Customer Reviews

Equity and Index Options Explained (Wiley Trading)

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A distinctive feature of the book is its lack of equations. The author chose to explain many aspects of options without resorting to equations. Hence no writing of the seminal Black-Scholes equation, let alone its derivation. Likewise the Greeks are gone into, alpha, beta, gamma, vega etc. But for each there is instead an extensive qualitative description.

What this means is that the book won't suffice if you want to devise new instruments based on these options. But if you want to trade, the author makes the good point that a qualitative understanding should suffice. This is probably true for many day traders. Where the software you are using, perhaps on a Bloomberg, actually has an implementation of the necessary equations and so handles the quantitative aspects.

The book can thus expand the accessibility of options to a non-mathematical audience.