Financial engineering requires that mathematics be particularly good, and both programming and measurement should be used. Don't choose if you are not good at math. Generally speaking, it's similar if you read only undergraduate courses. If you study Rong Yan and go abroad, financial engineering is the best.
The concept of financial engineering is as follows:
1, the creation of new financial instruments, such as the creation of the first zero coupon bond and the first swap contract.
2. Development and application of existing tools, such as applying futures trading to new fields and developing a large number of options and swaps.
3. Combine the existing financial tools and means with combinatorial decomposition technology to compound new financial products, such as forward swaps and futures options, and build a new financial structure.
Financial engineering, including the design, development and implementation of innovative financial instruments and financial means, as well as creative solutions to financial problems. Financial engineering has two concepts: narrow sense and broad sense. Financial engineering in a narrow sense mainly refers to the combination and decomposition of different forms by using advanced mathematics and communication tools on the basis of various existing basic financial products.
In order to design new financial products that meet the needs of customers and have specific profit and loss characteristics. Financial engineering in a broad sense refers to all technological developments that use engineering means to solve financial problems. It includes not only financial product design, but also financial product pricing, trading strategy design, financial risk management and other aspects. This paper adopts the broad concept of financial engineering.
Employment prospect of financial engineering;
Financial engineering majors mainly use computers to realize mathematical models, thus solving financial related problems. Therefore, financial engineering is different from MBA and MSP. It mainly trains skilled workers in the financial field, also known as financial engineer -Quant. Quant's positions are mainly concentrated in investment banks, hedge funds, commercial banks and financial institutions.
The main work in charge varies greatly according to different positions. Representative ones are pricing, model verification, research, development and risk management, which are responsible for the establishment and application of derivative pricing model, model verification, model research, program development and risk management respectively.