Class Suggestion

[MathFinCS]

I have noticed that many of MFE programs want their applicants have knowledge of finance. Does financial mathematics count or that's too theoretical? Or that's even better than general business classes like Intro to Finance, Intro to Investments? I have a year left to finish my undergraduate. Given that I will be taking two extensive mathematical financial classes (graduate level courses but undergraduates can take as electives), is it necessary to take the general finance class/es to fulfill "finance studies" (from UCB MFE prerequisite classes) requirement?

 

[Ken Abbott]

I have noticed that many of MFE programs want their applicants have knowledge of finance. Does financial mathematics count or that's too theoretical? Or that's even better than general business classes like Intro to Finance, Intro to Investments? I have a year left to finish my undergraduate. Given that I will be taking two extensive mathematical financial classes (graduate level courses but undergraduates can take as electives), is it necessary to take the general finance class/es to fulfill "finance studies" (from UCB MFE prerequisite classes) requirement?

Financial mathematrics <> finance. "Finance", broadly speaking (in my opinion) is best described as the understanding of the market for currecies, securities, and commodities as well as the valuation of companies. These markets can be (partially) understood through certain models of behavior (CAPM, APT, B/S) as well as a number of key mathematical algorithms (bond pricing, dividend discount models, etc.) Finance also involves a thorough knowledge of the institutional structure of markets. This includes an understanding of the different palyers (banks, brokers, exchanges, funds) as well as the regulatory structure.

Most of the hundreds of quant finance students I've taught have been lacking in this area, primarily because it's difficult to teach and comes from experience.

 

[MathFinCS]

Financial mathematrics <> finance. "Finance", broadly speaking (in my opinion) is best described as the understanding of the market for currecies, securities, and commodities as well as the valuation of companies. These markets can be (partially) understood through certain models of behavior (CAPM, APT, B/S) as well as a number of key mathematical algorithms (bond pricing, dividend discount models, etc.) Finance also involves a thorough knowledge of the institutional structure of markets. This includes an understanding of the different palyers (banks, brokers, exchanges, funds) as well as the regulatory structure.

Most of the hundreds of quant finance students I've taught have been lacking in this area, primarily because it's difficult to teach and comes from experience.

Thank you very much for sharing your opinion, Ken!