Patrick Boyle and Jesse McDougall

Trading and Pricing Financial Derivatives

Patrick Boyle and
Jesse McDougall
Trading and Pricing
Financial Derivatives

A Guide to Futures, Options, and Swaps

No part of this publication may be reproduced, stored in a retrieval system or transmitted in any
form or by any means, electronic, mechanical, photocopying, recording, scanning or otherwise,
except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without
the prior written permission of the copyright holders.

Limit of Liability/Disclaimer of Warranty: While the publisher and authors have used their best
efforts in preparing this book, they make no representations or warranties with respect to the
accuracy or completeness of the contents of this book and specifically disclaim any implied
warranties. No warranty may be created or extended by any advertising materials or statements
made about this book. None of the information contained within this book is investment advice
nor should it be construed as such. This book is sold as educational material. You should
consult with a professional before using any of the material in this book to make investment de-
cisions. The information contained herein may be inappropriate for your situation. Neither the
publisher nor the authors shall be held liable for any loss or profit or any commercial damages
relating to the information in this book.

The examples in this book are hypothetical, they do not represent nor are they intended to
represent real people, real situations or actual trading advice. The examples presented are
designed to be realistic, but are for illustrative purposes only. For the purposes of simplification
transaction costs, margin costs and other expenses have not been included in this book. This
book is designed for an international audience, and contains no tax advice. The authors have
no expertise in taxes, and are unable to advise readers whose situations will all be different.

Derivatives involve risk and are not suitable for everyone. Prior to investing with options, a
person must receive a copy of Characteristics and Risks of Standardized Options which may be
available from your broker or financial advisor. The investor considering investing in derivatives
should consult an investment advisor with derivatives expertise and a tax advisor. Past perfor-
mance of any investment strategies discussed in this book are in no way indicative of future
performance or expectation. This book is not a financial promotion and should not be consid-
ered to be one.

ISBN 978-1-5474-1730-8
e-ISBN (PDF) 978-1-5474-0116-1
e-ISBN (EPUB) 978-1-5474-0121-5

Library of Congress Control Number: 2018962034

Bibliographic information published by the Deutsche Nationalbibliothek

The Deutsche Nationalbibliothek lists this publication in the Deutsche Nationalbibliografie;
detailed bibliographic data are available on the Internet at http://dnb.dnb.de.

© 2019 Patrick Boyle and Jesse McDougall

Published by Walter de Gruyter Inc., Boston/Berlin
Printing and binding: CPI books GmbH, Leck
Typesetting: MacPS, LLC, Carmel

www.degruyter.com