The Quantum Pontiff

Category archives for Finance

Fill ‘Er Almost Up?

I recently rented a car and got dinged with a 13 dollar fee because I didn’t drive 75 miles (and, did not see the tiny sign indicating the new rule that if I drove so little I would be rewarded by not having to fill up the fuel tank for a mere 13 dollars. Having…

Pascal’s Economics

Pascal’s Wager is a classic for those who want to argue about the existence of God, but now, according to Peter L. Bernstein, of the New York Times, we should be using it for financial risk calculations. Say what?

One of the most amusing things about writing a blog is that people you’ve never met form an impression about you from your blabberings, and then, often, when they actually meet you they are astounded that you aren’t “an old grumpy guy” or whatever image they had in their mind. So, in order to confuse…

George Soros Meets Kochen-Specker

I’ll admit it: I like reading George Soros’ books. I mean, here’s a guy whose made a godzillion dollars in the financial markets, has been behind political destabilizations/stabilizations worldwide, taken on a U.S. president (can you guess which one?), and yet, in spite of this, can write a book in which he talks his own…

E. Coli In Finance

Via Alea, a new entry into the best title ever competition: “Option Model Calibration Using a Bacterial Foraging Optimization Algorithm” by J. Dang, A. Brabazon, M. O’Neill, and D. Edelman. That right, using an algorithm inspired by trying to mimic E. coli foraging, one hopes to calibrate a volatility option pricing model. No word yet,…

Markets Predicting Elections

Can markets predict elections? Alea summarizes last night’s primary results: Ooops! From my perspective, I find the ideas of markets predicting future events fascinating, if for no other reason than my original motivation for studying physics was tied up deeply in questions about predicting the future.

Off the Queue and Into the Cranium

Books off the queue and lodge securely somewhere behind my eyes: “A Mathematician’s Apology” by G.H. Hardy and “A Demon of Our Own Design: Markets, Hedge Funds, and the Perils of Financial Innovation” by Richard Bookstaber

Off the Queue and Into the Brain

Books recently removed from the queue. “Mathematicians in Love” by Rudy Rucker, “An Engine, Not a Camera: How Financial Models Shape Markets” by Donald Mackenzie, “Financial Calculus : An Introduction to Derivative Pricing” by Martin Baxter and Andrew Rennie. “109 East Palace: Robert Oppenheimer and the Secret City of Los Alamos” by Jennet Conant.