Probability Theory
Working notes and problem sets — Feller Vol. 1 with quant finance extensions
These are my working notes for William Feller’s An Introduction to Probability Theory and Its Applications (Feller 1968). Each chapter page has conceptual notes followed by a problem set. Finance-motivated problems (marked in blue) connect the classical theory to derivatives pricing, portfolio risk, and market microstructure.
Chapters
| Chapter | Topic | Notes | Problems |
|---|---|---|---|
| 1 | The Sample Space | ✓ | ✓ |
| 2 | Combinatorial Analysis | in progress | |
| 3 | Fluctuations in Coin Tossing | ||
| 4 | Combination of Events | ||
| 5 | Conditional Probability | ||
| 9 | Random Variables — Expectation | ||
| 10 | Laws of Large Numbers |
Problem Set Sources
Beyond Feller, finance problems are drawn from (Zhou 2008), (Joshi 2008), and (Ross 2014).
References
Feller, William. 1968. An Introduction to Probability Theory and Its Applications. 3rd ed. Vol. 1. Wiley.
Joshi, Mark S. 2008. Quant Job Interview Questions and Answers. Pilot Whale Press.
Ross, Sheldon M. 2014. Introduction to Probability Models. 11th ed. Academic Press.
Zhou, Xinfeng. 2008. A Practical Guide to Quantitative Finance Interviews. Lulu Press.