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Finance at university

Is it more beneficial to get into the trading sector by doing a finance undergrad degree or an economics undergrad degree. Also for imperial to do economics or finance do you need to do a step paper?
Reply 1
STEM/ CS probably best for trading imo. Website will say if STEP required but almost certain it wouldn't be
Reply 2
Original post by JPowWow
STEM/ CS probably best for trading imo. Website will say if STEP required but almost certain it wouldn't be

wdym Stem is best for a uni degree? because i heard finance is great to go straight into equity trading or things like that??? And bhow does computer science get you into it?
Original post by mwaseem
wdym Stem is best for a uni degree? because i heard finance is great to go straight into equity trading or things like that??? And bhow does computer science get you into it?

The other poster is correct, STEM subjects are definitely the best for getting a trading role nowadays. Economics and Finance are decent but they don't teach you the maths or computing skills that are needed to be a trader nowadays. Maths or CS are typically the best for trading roles, engineering is good to but it's generally more difficult so may as well do the others.

With the rise of systematic trading, it's not enough to do just economic and financial research on equities, fixed income, etc. Traders are expected to have programming and coding knowledge as graduates and these are a lot harder to learn than econ/finance knowledge, hence why STEM grads are prefered. You've got to remember that the asset pricing knowledge needed to price things like derivatives contains maths that's well beyond undergrad econ/fin degrees.

You can definitely get a role in trading with an econ/finance degree but they're not preferable these days. Also, trading nowadays at banks is mainly market making which is pretty boring and requires you to be forced into taking the otherside of trades which you then have to get out of, what students genrally think most trading is like is more of the trading that happens at hedge funds and asset managers rather than banks. Would recommend you actually researching trading roles before picking your degree subject and uni based on the aspiration to be one.
Reply 4
Original post by BenRyan99
The other poster is correct, STEM subjects are definitely the best for getting a trading role nowadays. Economics and Finance are decent but they don't teach you the maths or computing skills that are needed to be a trader nowadays. Maths or CS are typically the best for trading roles, engineering is good to but it's generally more difficult so may as well do the others.

With the rise of systematic trading, it's not enough to do just economic and financial research on equities, fixed income, etc. Traders are expected to have programming and coding knowledge as graduates and these are a lot harder to learn than econ/finance knowledge, hence why STEM grads are prefered. You've got to remember that the asset pricing knowledge needed to price things like derivatives contains maths that's well beyond undergrad econ/fin degrees.

You can definitely get a role in trading with an econ/finance degree but they're not preferable these days. Also, trading nowadays at banks is mainly market making which is pretty boring and requires you to be forced into taking the otherside of trades which you then have to get out of, what students genrally think most trading is like is more of the trading that happens at hedge funds and asset managers rather than banks. Would recommend you actually researching trading roles before picking your degree subject and uni based on the aspiration to be one.

Yes but it thought to go work in the investment making or hedgefund sector those degrees of economics/finance at top unis are your best bet at getting in, even as an analyst, but looking further yes economics is more of a theory based course however finance is very heavily maths based so i thought that would be
Original post by mwaseem
Yes but it thought to go work in the investment making or hedgefund sector those degrees of economics/finance at top unis are your best bet at getting in, even as an analyst, but looking further yes economics is more of a theory based course however finance is very heavily maths based so i thought that would be

Many analyst in finance graduate positions study subjects like econ/fin but this is more of a self-selection bias. Students who want to go into these careers tend to study these subjects, it's not that these subjects are necessarily better at prepping you for trading careers than STEM subjects. It depends what area of a bank you want to work in, for areas outside of trading/quant/tech then I'd say STEM gives the same opportunities as Econ/Fin subjects, but for more quant positions then Econ/Fin grads are definitely at a disadvantage

Not sure where you get the idea that finance is very heavily maths based, relative to other subjects that are commonly represented in banks/AMs/HFs? Personally I've always found Finance as a subject contains less maths than economics, and definitely less maths than STEM subjects.
Original post by mwaseem
Yes but it thought to go work in the investment making or hedgefund sector those degrees of economics/finance at top unis are your best bet at getting in, even as an analyst, but looking further yes economics is more of a theory based course however finance is very heavily maths based so i thought that would be

being a trader usually requires you to do a stem degree these days if you want the best shot at it. I have trading offers from banks and a research offer from a hedge fund but study science...
Finance degrees are not viewed as best option for trading, quant and many other investment banking roles.

For trading and quant finance:

Undergrad degree in mathematics or mathematics and finance or mathematics and computer science from Oxbridge or good Russell group university (Imperial, LSE, Warwick, Edinburgh, Durham, York etc) - high 2.1 or 1st. Finance and Economics can be self taught keeping up to date with FT, wall street Journal, Cnbc etc
+
Masters in financial mathematics from either Warwick, Imperial, LSE or Edinburgh etc.

Then you are competitive to build your career in the city, wall street or major financial centre in East Asia (Singapore, HK etc).
(edited 1 year ago)

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