“There is no useful information contained in historical price movements of securities”
~ Louis Bachelier
Louis Bachelier was a French mathematician at the turn of the 20th century. He is credited with being the first person to model the stochastic process now called Brownian motion, which was part of his PhD thesis The Theory of Speculation, (published 1900).
http://en.wikipedia.org/wiki/Louis_Bachelier
Book: Louis Bachelier’s Theory of Speculation: The Origins of Modern Finance
Louis Bachelier – The Random Walk Theory of stock market prices
The Right Answers to the Wrong Questions
A Brief History of Mathematics in Finance
http://www.math.hawaii.edu/~erik/lectures/shadwick/slides/lecture1.pdf
TO BE CONTINUED
