This book stems from my knowledge and experience as an equity derivatives/quantitative strategist and equity analyst specialized in the Japanese equities market. I was fortunate to work for some of the world's finest financial institutions—BZW Securities, Merrill Lynch, Teacher Retirement System of Texas, and J.P. Morgan—and my gratitude goes to them as well as to my ex‐colleagues at those outstanding organizations for their friendship and support.

The success of the Japanese version of the book convinced me that there would be a worldwide demand for its English translation. In this regard, I am deeply indebted to Hiroshi Hanaoka of Kinzai for pushing forward with the Japanese version and to Tomoko Uetake of Thomson Reuters for serving as a bridge between Kinzai and me.

Last but not least, my utmost appreciation goes to Matt Holt, Gladys (Syd) Ganaden, Elisha Benjamin, Sharmila Srinivasan, and Amy Handy of John Wiley & Sons for believing in the value of this book and working on it to get it published in English. Because of their vision, this book can now reach investors around the world.