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Python for Finance

You're reading from  Python for Finance

Product type Book
Published in Apr 2014
Publisher
ISBN-13 9781783284375
Pages 408 pages
Edition 1st Edition
Languages
Author (1):
Yuxing Yan Yuxing Yan
Profile icon Yuxing Yan

Table of Contents (20) Chapters

Python for Finance
Credits
About the Author
Acknowledgments
About the Reviewers
www.PacktPub.com
Preface
Introduction and Installation of Python Using Python as an Ordinary Calculator Using Python as a Financial Calculator 13 Lines of Python to Price a Call Option Introduction to Modules Introduction to NumPy and SciPy Visual Finance via Matplotlib Statistical Analysis of Time Series The Black-Scholes-Merton Option Model Python Loops and Implied Volatility Monte Carlo Simulation and Options Volatility Measures and GARCH Index

Importing a module


Assume that we want to estimate the square root of the number three. However, after issuing the following lines of code, we would encounter an error message:

>>>sqrt(3)
SyntaxError: invalid syntax
>>>

The reason is that the sqrt() function is not a built-in function. To use the sqrt() function, we need to import the math module first as follows:

>>>import math
>>>x=math.sqrt(3)
>>>round(x,4)
1.7321

To use the sqrt() function, we have to type math.sqrt() if we use the import math command to upload the math module. In addition, after issuing the command dir(), we will see the existence of the math module, which is the last one in the output shown as follows:

>>>dir()
['__builtins__', '__doc__', '__name__', '__package__', 'math']

In addition, when a module is reinstalled, we could use import x_module to upload it. For instance, the math module is a built-in module, and it is preinstalled. Later in the chapter, we show...

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