Different from MBA and MSF, financial engineering is mainly to train skilled workers in the financial field and compete with many doctors in mathematics or finance, which is the so-called Quantitative analyst or 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.
At present, financial engineering employment is mainly in the following areas:
Fund companies: Fund companies are in great need of talents who can do fund performance evaluation, risk control and asset allocation.
Securities companies: Securities companies are now in a difficult period, and they are also seeking opportunities for survival through the design of collective wealth management products.
Banks: More traditional banks are also undergoing subtle changes. At present, the head offices of major banks are establishing internal risk management models, and talents in this field are urgently needed. However, due to the rigid employment system of banks, truly qualified people may not be able to do this. Another important department within the bank, the Treasury Department, also needs financial engineering talents. On the one hand, they operate in the inter-bank bond market, which is the main force of future fixed-income bonds, and also the main force of financial engineering product design such as corporate bond market and mortgage-backed bonds with huge development space in the future.
* Starting salary for graduates majoring in financial engineering in America:
Generally speaking, the work is relatively more research-oriented and harder, but the initial income is much higher than other financial positions. Take Quant Developer for example. Although there is no essential difference between practical work and programmers in other industries, it is not only high in income, but also easier for international students to find jobs. Take Carnegie Mellon metalworking project, which ranks first in major, as an example. The average starting salary of students (excluding bonuses) is $92,200+,99% of them find internship jobs in summer, and 80% of them are confirmed to find jobs within 90 days after graduation, but the admission rate is only 10% (the admission rate of new york campus is 7%), and the average GPA of the admitted students is as high as 3.85.
* professional concentration of financial engineering in the United States:
Financial engineering emphasizes that students should not only have knowledge of financial products and markets, but also have the ability of quantitative analysis and abstract thinking, mathematics and computer background. The employment direction is mainly derivatives, stock indexes, asset management quantitative analysts and other industries with high salaries but few employment opportunities.
Some financial engineering majors in the United States are under business schools and some are under engineering schools. Generally speaking, business schools pay more attention to working experience in finance. If you have about 1-3 years working experience in financial institutions and have been exposed to quantitative analysis, it will be a good choice to apply. Undergraduate graduates can focus on the mathematics department of the Institute of Technology. However, no matter which school you apply for, you must have a solid mathematical foundation, certain programming ability and practical experience in financial courses.
* American financial engineering professional required course:
Consciously supplement your own mathematical background. Financial engineering, mathematics, statistics, computers, economics, finance and other disciplines should be involved in schools or internships.