Derivatives essentials : an introduction to forwards, futures, options, and swaps

Intro -- Title Page -- Copyright -- Table of Contents -- Preface -- Acknowledgments -- About the Author -- Part One: Introduction to Forwards, Futures, and Options -- Chapter 1: Forwards and Futures -- Introduction -- 1.1 Forward contract characteristics -- 1.2 Long forward payoff -- 1.3 Long forward P&L -- 1.4 Short forward payoff -- 1.5 Short forward P&L -- 1.6 Long forward P&L diagram -- 1.7 Short forward P&L diagram -- 1.8 Forwards are zero-sum games -- 1.9 Counterparty credit risk -- 1.10 Futures contracts -- Key Points -- Chapter 2: Call Options -- Introduction -- 2.1 Call option characteristics -- 2.2 Long call payoff -- 2.3 Long call P&L -- 2.4 Short call payoff -- 2.5 Short call P&L -- 2.6 Long call P&L diagram -- 2.7 Short call P&L diagram -- 2.8 Call options are zero-sum games -- 2.9 Call option moneyness -- 2.10 Exercising a call option early -- 2.11 Comparison of call options and forwards/futures -- Key Points -- Chapter 3: Put Options -- Introduction -- 3.1 Put option characteristics -- 3.2 Long put payoff -- 3.3 Long put P&L -- 3.4 Short put payoff -- 3.5 Short put P&L -- 3.6 Long put P&L diagram -- 3.7 Short put P&L diagram -- 3.8 Put options are zero-sum games -- 3.9 Put option moneyness -- 3.10 Exercising a put option early -- 3.11 Comparison of put options, call options, and forwards -- Key Points -- Part Two: Pricing and Valuation -- Chapter 4: Useful Quantitative Concepts -- Introduction -- 4.1 Compounding conventions -- 4.2 Calculating future value and present value -- 4.3 Identifying continuously compounded interest rates -- 4.4 Volatility and historical standard deviation -- 4.5 Interpretation of standard deviation -- 4.6 Annualized standard deviation -- 4.7 The standard normal cumulative distribution function -- 4.8 The z-score -- Key Points -- Chapter 5: Introduction to Pricing and Valuation -- Introduction.