Fixed-income-market

If you're looking for the best textbook on the subject, you need to get "Fixed-Income Securities: Valuation, Risk Management and Portfolio Strategies" by Lionel Martellini, Philippe Priaulet, and Stéphane Priaulet.

It is the most up-to-date book on the subject. Moreover, you will get a lot of worked-out examples and end-of-chapter problems with solutions.

It is the best investment you can make on a fixed-income book.

Thank you,

A great book that makes a complicated and necessarily highly quantitative subject accessible to a wider public.
Able to simply explain difficult concepts.
Probably the best in fixed income teaching.
Your money will be well spent. Congratulations to Bruce Tuckman.

Since all of the reviews cover the first edition, it's definitely worth noting that the 2nd edition is much improved. I've read most of the introductory books on fixed income, and none explain the market as clearly and intuitively as Tuckman. Anyone who is joining a fixed income desk or who seeks to learn more about this area should pick up this book before any others. The repo markets, interest rate and asset swaps, forwards, and futures are all covered in excellent detail. There are few discussions of duration and convexity that rival this one. Overall, this book scores high in all major areas and is highly recommended by all those I know who have come across it.

I had the pleasure of having Mr. Questa as a guest lecuturer in a Fixed Income class. This book was used as the text, prior to its publication. The book is a great intro-intermediate fixed income book. It also covers the advanced stochastic models well. It is one of few books that also integrates the foreign exchange market into the analysis. In a few areas the book is difficult to follow however after a careful re-reading it sinks in.

Non ho avuto il piacere di leggere il libro ma il nome dell'autore mi piaceva tantissimo...... è il mio (omonimia) Giorgio Questa

(...) It gives a lot of general info on a lot of different Fixed income topics. It's a good ref. for people just getting involved with fixed income. However if you are looking for focused material, you should look into one of Frank's books on that area. Good overall intuition on Fixed income markets and products.

If you are in the financial world dealing with fixed income directly or indirectly, just entering into the fixed income world, or looking for a great FI reference, go no further. This is it. Very broad with heavy MBS influence as well as the basics of fixed income. This is for novice to intermediate FI users. Academics and advanced portfolio managers might find this general. But, for the large population this is the spot.

This book has been around for years and new editions are lapped up by fresh generations of bond geeks. You will find a copy on pretty much every fixed income desk in the industry (including mine). Why all the hoopla? Because there is simply no other book like it. Because it is simply the most comprehensive survey of the various fixed income markets in print. For a basic understanding of the structure and institutional aspects fixed income securities, Fabozzi is the inevitable first stop. All this being said, it is important to understand the book's weaknesses. There is relatively little depth in terms of analytics and if you want formulae you will have to look elsewhere. But for basic overviews, structural details and the orientation that is a precondition for deeper study, the Handbook is in a class by itelf.

This book could be excellent. The table of contents offers an appealing mix of important topics. The writing is clear. Unfortunately, the authors don't know their subject. They are a couple of buy-side professionals who know the lingo but not the mathematics that goes behind it. They think that assets are priced based upon expectations, which is precisely the notion Black and Scholes dispensed with in 1973. In their discussion of OAS, they claim that option spreads reflect risk premiums. No, they reflect the cost of maintaining a replicating portfolio. What is really startling is their misperceptions regarding principal components. Applying PCA to yield curve modeling, they have invented a concept of "Most Representative Shock." This will make your eyes roll back into your head.

I wish I could give a better review. I really had great expectations when I ordered this book, and it is clear the authors have put a lot of effort into their writing. They simply lack the expertise to make a substantive contribution.

A truly excellent and useful book, although I can see why uninitiated (like Ms. Jane in the review below) won't understand it. The authors possess a wealth of practical knowledge of the fixed income markets and analytics. They rely on both theoretical models and subjective judgement, without which no investment activity can be successful. Their ideas are innovative and rigorous. I especially liked discussions on Value-at-Risk and existing parametric measures of risk. Highly recommend!

A book written with an amazing transparency of thoughts and intelligence.A "must read" book for anyone who is involved in institutional risk management. ... must own before it becomes a "industry's best kept secret".

This book on interst rates is a pleasurable read. As a trader of interest rate swaps, I find every book on the topic adds something to my knowledge base, and this was better than most for ease of access. Anyone keen to understand all of the related markets, will also want to know more about credit derivatives.

I highly recommend "Credit Derivatives" (2nd Edition) by Tavakoli. The products and their uses are clearly explained, and ties in relative value to the interest rate market. I concede that the models for this product may be trickier because of documentation risk and data issues, but Tavakoli brings clarity to this topic so any interest rate professional can grasp the products and why investors - even hedge funds - are so keen to use them.

This book is a good history of what has happened in emerging markets financing until 1995. It deals in depth with the Brady bonds and their origins and valuation. It also gives an introduction to the methodology that was subsequently used in the Brady bond retirements. From this perspective, it is very useful.

However, there is very little in the sense of a concrete future of the financial environment around the world. It precedes the 1997 and 1998 crises, which makes the warnings in the book interesting if not useful. I wish the authors would update it to include more recent developments, which would make it much more readable and interesting. As it is, it is more history than finance.

If you want to waste your money then spend it on Sundaresan.
This book is highly disappointing. If your professor tells you buy it then you can tell him or her to .....
If you want to master fixed income securities, then you only need to purchase one and only one book, namely "Fixed Income Securities: Valuation, Risk Management, and Portfolio Strategies" by Martellini and Priaulet. That's the best book out there.

I found this book to be of marginal usefulness. The writing style is not to the point and at times disorganized. The book does not come with spreadsheets despite all the screenshots in the chapters. What good is that? Additionally, it is quite expensive. There are other much better books out there for the same price.

Only a good book for reference. Difficult to understand author's explaination of analysis of Fixed Income products. Many instances key steps are skipped in problems used for examples. Look for an alternative.