Where to go from here

[swarley]

First of all, since this is my first post, hi to everyone.

I'm in my senior year of an undergrad "pure" math degree, with a minor in physics. I also have a part-time job doing research at a machine learning lab on campus. I have had a couple of upper-level stat classes and a course in corporate finance and I know how to program reasonably well in C++.

For about a year I have been considering going to grad school for financial math with the ultimate goal of working in quantitative finance. However, what I read on quantnet, nuclear phynance and so forth makes me wary of pursuing such a specific degree. A number of people seem concerned for the future of financial markets in general, expressing apprehension about the economy, regulation, and the obsolescence of entire methodologies. One grad program I investigated (it may have been Stony Brook?) contained something of a cautionary note on its page for prospective students, in fact--something that surprised me, though I guess for a competitive program that practice might not hurt them.

As a result, I'm very close to changing my tune. I could just go for a degree in applied math and attempt to work some of the QF-relevant topics into my degree as a way of hedging my bet. But I've also heard that times are changing, in the sense that since specialized QF programs are available now, applicants from (for instance) a physics background have lost some of the edge they once had. If that's really the case, then a PhD in applied math might not leave my options open.

I don't have much time to decide. A few weeks ago all of these concerns led me to the conclusion that if I have doubts about a financial math PhD program and my future with it, I shouldn't undertake it. On the other hand, certainly I don't want to live my life in academia, either, which a degree in applied math could lead to by accident.

Maybe I should just start taking SOA/CAS exams...

 

[Connor]

Are you considering masters? PhD? Both?

What are your interests? Specifically finance, applied math/stats or machine learning?

 

[swarley]

Are you considering masters? PhD? Both?

I'm applying for PhD programs. My understanding is that in general, the requirements for a master's degree are satisfied along the way. I don't know of a program I've applied to that doesn't award a master's degree first.

What are your interests? Specifically finance, applied math/stats or machine learning?

These are all interests of mine. At this point it is a matter of making a choice between immediately specializing in finance and the math applied to finance, or specializing in mathematical and computational techniques that could be applied to a variety of quantitative disciplines.

As I mentioned in the original post, one potential problem I see with the latter option is that I will likely not have the benefit of the relevant finance courses. What keeps me from the former is the uncertainty that the degree will be relevant for the rest of my life, especially considering the number of people who undertake it each year.

 

[Connor]

Do applied math or statistics then. You should always be able to get a job then.

Choose a PhD program (applied math/statistics) where they do some research in finance/economics so that you can take some finance courses and direct your research in that direction.

Check out CMU, they have a joint PhD program in Statistics and Machine Learning that involves the statistics and computer science departments.