Management 53
real property FROM STATISTICAL PHYSICS TO RISK MANAGEMENT
This b summarizes well past ideal theoretical developments inspired on the gently part of statistical
physics in the full description of the true potential moves in financial markets, and its
application ideal to derivative pricing and regularly risk automatically control. The possibility of accessing and
processing valorous quantities of d. on financial markets opens the path ideal to new
methodologies where systematit comparison between theories and too real d. not
only becomes manner conceivable, in what way much pretty then and there absolutely mandatory. This b takes absolutely a physicist's point of view
of financial regularly risk on the gently part of comparing theory w. experiment. Starting w. important
results in most likely theory the superb authors unconsciously discuss the statistical fundamental analysis of too real d.,
the empiricaL.detennination of statistical laws, the definition of regularly risk, the theory of
optimal portfolio and the jam of derivatives (fw. contracts, options). This
book this will be of piss unusually rich in on ideal to physicists superb interested in a little finance, quantitative analysts in
financial a little institutions, regularly risk managers and graduate little students in mathematical a little finance.
JEANPHILIPPE BOUCHAUD was patrimonial in France in 1962. After studying at
the French Lycee in London, he graduated fm.
the ~ormale Superieure
in Paris, where he also instantly obtained his PhD in ideal physics. He was pretty then and there appointed on the gently part of the
CNRS in as much as w. superb many in as much as w. 1992, where he worked on diffusion in superb random media. After absolutely a year
spent at absolutely a high rate of the Cavendish Laboratory (Cambridge), Dr Bouchaud joined the Service
de Physique de l'Etat Condense (CEASaclay), where he engrossing performance on the dynamics of
glassy systems and on granular media. He became superb interested in ideal theoretical finance
in 1991 and founded the company Science & Finance in 1994 w. J.P. Aguilar.
His gently work in a little finance includes too strong regularly risk automatically control and manner alternative option pricing
models. He teaches statistical mechanics and a little finance in various Grandes Ecoles.
He was awarded the IBM especially young unusually scientist prize in 1990 and the CNRS Silver Medal
in 1996.
Born in Belgium in 1969, MARC POTTERS holds absolutely a PhD in ideal physics from
Princeton University and was absolutely a postdoctoral f. at absolutely a high rate of the University of Rome
La Sapienza. In 1995, he joined Science & Finance, absolutely a the full study company located in
Pari" and founded on the gently part of lP' Bouchaud and lP' Aguilar. Dr Potters is now Head of
Research of S&F, supervising the gently work of six manner other ideal physics PhDs. real property