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Financial Mathematics is one of the fastest growing research fields in applied mathematics. Leading edge banking and financial firms around the globe are hiring science experts who can use advanced analytical and numerical techniques to price financial derivatives and manage portfolio risks, a phenomena coined as "Rocket Sciences on Wall Street". As such, new degree programs in mathematical and computational finance have also sprouted both in North America and the Far East. To-date, there is a lack of texts stressing on the mathematical aspects of derivative pricing which can meet the demands from students enrolled in these new degree programs. Mathematical Models of Financial Derivatives fills a gap for textbooks to serve this increasing demand. It models derivative products based mainly on the differential equation approach, together with numerical solution techniques when appropriate. Research results and concepts are made accessible to the student through extensive, well thought out exercises at the end of each chapter.

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