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Python for Finance

You're reading from   Python for Finance If your interest is finance and trading, then using Python to build a financial calculator makes absolute sense. As does this book which is a hands-on guide covering everything from option theory to time series.

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Product type Paperback
Published in Apr 2014
Publisher
ISBN-13 9781783284375
Length 408 pages
Edition 1st Edition
Languages
Tools
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Author (1):
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Yuxing Yan Yuxing Yan
Author Profile Icon Yuxing Yan
Yuxing Yan
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Toc

Table of Contents (14) Chapters Close

Preface 1. Introduction and Installation of Python 2. Using Python as an Ordinary Calculator FREE CHAPTER 3. Using Python as a Financial Calculator 4. 13 Lines of Python to Price a Call Option 5. Introduction to Modules 6. Introduction to NumPy and SciPy 7. Visual Finance via Matplotlib 8. Statistical Analysis of Time Series 9. The Black-Scholes-Merton Option Model 10. Python Loops and Implied Volatility 11. Monte Carlo Simulation and Options 12. Volatility Measures and GARCH Index

Error messages

For the previous example, if we enter 100/(1+0.1)^2 instead of 100/(1+0.1), we will see the following error message, which tells us that ^ is not supported:

>>>100/(1+0.1)^2
Traceback (most recent call last):
File "<psyhell#1>, line 1, in <module>
100/(1+0.1)^2
TypeError: unsupported operand type(s) for ^: 'float' and 'int'
>>>

Tip

Downloading the example code

You can download the example code files for all Packt books you have purchased from your account at http://www.packtpub.com. If you purchased this book elsewhere, you can visit http://www.packtpub.com/support and register to have the files e-mailed directly to you.

At this stage, a new user needs to pay attention to the last sentence of the error message. Obviously, the last line tells us that ^ is not supported. Again, for a power function, we should use double multiplications, **, instead of a karat, ^. In Chapter 2, Using Python as an Ordinary Calculator, we will show that a true power function, pow(), is available.

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