Chapter 1. Financial markets
Chapter 2. Binomial trees, replicating portfolios, and arbitrage
Chapter 3. Tree models for stocks and options
Chapter 4. Using spreadsheets to compute stock and option trees
Chapter 5. Continuous models and the Black-Scholes formula
Chapter 6. The analytic approach to Black-Scholes
Chapter 7. Hedging
Chapter 8. Bond models and interest rate options
Chapter 9. Computational methods for bonds
Chapter 10. Currency markets and foreign exchange risks
Chapter 11. International political risk analysis
Answers to selected exercises

The book begins with binomial stock price models, moves on to multistage models, then to the Cox–Ross–Rubinstein option pricing process, and then to the Black–Scholes formula. Other topics presented include Zero Coupon Bonds, forward rates, the yield curve, and several bond price models. The book continues with foreign exchange models and the Keynes Interest Rate Parity Formula, and concludes with the study of country risk, a topic not inappropriate for the times.