Gordon Gemmill – Options Pricing – International Perspective

Gordon Gemmill – Options Pricing – International Perspective

Developing from the basics to valuation and application and onwards, this book offers a guide to trading strategies that all users in finance and at university level should find practical and versatile. Included is a list of software programmes which demonstrate and help solve the models used.

This book provides a simple introduction to options pricing for readers with moderate technical skills. A basic background in statistics and calculus are all that is needed to get through the book. The ratio of text to equations is much higher than in most derivative texts. I find the intuitive explanations to be excellent. Another nice feature is a systematic explanation of different option types, i.e. stock options, interest rate options, options on futures etc.

If I ever taught an undergraduate course on options pricing I would probably use this as the text.

Overall this book offers an excellent introduction to options pricing. Very readable.