Bond Markets, Analysis, and Strategies (5th Edition) [Hardcover]

Frank J. Fabozzi (Author)

Book Description

ISBN-10: 0130497827 | ISBN-13: 978-0130497826 | Publication Date: October 31, 2003 | Edition: 5

For upper-level college courses in Economics or Finance that focus on bond markets. This comprehensive textbook on bonds takes a practical real-world approach focusing on the bond market and the tools for managing bond portfolios. It includes a detailed discussion of each type of bond and interest rate derivative. The text features comprehensive discussion of not only the instruments, but their investment characteristics, the state-of-the art technology for valuing them, and portfolio strategies for using them.

Editorial Reviews

From the Publisher

This comprehensive textbook on bonds takes a practical real-world approach to the subject. It includes a detailed discussion of each type of bond including a wide range of products. The text features comprehensive discussion of not only the instruments, but their investment characteristics, the state-of-the art technology for valuing them, and portfolio strategies for using them. --This text refers to an out of print or unavailable edition of this title.

From the Back Cover

Bond Markets, Analysis, and Strategies, Fifth Edition, takes a practical real-world approach to bond investing and includes a detailed discussion of each type of bond and interest rate derivative instrument. The text features a comprehensive discussion of not only the investment instruments, but also their speculative characteristics, the state-of-the-art technology for valuing them, techniques for quantifying interest rate risk, and the portfolio strategies for using them. These strategies include active strategies and structured portfolio strategies.

In the fifth edition, there are three new chapters:

• "Commercial Mortgage-Backed Securities"
• "Collateralized Debt Obligations"
• "Credit Derivatives"

There are major revisions to two chapters: "Treasury and Agency Securities Markets" and "Non-U.S. Bonds." In addition, there is expanded coverage of the factors considered by rating agencies in rating corporate bonds, asset classes securitized, tracking error and active portfolio strategies, and the valuation of interest rate swaps and caps/floors.

See all Editorial Reviews

Product Details

• Hardcover: 670 pages
• Publisher: Prentice Hall; 5 edition (October 31, 2003)
• Language: English
• ISBN-10: 0130497827
• ISBN-13: 978-0130497826
• Product Dimensions: 9.5 x 7.3 x 1.2 inches
• Shipping Weight: 2.6 pounds
• Average Customer Review: 3.6 out of 5 stars  See all reviews (14 customer reviews)
• Amazon Best Sellers Rank: #510,487 in Books (See Top 100 in Books)

Customer Reviews

Most Helpful Customer Reviews

27 of 31 people found the following review helpful:

4.0 out of 5 stars A lot of hand waving, but does help, April 3, 2002

By 

Sunanda Dutta "kolikata" (Hoboken, NJ) - See all my reviews
(REAL NAME)   

This review is from: Bond Markets: Analysis and Strategies (4th Edition) (Hardcover)

A little too wordy, but as a management text, I guess its a prerequisite. It covers the gamut of fixed income securities, but only approaches the problems deterministically. The first thirteen chapters are "text" chapters, with the real math starting in chapter 14. However, the math used is elementary, and will not be of much help in the real world. For the fixed income math portion look into "Bond Pricing and Portfolio Analysis" by Olivier de La Grandville.

For a first course in bonds, and if the student has no prior background, this book will indeed be useful. But, for advanced students the book mentioned above should be more insightful.

10 of 10 people found the following review helpful:

1.0 out of 5 stars Plagued by Math Errors and Incomplete Formulas, April 30, 2008

By 

Veritas "Avid Reader" (USA) - See all my reviews

This review is from: Bond Markets, Analysis and Strategies (6th Edition) (Paperback)

This book has numerous issues with incomplete formulas, math errors, and poor editing. Many of the questions at the end of the chapters are incomplete and the solutions in the manual often add in information that was not in the question. The solutions manual has lots of numbers transposed and on multipart questions these errors cause all of the answers to be incorrect. In addition, many of the solutions will change par value in the middle of the answer making it very confusing.

The editor of this book should be fired immediately.

14 of 16 people found the following review helpful:

5.0 out of 5 stars Excellent introduction to Bond Markets - VERY well written, June 14, 2002

By 

Craig Matteson (Saline, MI) - See all my reviews
(TOP 500 REVIEWER)    (HALL OF FAME REVIEWER)    (REAL NAME)   

This review is from: Bond Markets: Analysis and Strategies (4th Edition) (Hardcover)

If you think of this as an introductory book to the world of Bonds rather than a field manual for professionals you will find this to be a wonderful book. I find it to be engagingly written (yes, engaging!) with well-chosen examples. It is very nice to be able to read a book about Bonds and find it stimulating. It would have been easy to write a book that could act as a sleep-aid. Instead, this book provides learning objectives for each chapter and the prose is so inviting that I felt the book to be a page-turner.

The math used is not complicated and is chosen to help understanding rather than demonstrate the sophisticated math used in the actual world of bond trading. If you want that kind of material this isn't the book for you.

I don't know if there is a solutions manual available, but I couldn't find it. If there isn't, there should be. I have never had a college course that used the problems in the book for actual coursework and yet, no matter how simple the problems seem, it is nice for the student to be able to confirm that he or she has indeed found the right answer.

There are also many helpful footnotes that point to materials for further and deeper reading on the subjects introduced in this fine book.