– 36% of quants and risk managers state that risk is a greater part of their role, according to a new survey
7city Learning today announced the results of a survey of quants and risk professionals. Results showed an increased focus on risk management over the last 12 months in the wake of the financial crisis.
Conducted in June, the survey polled respondents on the effects of the market turmoil over the last year on quantitative finance and risk management. Results included the following findings:
-61% of those working as quants or risk managers stated that they are being asked for more explanation than previously around validation or explanation of their techniques
-95% felt that risk management was the same, if not a greater part of their job – 36% of respondents felt that risk management was a greater part of their job
-55% of respondents said that they are being consulted more on risk management issues, and 35% of these professionals are being consulted much more often.
The survey was conducted by 7city Learning, a global financial services training company. The survey sample was comprised of a random selection of alumni from 7city’s Certificate in Quantitative Finance (CQF) course, primarily quantitative finance and risk management professionals from global financial institutions.
Steve Young, a CQF alumni and portfolio manager, noted, "Since the beginning of the financial crisis last year, I’ve found that as a quant, risk management has become an even greater part of my day-to-day responsibility within my firm. I think the survey results point toward the need for quantitative finance professionals to make sure they have an applicable understanding of risk management rather than a theoretical one."
"The numbers illustrate that risk management is absolutely a crucial focus for financial institutions right now," notes Dr. Paul Wilmott, Course Director for the CQF. "As the financial services industry remakes itself, and scrutiny on risk management practices increases, quantitative finance professionals find themselves at the nexus of important change. Quants must understand the application of mathematics to finance in a real-world situation in order to utilize true risk management – this is what we are aiming to teach students as part of the CQF."
The CQF is a high-level educational course for individuals working in or interested in derivatives and risk management. The intensive six-month program provides in-depth education of practical quantitative methods for today’s financial markets. The program is led by Dr. Wilmott and an esteemed faculty of well-known industry practitioners and academics. The CQF is the largest and fastest-growing quant course in the world.
