The list author says: "These are the FIVE books on QUANTITATIVE FINANCE you BEST read.
This list is in a series of one (1), three (3), five (5) and seven (7) books recommended on different topics I know something about either professionally or personally. The subject is "QUANTITATIVE FINANCE" of which there is vast literature and a nearly equal amount of noise. This list filters the noise. ONE = MUST, THREE = SHOULD, FIVE = BEST, and SEVEN = THOROUGH. This is the BEST list.
Thorough list for amateurs or those who wish to self-train, for those more ambitious or bound for a profession, see my longer lists.
I do not believe in Superman or perfection. A good friend once memorably said “there are no good books” and I’d have to agree. Writing books is polluted by an odd utility curve, because the payoff probability is so low, the vanity curve overwhelms. This is particularly accented in finance, where good information is priced well.
The best information about any subject in finance, therefore, often comes from investment bank research. Yet few mortals have access to such works, as it is paid for from flow rents.
Nevertheless, one must begin somewhere. This list is for those who are beginning a journey to quantitative finance."
"Even quant professionals call this "The Bible." With good reason. Hull is thorough and is unapologetically used as a reference on trading desks everywhere. Working through this book smashes into your brain how important volatility and contract microstructure is in a very practical way."
"Mark Joshi’s book is a bridge between Hull and the real world, and raises the bar on some of the topics introduced in Benninga. This is an essential book, and if it is too hard for you I suggest you give up."
"This round-up book with chapters by experts begins where Benninga leaves off, and is an order of magnitude more difficult. Nevertheless, it is the single best “one stop shopping” book on the next stage of quantitative finance and investing I’ve come across."