Financial Math FM


This wikibook is intended to help prepare and review for the Society of Actuaries (SoA) Financial Math (FM) exam also called Exam 2 by the Casualty Actuarial Society (CAS). If you are looking for a more general introduction to financial math or you don't know what the SoA FM exam is, then this text is probably not for you.

This text will try to follow the SoA FM syllabus with an emphasis on problem solving and financial calculator usage.

Table of ChaptersEdit

About the FM Exam

Interest TheoryEdit

  1. Time Value of Money
  2. Annuities
  3. Loans
  4. Bonds
  5. General Cash Flows and Portfolios
  6. Immunization

Financial EconomicsEdit

  1. Derivatives
  2. Options
  3. Options Strategies
  4. Hedging and Investment Strategies
  5. Forwards and Futures
  6. Swaps
  7. Sharpe ratio