Book Image

Financial Modeling Using Quantum Computing

By : Anshul Saxena, Javier Mancilla, Iraitz Montalban, Christophe Pere
5 (1)
Book Image

Financial Modeling Using Quantum Computing

5 (1)
By: Anshul Saxena, Javier Mancilla, Iraitz Montalban, Christophe Pere

Overview of this book

Quantum computing has the potential to revolutionize the computing paradigm. By integrating quantum algorithms with artificial intelligence and machine learning, we can harness the power of qubits to deliver comprehensive and optimized solutions for intricate financial problems. This book offers step-by-step guidance on using various quantum algorithm frameworks within a Python environment, enabling you to tackle business challenges in finance. With the use of contrasting solutions from well-known Python libraries with quantum algorithms, you’ll discover the advantages of the quantum approach. Focusing on clarity, the authors expertly present complex quantum algorithms in a straightforward, yet comprehensive way. Throughout the book, you'll become adept at working with simple programs illustrating quantum computing principles. Gradually, you'll progress to more sophisticated programs and algorithms that harness the full power of quantum computing. By the end of this book, you’ll be able to design, implement and run your own quantum computing programs to turbocharge your financial modelling.
Table of Contents (16 chapters)
1
Part 1: Basic Applications of Quantum Computing in Finance
5
Part 2: Advanced Applications of Quantum Computing in Finance
10
Part 3: Upcoming Quantum Scenario

Quantum Finance Landscape

Quantum computing holds great promise for addressing numerous challenges across various domains, and the financial sector is no exception. With its increased computational power, quantum computing can significantly enhance the efficiency and capabilities of stock exchanges, banks, and technical analysts by enabling more sophisticated simulation and optimization models. Many major banks are already exploring quantum technology to tackle issues such as fraud detection, credit card disbursal explainability, option pricing, and stress testing assets.

This chapter delves into the role financial services play in society and examines the key challenges they face that could potentially be addressed by quantum computing. It provides an introduction to different types of financial institutions and highlights the critical problems within the financial services sector. Additionally, the chapter outlines the necessary preparations for creating a work environment that...