Fundamental Models in Financial Theory

Doron Peleg's Fundamental Models in Financial Theory is unique in that it combines a thorough exposition of theory with questions as to 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 distributions of individual security 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 cover from everything from theory to practice. It would not surprise me if Fundamental Models in Financial Theory becomes one of the best-selling textbooks in finance.

Harry Markowitz, 1990 Nobel Laureate, Economics

Doron Peleg's Fundamental Models in Financial Theory provides a thorough understanding of finance models, combined with the tools needed to apply the theory in day-to-day financial decisions. While other texts in this field emphasize the theory, Peleg's book will be useful to students because it actually tells them how to apply the theory in practice.

Eli Amir, Professor of Accounting, Tel Aviv University and City University of London

Fundamental Models in Financial Theory by Doron Peleg incorporates a mathematical and systematic approach to key issues in finance. The theoretical models are simplified, making it possible and straightforward both to comprehend and apply them to real-life financial problems. The incorporation of Excel and end-of-chapter problems are excellent tools for understanding the issues analyzed in the textbook. Dr. Peleg's book can serve as an excellent source of knowledge for both academia and practitioners.

Yossi Yagil, Professor of Finance, Dean of the Faculty of Management, University of Haifa