative studies from the University of Western Ontario and from York University, Canada, respectively. He completed an MBA in finance at York University before earning a master's degree in economics at the University of Waterloo and a Ph.D. in finance from the University of Western Ontario.

Drew B. Winters is the Jerry S. Rawls Professor of Finance and Area Coordinator of Finance at Texas Tech University's Rawls College of Business. His research focuses on the behavior of short-term interest rates and the determinants of interest rates on bank lines of credit. His publications appear in leading journals such as Journal of Business, Journal of Accounting Research, Journal of Banking and Finance, Journal of Financial Research, and counting Research, Journal of Banking and Finance, Journal of Financial Research, and the Economic Review of the Federal Reserve Bank of St. Louis. Before joining Texas Tech, Dr. Winters Served at the University of Central Florida, University of Southern Mississippi, University of Wisconsin-Milwaukee, and Western Illinois University. He has also served as a Visiting Research Economist at the Federal Reserve Bank of St. Louis. Before he entered academic life, Dr. Winters was a loan officer at First Union National Bank and a staff accountant for a public accounting firm. Dr. Winters received a Ph.D. in Finance and the MBA from the University of Georgia, and a B.S. in computer science and accounting from Duke University.

Table of Contents

Overview of Risk, return, and Efficiency in Financial Markets

Overview of Financial Institutions

The Level and Structure of Interest Rates

Money Markets

Bond Valuation

Mortgage Valuation

Equity Valuation

Foreign Exchange Markets

Forward and Futures Contracts

Option Markets

Introduction to Risk Management

Money Market Risk Management

Bond Risk Management

Mortgage Risk Management

Stock Portfolio Formation and Risk Management

Foreign Currency Risk Management

Derivative Risk Management

Interest Rate Derivatives

An Introduction to Credit Derivatives

Table of Contents provided by Publisher. All Rights Reserved.