Hi guys
Thank God ( or the forum ) I found this forum in time
Facts:
* I have an MBA in Finance from IIM from India ( Top schools )
* 3 years of Equity Fund Management in India.
* 4 years of software development ( in the USA AND Not financial software )
* Currently in the USA in Colorado
* Got admission in CMU for MSCF ( planning to do it full time )
* Cost : $ 120 k Inclusive of opportunity cost for one year ( around $ 70 k ).
* Love Finance and have an aptitude for quant. as well.
Questions:
1. Is the program at CMU worth such an investment ?
2. If it is , what would be a typical payback period ( Assuming, I am just about an average person )
3. How difficult is it to get the "first job". In that context, would my financial experience in India mean a squat to the firms in the US ? ( I, myself would not value it too highly, since markets in India are not even half as sophisticated as they are here ).
4. Awaiting admission results from Univ. of Chicago for MS in Fin. Math. Is it better than CMU ?
5. Bottomline: I love the Fin. Engg. jobs ( as little as I know ), but am worried about the size of the investment to be made to get into the field. Should I go for it or not ?
Finally, one more question out of curiosity. Is the CMU program really selective OR do they take in anyone who has the money ?
ANY HELP / ADVICE is greatly appreciated.
Thanks
AP
Serving the Quantitative Finance Community
To study or not ?
ap,
do you really want to study (again)? and at CMU?
2. what would be a typical payback period
an MBA, and you aren't using NPV?
3. getting a foot in the door is always difficult first time round. it should, i hope, get easier after that.
4. re: UofC vs. CMU - better in what sense? reputation? course? tutors?
do you really want to study (again)? and at CMU?
2. what would be a typical payback period
an MBA, and you aren't using NPV?
3. getting a foot in the door is always difficult first time round. it should, i hope, get easier after that.
4. re: UofC vs. CMU - better in what sense? reputation? course? tutors?
To study or not ?
ap,
do you really want to study (again)? and at CMU?
I want to. To geta foor in the door, if not more 1
2. what would be a typical payback period
an MBA, and you aren't using NPV?
I can use NPV, but I have no clue about future cash flows in the new career. Just trying to mask my question by mentioning payback period.
3. getting a foot in the door is always difficult first time round. it should, i hope, get easier after that.
Hopefully !
4. re: UofC vs. CMU - better in what sense? reputation? course? tutors? >>
In the sense that I need to get a foor in the door !
do you really want to study (again)? and at CMU?
I want to. To geta foor in the door, if not more 1
2. what would be a typical payback period
an MBA, and you aren't using NPV?
I can use NPV, but I have no clue about future cash flows in the new career. Just trying to mask my question by mentioning payback period.
3. getting a foot in the door is always difficult first time round. it should, i hope, get easier after that.
Hopefully !
4. re: UofC vs. CMU - better in what sense? reputation? course? tutors? >>
In the sense that I need to get a foor in the door !
To study or not ?
If you are willing to come in from the side door (IT) it shouldn't be that difficult to move to the quant side. You would market yourself as a first rate programmer who knows math/finance/numerical analysis.
If you want to move to the business side (trader/marketer/structurer) one may want to think about getting an MBA with a strong quatitative component in derivatives pricing. Not clear which approach is best.
If you want to move to the business side (trader/marketer/structurer) one may want to think about getting an MBA with a strong quatitative component in derivatives pricing. Not clear which approach is best.
To study or not ?
Current MSCF/FE graduates (no prior financial experience) are having a hard time finding any meaningful employment (as quants, risk analysts, asset mngmt, front-middle-back office software implementation).
MBA's perceived to have a higher value on Wall Street.
You might also consider going part-time.
It's your call.
Alec
MBA's perceived to have a higher value on Wall Street.
You might also consider going part-time.
It's your call.
Alec
To study or not ?
pat,
how easy and how feasible is it to move from, say, operations or IT into quant finance?
how easy and how feasible is it to move from, say, operations or IT into quant finance?
To study or not ?
It is quite feasible, especially at the smaller places where one has constant contact between the department ... if you are the IT person who understands the finance (this means a few late nights understanding the practice of the theory), and can explain it to others, pretty soon you will be the preferred point of contact between the trading desk and IT or between IT and the quants, and then one can go from there, either at the same firm or at another firm. One can move from operations for similar reasons: you will be able to figure out why things are done, and after a while, will not need detailed instructions to make things happen.
To study or not ?
1. Is the program at CMU worth such an investment ?
The CMU program has good placement stats. I looked into this program a few years ago. Their students are about evenly split according to previous education - BA/BS, MS, Phd. Their salary stats indicate something like max 116, median 80, min 70, average 96 - without bonuses. This is pre-recession. It indicates a clear split between those earning around 80k and those earning 110, which somewhat agrees with the "prior degree" info.
3. How difficult is it to get the "first job". In that context, would my financial experience in India mean a squat to the firms in the US ? ( I, myself would not value it too highly, since markets in India are not even half as sophisticated as they are here ).
Depends. Some argue that CMU's good placement stats are due to the fact that many have pertinent work experience. One plus, by the time you finish, the economy should have turned around.
4. Awaiting admission results from Univ. of Chicago for MS in Fin. Math. Is it better than CMU ?
I tend to think CMU. Look at the biggies - Shreve and Heath. Also, much better integrated with the finance community. It is interdisciplinary, pulling from 3 depts.- stat dept., math, and b-school. Also, take a look at Shreve's "stoch calc in finance" notes. Very nice if you don't have time to study a regular stoch calc text. The notes are an example of his teaching talent. While Chicago's math dept. is tops for Phd's, for MS....
5. Bottomline: I love the Fin. Engg. jobs ( as little as I know ), but am worried about the size of the investment to be made to get into the field. Should I go for it or not ?
It could be a good way to switch your focus from IT. An IT background can be very valuable. Personally, assuming your work experience is respectable, I think you would have no problem finding a decent job.
6. Finally, one more question out of curiosity. Is the CMU program really selective OR do they take in anyone who has the money ?
I think most of these programs are choosing to limit their enrollment and thus increase the quality of students.
Now, back to whether CMU is worth the price tag. This Q is harder to answer since I never paid for grad school. Luckily, while a doctoral student in OR (IE dept.) at Georgia Tech, a few people from the math dept (top 10 in applied math according to some and good probability group), the IE dept.(#1 in 11 of last 12 years), and the Bschool started a quant finance program (www.qcf.gatech.edu). GT, like UNC and UT-Austin, is one of the incredible buys in education. Even out-of-state it is incredibly cheap.
I was the first QCF grad last May and now work in credit risk (doing the phd part-time). A small class of new students entered in Fall 2000 and the first full class of about 20 entered last Fall. All graduates were employed within 1 month of graduating (not including the phd students who didn't leave GT after earning the MS QCF). The QCF program intends to maintain a small entering class - about 20 per year. The number of applicants will probably be over 100 (about 70 as of now).
Take a look. It may be a good fit. And, given that finance jobs are more spread out geographically, it's not as necessary to be in Chicago, NYC, etc.
Good luck.
The CMU program has good placement stats. I looked into this program a few years ago. Their students are about evenly split according to previous education - BA/BS, MS, Phd. Their salary stats indicate something like max 116, median 80, min 70, average 96 - without bonuses. This is pre-recession. It indicates a clear split between those earning around 80k and those earning 110, which somewhat agrees with the "prior degree" info.
3. How difficult is it to get the "first job". In that context, would my financial experience in India mean a squat to the firms in the US ? ( I, myself would not value it too highly, since markets in India are not even half as sophisticated as they are here ).
Depends. Some argue that CMU's good placement stats are due to the fact that many have pertinent work experience. One plus, by the time you finish, the economy should have turned around.
4. Awaiting admission results from Univ. of Chicago for MS in Fin. Math. Is it better than CMU ?
I tend to think CMU. Look at the biggies - Shreve and Heath. Also, much better integrated with the finance community. It is interdisciplinary, pulling from 3 depts.- stat dept., math, and b-school. Also, take a look at Shreve's "stoch calc in finance" notes. Very nice if you don't have time to study a regular stoch calc text. The notes are an example of his teaching talent. While Chicago's math dept. is tops for Phd's, for MS....
5. Bottomline: I love the Fin. Engg. jobs ( as little as I know ), but am worried about the size of the investment to be made to get into the field. Should I go for it or not ?
It could be a good way to switch your focus from IT. An IT background can be very valuable. Personally, assuming your work experience is respectable, I think you would have no problem finding a decent job.
6. Finally, one more question out of curiosity. Is the CMU program really selective OR do they take in anyone who has the money ?
I think most of these programs are choosing to limit their enrollment and thus increase the quality of students.
Now, back to whether CMU is worth the price tag. This Q is harder to answer since I never paid for grad school. Luckily, while a doctoral student in OR (IE dept.) at Georgia Tech, a few people from the math dept (top 10 in applied math according to some and good probability group), the IE dept.(#1 in 11 of last 12 years), and the Bschool started a quant finance program (www.qcf.gatech.edu). GT, like UNC and UT-Austin, is one of the incredible buys in education. Even out-of-state it is incredibly cheap.
I was the first QCF grad last May and now work in credit risk (doing the phd part-time). A small class of new students entered in Fall 2000 and the first full class of about 20 entered last Fall. All graduates were employed within 1 month of graduating (not including the phd students who didn't leave GT after earning the MS QCF). The QCF program intends to maintain a small entering class - about 20 per year. The number of applicants will probably be over 100 (about 70 as of now).
Take a look. It may be a good fit. And, given that finance jobs are more spread out geographically, it's not as necessary to be in Chicago, NYC, etc.
Good luck.
To study or not ?
Thanks a lot KO. That is the most comprehensive discussion to my dilemma.
AP
AP