Foreign Exchange: Practical Asset Pricing and Macroeconomic Theory

I have a research macro background , and bought the book after a recommendation from a friend. It’s a fantastic a mix of theory and practice!

Similarly to the previous book of the same author (Volatility, Iqbal 2018), Iqbal’s Foreign Exchange is no ordinary book. Indeed, the book delivers on its promise of providing the reader with the conceptual framework and the toolkit to consistently analyse and filter through the continuous information flow being streamed on a daily basis. The first chapter deep dives into risk premia in FX markets entrusting the reader with invaluable insights that are key to build the promised conceptual framework. The remaining chapters constantly expand on and apply those insights to major economics models, macroeconomic variables, financial instruments and asset pricing equations. The whole book is perfectly balanced between theory and practice, so much that the reader is able to easily understand even the most advanced concepts. I can’t hesitate to recommend the book to both university students and market professionals.

This book is a needed link between the academic theory of macroeconomics and asset pricing and the art of foreign exchange trading. In bridging the gap between the two, the book provides new insights on the genesis and nature of risk premia, the link between inflation, interest rates and spot returns, as well as the impact of fiscal and monetary policies. I would suggest this book to anybody, from students to expert market makers, looking to gain a deeper understanding of the FX market and how to interpret and monetise trading opportunities.

A really enjoyable read from beginning to end, with macroeconomic concepts explained so eloquently and formalised with just enough maths. Agree with other reviewers that it is rare to see such a fine balance between theory and practice.

Does a remarkable job of building intuition. Many books stray too far in either theory or application. Adam writing is concise, to the point, and allows the reader to remember key concepts. Hope to read more books from him in the future.

For anyone trying to look at FX through a macro lens this book is really well written. You can dive deep into the math or just read through the concepts and how all the moving parts work together. Having just changed to a FX sales based role after 24 years as a FXO broker, the book really helped me put together a lot of concepts that I needed more than a broad strokes knowledge of. Thanks for writing in an accessible manner.

Excelente experiencia

The books strength is its second half. It's an alternative to e.g. Markiv Macro Literature, resp. it complements macro theories from a FX perspective.

It's loaded with high level math