Foundations of Finance, though long out of print and nearly impossible to find, is a superbly readable introduction to the theory of finance. Though somewhat dated by the work that Fama and other economists have done in the past 25 years, this book covers a lot of ground in great detail.

Eugene Fama received his undergraduate degree from Tufts University and his MBA from the Booth School of Business at the University of Chicago. He continued to teach at the University of Chicago after receiving his Ph.D. He's known as the father of the efficient market hypothesis.

'The Foundations of Finance: Portfolio Decisions and Securities Prices' is one of many pieces of work by Fama, and covers many of the ground works of finance and investment practices. Fama has published many works for journals and other publications, but 'Foundations of Finance' is a highly recommended text.

Foundations of Finance 

Eugene F.Fama

Preface

Chapter1 The Behavior of Stock Market Returns

Chapter 2 The Distribution of the Return on a Portfolio

Chapter 3 The Market Model Theory and Estimation

Chapter 4 The Market Model Estimates

Chapter 5 Efficient Capital Markets

Chapter 6 Short Term Interest Rates as Predictors of Inflation

Chapter 7 The Two Parameter Portfolio Model

Chapter 8 Capital Market Equilibrium in a Two Parameter World

Chapter 9 The Two Parameter Model Empirical Tests