Customer Reviews

Fixed Income Mathematics

5 star:		(7)
4 star:		(3)
3 star:		(0)
2 star:		(1)
1 star:		(0)

 

 

This material is completely new to me, but I have had no problems understanding things due to the clarity and methodical approach to fixed income analysis that Fabozzi provides. My only gripe is that whoever edited this thing did a really slip-shod job: seven chapters into it, and I've already run across at least a dozen typos, misspellings, and inaccurate figures that all seem to be the result of nothing more than laziness on the part of the editor/proofreader.

A little frustrating to me as I expect to rely on this otherwise very highly-recommended text for many years to come.

Ok, so Fabozzi is the ultimate in reference material and general fixed income awareness. The book is good, it provides most of what you need to understand fixed income valuations, particularly essential bond pricing. However, the book really serves well mostly as a reference. There are few true explanations of formulas. With a little effort you can figure out the derivations yourself, but still, is not the point of buying a book with "mathematics" in the title to have something to guide you through that step? Again, worth having, but not the ultimate to explain the nitty gritty, though not sure that that text exists.

Even though this is not really a advanced book on fixed income products analysis/modeling. It is, for technical background, a good induction book for basic fixed income products with basic analysis tools.

The book was a great disappointment to me. The title and subtitle (Analytical and statistical techniques) led me to think that the book covered fixed income securities at a sophisticated and advanced level. Not so. If you need to learn how to calculate a PV, FV or IRR, this is the book for you...otherwise probably not!

This book is great for anyone that deals with fixed income investment vehicles. From basic bonds to stripped mortgage backed securities, the math and concepts behind their valuations are discussed and explained in clear and concise terms. Sample computations with complete answers are supplied throughout the text.

i'm currently subjecting myself to the finance curriculum at a quant-heavy, top 5 b-school ...

while the profs consistently recommend verbose, over-complicated texts that are full of jargon & painful to read (e.g. priaulet/martelli, bodie/marcus/kane, etc.), i found this book to be the only book i need. while it doesnt spend a whole lot of time on theory & intuition, it does do a good job on fundamental math that i have been expected to master. after my profs speeds thru lecture at breakneck speed, mixing concepts & calculations, i go home & read this book to understand the math & practice the concepts.

the book is the BEST book i have used in b-school.

I velieve that this book is useful as:
(1) a reference guide for particular mathematical formulas that are used in fixed income security analysis - suitable for students and professionals alike, and
(2) as a mathematical primer for novices to fixed income markets

The strengths of Fabozzi's book are in its comprehensive nature - it covers topics that range from Finance 101 (Time Value of Money) to more complicated subjects, such as duration and convexity.

The book's weakness begin with a title that might be misleading - all in all, only Part VII of the book is dedicated to some statistical analyses. The analytical depth of the book is limited and varies significantly from one area to another - for example, MBS calculations are explained in significantly greater detail than Monte Carlo simulation techniques.

The abbreviated table of contents includes:
1. Part I: Time Value of Money
2. Part II: Bond Pricing and Return Analysis
3. Part III: Bond Price Volatility
4. Part IV: The Yield Curve and its Applications to Pricing and Duration
5. Part V: Analyzing bonds with embeded call options
6. Part VI: Analyzing Mortgage-Backed Securities
7. Part VII: Statistical and Optimization Techniques

Many of us will be retiring in the next few years, or may already be retired. Fixed income from our financial investments will be an important part of our lives. How many of us really know what Yield To Maturity (YTM) means? Or, for that matter, the myriad of other measurements associated with fixed-income instruments? As a retired engineer with a propensity for computational mathematics, it is my natural desire to optimize my fixed-income portfolio. This "Perfect" book gives me a good head start in my endeavors. The text is logical and easy to understand. The mathematics is "cookbook" simple. As a minimum, I will better equipped to determine the correct price for most fixed-income investments. With enough effort, I should be able to manage my own near "Perfect" portfolio. Fabozzi picks up where most writers stop, namely, the quantitative analysis.
Thank you Frank.

Fabozzi's Fixed Income Mathematics functions as a great resource guide which will help one with understanding various mathematical equations behind so many industry standard concepts. It provides the reader with a quick reference utility to check, calculate and/or teach others to how financial numbers are being evaluated. A must buy for teachers as well as students of finance.

This book is fantastic. I have only been reading it for about 3 days, and I'm already fall in love with it. It not only teaches you the techniques that you'll need in the field of fixed income, but it also gives some excellent applications and examples of these mathematics techniques. So no doubt, it's another success for Frank Fabozzi.