Looking for some advice

[Andres Vargas]

I've read a lot about the field of financial engineering and as a Bsc in Finance I must admit that I don't meet the minimum required for most of the universities to get into a quantitative finance program. However I'm very interested in it, specially in risk mgmt. What advice would you give to someone in this position? I've read a couple of books on the subject so I have some idea but not the whole vision of what I should focus on at the beginning to specialize in this area. Any advice would be helpful, thank you very much.

 

[MRoss]

What is it about the requirements that you don't meet? Improve yourself and apply! Either-way, from my limited exposure to risk management it seems that have a strong statistics background would help you immensely. Time series analysis is also something frequently used on risk jobs. Know basic finance including VaR models and other such risk measures. I'm still not sure what you mean by you want to "specialize" in this area...

 

[Andres Vargas]

Mross what meant With specialize was that im interested in just the part of risk modeling but not in trading for example. I have exposure to basic econometrics and statistics from my undergraduate studies...i should probably reinforce those concepts...
Thanks for the advice

 

[Ken Abbott]

Probability
Inference
Time Series
SQL

 

[Andres Vargas]

Thank you very much Ken I appreciate a lot your suggestions.

 

[Andres Vargas]

Probability
Inference
Time Series
SQL

And would you recommend some good books on these subjects? I have basic knowledge in prob and a good understanding of the financial models in risk mgmt but would like to relate both concepts to have a better perspective.

Thank you very much!

 

[Ken Abbott]

And would you recommend some good books on these subjects? I have basic knowledge in prob and a good understanding of the financial models in risk mgmt but would like to relate both concepts to have a better perspective.

Thank you very much!

The standard texts are usually adequate. The problem with time series is that it isn't a spectator sport. You need live data and projects to make sens of it (IMO). Similar story with SQL.

 

[Keith Tan]

where are you located? you can try low-tier schools, distance learning or part time to get started. many people i know who didn't even have any remote knowledge of finance got into quant field programs because they are determined later in life, like you. but qualifications are not the absolute requirements. one can get internship in other roles, gain experience and move internally.

 

[Andres Vargas]

where are you located? you can try low-tier schools, distance learning or part time to get started. many people i know who didn't even have any remote knowledge of finance got into quant field programs because they are determined later in life, like you. but qualifications are not the absolute requirements. one can get internship in other roles, gain experience and move internally.

I live in Bolivia and level of knowledge in this area is very low so I'm looking for alternative methods of learning about these topics. Right now I'm looking for distance learning programs and starting with free open courses on the internet. Also I'm working in the risk management area of microfinance bank in which i will (hopefully soon) begin to use the topics that Ken Abbott suggested.

Then I'm interested in taking the MS in Computational Finance & Risk Management that UW is offering so I have to improve my knowledge specially in statistics and probability.

Do you know of any sources where I could take online courses for credit?

 

[Su Hua]

My background is agricultural economics, so I know nothing about finance and computer programming. However, I still get admitted by university of Minnesota-MFM program. I kind of in your shoes before when I was applying the graduate programs.
I would say that once you got strong math background, then you are on the right track. You need to take at least three calculus, median level liner algebra, and ordinary differential equations, plus some probabilities knowledge and econometric stuff.
Anyway, if your undergraduate studying is somehow related to economics, quantities (numbers), engineering, business, then you are ok. Do not lose confidence!!! That is the key.

 

[Su Hua]

Base on your question about online program. Actually there is a website called coursera.Check it out, I guarantee you will be shocked what you see.

 

[Andres Vargas]

My background is agricultural economics, so I know nothing about finance and computer programming. However, I still get admitted by university of Minnesota-MFM program. I kind of in your shoes before when I was applying the graduate programs.
I would say that once you got strong math background, then you are on the right track. You need to take at least three calculus, median level liner algebra, and ordinary differential equations, plus some probabilities knowledge and econometric stuff.
Anyway, if your undergraduate studying is somehow related to economics, quantities (numbers), engineering, business, then you are ok. Do not lose confidence!!! That is the key.

Thank you so much for advice Su Hua, very inspiring! I think I'll just have to brush up my math...I got good grades in college but now I just want to compliment my education with some of the math used in financial engineering.

I'm taking some of the courses in coursera and I'm enrolled in some more that begin soon. I also found some more from other universities...so I have to keep on going with this and do my best to get where I want.

Once again thank you Su Hua and I hope we get in contact, I was also looking at the MFM program some time ago and I would like to make some questions of the program that I think you could make clear to me as a student :D

 

[bigbadwolf]

I live in Bolivia and level of knowledge in this area is very low so I'm looking for alternative methods of learning about these topics.

True. This probably holds for several South American countries (Bolivia, Peru, Ecuador, Colombia, etc.). The hurdles you face are 1) possibly weak command of English, 2) not being experienced with fast-paced courses, and 3) poor command of math and coding. The free courses (Coursera, for example) is one way to go. Be wary of the low-tier programs -- ask yourself why they would admit someone like you and what exactly they´re offering in return for your money. As Groucho Marx put it decades ago, he didn´t want to belong to any club willing to admit someone like him.

 

[Andres Vargas]

True. This probably holds for several South American countries (Bolivia, Peru, Ecuador, Colombia, etc.). The hurdles you face are 1) possibly weak command of English, 2) not being experienced with fast-paced courses, and 3) poor command of math and coding. The free courses (Coursera, for example) is one way to go. Be wary of the low-tier programs -- ask yourself why they would admit someone like you and what exactly they´re offering in return for your money. As Groucho Marx put it decades ago, he didn´t want to belong to any club willing to admit someone like him.

thanks for the advice! I'm actually taking some courses in coursera and I was taking a look at the NetMath certificate in mathematics which seems very complete and includes relevant courses for most quantitative finance programs.

I'm also aiming at the CF&RM program in UW since it suits for my goals to do a master focused in risk management.

 

[parrabd]

Hi Andres, I´m in a similar situation, I´m just about to finish my Bsc in Finance. I´m studying in Mexico, my BSc curriculum includes two math courses, one in financial math, two of statistics and one about econometrics. It lacks calculus and advanced math courses, so I see that as a weakness in my quest to become a financial engineer.

So what I plan to do is to write a thesis on a finance subject, before graduating, with heavy math and calculus content and after that I´m planning to enroll in some classes in the math department of my school to get better at calculus and advanced math. I think that should make my profile a little bit better to hopefully get into a MFE program in the US.

 

[Andres Vargas]

Hi Andres, I´m in a similar situation, I´m just about to finish my Bsc in Finance. I´m studying in Mexico, my BSc curriculum includes two math courses, one in financial math, two of statistics and one about econometrics. It lacks calculus and advanced math courses, so I see that as a weakness in my quest to become a financial engineer.

So what I plan to do is to write a thesis on a finance subject, before graduating, with heavy math and calculus content and after that I´m planning to enroll in some classes in the math department of my school to get better at calculus and advanced math. I think that should make my profile a little bit better to hopefully get into a MFE program in the US.

hi parrabd nice to know I'm not the only in this problem...take advantage a take all the necessary math and probability courses...I'm working now so it's kind of hard for me to retake school by now...that's why I'm looking for distance learning...I'm also reading some books that would help me understand better what I need. I'm about to finish "An Introduction to Mathematics of Financial Derivatives" by Salih Neftci...it's easy to understand if you had some exposure to calculus and probability so I would recommend you to take a look at it

 

[Andres Vargas]

Someone told me that "big data" management was starting to get more attention now and I was taking a look at this program http://analytics.ncsu.edu/ How can this kind of program be aplicable in the world of finance? I was thinking in risk management because of the intensive use of big databases.