Handbook of financial engineering (Q935703)

This book contains a collection of fifteen papers in the area of financial engineering. It is divided in four parts: the first part studies portfolio management and trading and comprises of five papers. These investigate, among others, portfolio selection in a multi-criteria environment, the use of integer programming in the area of financial optimization, the role of ellipticity when studying risk frontiers, an overview of exchange trade funds and the use of genetic programming in financial trading. The second part considers risk management. Here the editors look at interest rate models, use of neural networks for mapping volatility spillovers in bond markets, and ways of controlling currency risk. The third part contains three papers which focus on the use of operations research methods in financial engineering. The fourth and last part concentrates in mergers, acquisitions and credit risk ratings. It consists of three papers which investigate the choice of payment method in mergers, the prediction of acquisition targets in the EU banking sector and an overview of credit rating systems. Each paper in the book concludes with a list of relevant references and the collection concludes with a useful index.