Rating: 
Summary: Excellent Reference
Review: All options formula with mathematical descriptions a single book. With the vba code shipped, it is a must-be for the trader's bookshelf in my opinion.
Rating:
Summary: Excellent Reference
Review: All options formula with mathematical descriptions in a single book. With the vba code shipped, it is a must-be for the trader's bookshelf in my opinion.
Rating: 
Summary: No practical application
Review: All theory and no practical application. I would keep the book for my library but really don't think that the average trader can make sense of it.
Rating:
Summary: THE Reference Manual
Review: Fantastic reference manual for the most basic to unusual options. Well organized making it easy to find what you're looking for. If you're looking for derivations of models, you've got the wrong book. If you're looking for formulaes and perhaps even spreadsheets, this is the book for you.I know of no other book as comprehensive as this book. I don't know if there will be a revised edition, but if there is, I will certainly buy it since this is, in my mind, the definitive reference manual.
Rating:
Summary: errors
Review: Have you ever tried to value a Partial-time single asset barrier option (i.e. an up-and-out call type A with asset price S = 75, strike price X = 85, barrier H = 95, time to maturity t1 = 0.35, time to maturity T2 = 0.5, risk free rate = 10%, cost of carry = 5%, and volatility = 3%) If this is the value of this option, I would like to buy one :-). The formula yields a negative value! If you know what is wrong, mail me, please.
Rating:
Summary: A cookbook for the quantitative options trader
Review: Have you ever wished someone took all the significant option formulas of the last 25 years and packed them into one volume? Is your calculus rusty? How about putting the formulas into Visual Basic so they can be employed directly in Microsoft Excel spreadsheets or Access databases. This is the main appeal of Option Pricing Formulas, which fills a void in current option literature. As option players became more computer literate an anthology of coded option theory was clearly needed. The book covers everything from the tried and true Black Scholes and Cox/ Rubenstein formulas to the more exotic worlds of barrier and currency translated options. Software is included with the Visual Basic code as well as preprogrammed Excel files. Think of it as a cookbook for the technically oriented option trader.
Rating:
Summary: Numerous technical mistakes
Review: I have reviewed many of the formulas in several sections of this book and have found a number of mistakes. As a result, I can trust no formula from the book without reviewing the literature or some other source. The author does not use consistent terminology throughout the book. Rather, the terminology of the original journal article is used for each pricing model. This makes referring to the articles convenient, but then you don't need the book if you're going to the source... I have used few of the computer programs offered, but the ones that I have used have had terrible inefficiencies. For example, a bisectional iterative search was used, which is very simple to write but is also very inefficient. There are many other simple and more efficient alternatives.
Rating:
Summary: Numerous technical mistakes
Review: I have reviewed many of the formulas in several sections of this book and have found a number of mistakes. As a result, I can trust no formula from the book without reviewing the literature or some other source. The author does not use consistent terminology throughout the book. Rather, the terminology of the original journal article is used for each pricing model. This makes referring to the articles convenient, but then you don't need the book if you're going to the source... I have used few of the computer programs offered, but the ones that I have used have had terrible inefficiencies. For example, a bisectional iterative search was used, which is very simple to write but is also very inefficient. There are many other simple and more efficient alternatives.
Rating:
Summary: Option Pricing using Excel VBA
Review: If you are looking for a book on option pricing using Excel VBA, there is no alternative to that book. Haug succeeded in writing an exciting book the most common options, the way of pricing them AND providin all the Excel VBA formulas. A fantastic book to get started with option pricing covering: Plain Vanilla Options (B&S, Option sensitivities etc.) Exotic Options (loads of exotics covered) Numerical Methods in Option Pricing (incl implied trinom tree) Interest Rate Options (Hull, Ho, White etc.) Volatility and Correlation (histor vol, implied vol) Some Useful Formulas (interpolation) Distributions It's a fantastic book for the serious student who does want to understand the Excel VBA formulas. The disk is very useful and allows to see the formulas in more detail. Mathematical level? I would boldly claim that you get 80% of the book without having an idea about calculus. That makes the book very readable (Wilmott & co are the real quant's!). Haug gets successfully around the heavy calculus / PDE stuff. Bravo!
Rating:
Summary: Dont even think...JUST GET IT!
Review: If you are reading this page, it means that you are interested in derivative securities. I am a person who is "average" on calculus (did it in univ 4 years back), have been a consultant until now since my graduation but wanted to move into i-banking... I sulked at the thought of (if not dreaded) going back to calculus and all those math-heavy thingies, but among my searches I found this book. It sounded best because rather than a lot of historical and theoretical jazz alone, I wanted to see a compilation of the actual formulae. Believe me, JUST GET IT!! 1. This book gives me all of the above in one neat capsule form! All the introductory derivatives stuff i read sounded like "And derivates can be of the type options, futures etc". That 'etc' always bothered me because I wanted something which told me ALL types of derivatives. This book does it - at least MOST of it. It has BlackScholes, binomials, also has an excellent section on Monte Carlo. 2. This book also made me feel a lot more confident than the average book from my library - right from chapter 1, I did not feel that it has been a long time since I did derivatives and integration. Worth it. 3. Anyone who says that this is too techie for a normal person just does not get it. I am a very ordinary calculus guy, but this made sense ....you of course need to put your head to it..you cannot be watching Seinfeld and reading this book-- and remember, its structured more like a reference book with all the formulas and brief descriptions of why/how/where they are likely to be used. Excellent and efficient scope if you ask me! 4. As I said, if you are looking at this page then you are most likely interested in derivatives, and believe me my friend, just get this book. It is worth EACH PENNY regardless of what other books you may have! If you are really keen, I would also suggest reading this in conjunction with "Options, futures..." by John Hull (Prentice Hall). And if you are really really keen, take a look at this v. informative website: Good luck.
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