The thinking process a modeler may do

[zhouxingchi]

I would like to know when one quant is given a particular assignment, i.e., a payoff structure of a derivative. The intuitive thinking procedures that run in his head on how to model such a derivative, together with a few real life examples you have been through.

[mj]

that's a bit of a tricky one. I try to discuss that a bit in the last chapter of concepts. Thanks for the idea.

[quant]

zhouxingchi,

I like that idea. Something like Polya's "How to solve it", but applied to quant finance :)