From Theory to Practice:
A Comprehensive Holistic Approach
on How to Incorporate Financial Models
in Real-Life Scenarios

 

A novel presentation of the Black-Litterman Model (at Goldman Sachs),
integrating investor’s personal views into a unified CAPM / Mean~Variance Model

A straightforward application of the models using Excel templates
to optimize practical portfolios

Non-orthodox progressive logical approach
Vs traditional stand-alone “Topics”

Reader friendly mathematical development of models
providing interim and final intuition of results

 

"Doron Peleg’s Fundamental Models in Financial Theory is unique in that it combines a thorough exposition of theory with questions as how this theory is to be used in the field. Many other texts on financial theory explain relationships between securities and portfolios yet leave the reader to somehow make estimates concerning the parameters that characterize the joint distribution of individual securities returns. Dr. Peleg’s book faces up to this problem of making estimates – particularly estimates of expected returns for securities or asset classes – while delivering on its promise to convert everything from theory to practice. It would not surprise me if Fundamental Models in Financial Theory becomes one of the best-selling text-books in finance."

Harry Markowitz,
1990 Nobel Laureate Economics