Bruno de Finetti forerunner of modern finance
In this paper we discuss the role of de Finetti as a forerunner of some of the more relevant concepts and tools of the modern theory of finance. It is shown that de Finetti gave some ground breaking contributions in such fields as arbitrage free pricing, mean variance efficiency, expected utility and risk aversion. We think it is not only a matter of historical remarks: indeed some of his ideas reveal to be fruitful even nowadays so that going on studying de Finetti’s papers may be a good investment for those interested in quantitative finance and economics of uncertainty.
EUT Edizioni Università di Trieste
Flavio Pressacco, Laura Ziani, "Bruno de Finetti forerunner of modern finance”, in “Convegno di studi su Economia e Incertezza, Trieste, 23 ottobre 2009”, Trieste, EUT Edizioni Università di Trieste, 2010, pp. 65-84.