Recommended textbooks for new quant researcher

Based on the most helpful WSO content, here are some highly recommended textbooks for someone starting as a quant researcher with a strong CS/Math/Physics background but limited finance knowledge:

1. "Options, Futures, and Other Derivatives" by John C. Hull

   • Often referred to as the "derivatives bible," this book provides a solid mix of intuition and analytical rigor, making it a great starting point for understanding derivatives.

2. "Dynamic Hedging" by Nassim Nicholas Taleb

   • Focuses on advanced derivatives topics and is particularly useful for understanding risk management and hedging strategies.

3. "Volatility Smile" by Emanuel Derman

   • A deep dive into equity derivatives models, with a focus on implied volatility and the nuances of asset price behavior.

4. "Heard on the Street" by Timothy Falcon Crack

   • A classic for preparing for quant interviews, covering probability, statistics, and brainteasers often encountered in the field.

5. "Fixed Income Securities" by Bruce Tuckman and Angel Serrat

   • A comprehensive guide to fixed income markets, ideal for building a strong foundation in this area.

6. "The Art of Currency Trading" by Brent Donnelly

   • A practical introduction to directional FX trading, suitable for those new to the field.

7. "Derivatives Markets" by Robert L. McDonald

   • A beginner-friendly book that simplifies complex derivatives concepts, making it accessible for those without a finance background.

8. "When Genius Failed" by Roger Lowenstein

   • While not a textbook, this book provides valuable insights into the history and pitfalls of quantitative finance through the story of Long-Term Capital Management.

These books will help you build a strong foundation in quantitative trading and finance principles while leveraging your existing technical expertise.

Sources: S&T Literature/Books for Interns?, How do you become a Quant Trader?, Quantitative Analysis and Probability in Trading (Market Makers, HFT, Quant Firms), Best internships for Quant Trading?, Quant Researcher in Quant Funds: Dead-End Career Path?