Programme profile
The 2nd cycle degree programme in Quantitative Finance provides graduates with specific technical and quantitative know-how applied to financial market modelling, allowing them to work in finance professions (option pricer, asset manager, risk manager), also in an international context.
The programme is therefore oriented to specialising students specifically in mathematical, statistical and computing techniques applied to financial markets and the full command of the tools required to:
i) assess financial activities relating to commodity pricing;
ii) measure the risk of financial products and investment strategies and develop risk coverage techniques using both static and dynamic optimisation tools; iii) design quantitative tools for portfolio management which are able to combine statistical information from historical sources and implicit information in the current assessment of financial products;
iv) design quantitative procedures for assessment, replication and coverage of life and liability insurance products, using cutting-edge statistical techniques such as the extreme value theory.
For this purpose, the study programme is structured to:
- provide the necessary complementary mathematical, statistical and economic skills;
- further study quantitative methods for financial applications;
- further study one of the following areas: pricing, risk management, asset management, insurance.
The study programme therefore includes a large number of course units in mathematical subjects, distinguishing itself from other 2nd cycle financial degree programmes, and by the inter-disciplinary merger of contents referring to other scientific-disciplinary fields: Mathematical Methods for Economics and Actuarial and Financial Sciences, Statistics, Econometrics, Computing and Business Finance, the latter sector being considered the context in which all quantitative knowledge is applied.
Students are also offered the chance to carry out an internship in a brokering or consulting firm. The study programme is completed with the production of an original written dissertation. The dissertation is produced under the guidance of a supervising professor and both its topic and selection of methods are used to assess the student's autonomous skills in identifying a problem and proposing a rigorous, applicable solution.
The programme also has a strong international profile.
Expected learning outcomes
KNOWLEDGE AND UNDERSTANDING
2nd cycle graduates:
- will possess in-depth quantitative knowledge (statistics, probability, stochastic calculation, mathematical finance);
- will be familiar with the indispensable mathematical methods for understanding and producing models for financial security evaluation and to measure and manage financial risk;
- will know the econometric methods and models using in finance and will be able to apply them to analyse market data;
- will particularly know the products and use of financial and insurance markets by various operators (banks, savings funds and management companies, insurance firms);
- will possess an appropriate legal and economic background in the regulation and function of financial markets and brokers;
- will know the most commonly used programming languages and mathematical software (C++, JAVA, Excel, Visualbasic and/or MATLAB).
The aforementioned knowledge and understanding are developed through participation in lectures, practical exercises, seminars, guided self-study and individual study, in particular in the following curriculum areas: SECS-S/06 Mathematical Methods for Economics and Actuarial and Financial Sciences, SECS-P/05 Econometrics, SECS-P/09 Business Finance, SECS-P/11 Economics of Financial Intermediaries, INF-01 Computing and ING/INF 05 Information processing systems.
Learning outcomes are assessed mainly through written and oral exams and laboratory tests.
APPLYING KNOWLEDGE AND UNDERSTANDING
2nd cycle graduates:
- will be able to use mathematical and econometric tools to analyse financial market data;
- will be able to study in depth specific areas of the evaluation of financial activities, tradition and modern derivatives markets, risk measurement and management related to such products and their use in investment and financing activities;
- will be able to design, assess and manage product lines to transfer financial and actuarial risk;
- will possess critical skills and an analytical approach to problems relating to financial coverage and evaluation;
- will be able to apply the acquired knowledge using programming techniques and data processing and organisation methods;
- will be able to work in groups, research set topics and have a sound working knowledge of the subjects studied.
The above knowledge and understanding will be developed thro ugh the critical study of texts proposed for self-study, stimulated by classroom activities, the research of case studies and applications presented by the professors, practical exercises set in core curriculum course units, SECS-S/06 Mathematical Methods for Economics and Actuarial and Financial Sciences, SECS-S/01 Statistics, SECS-P/01 Political Economics, SECS-P/05 Econometrics, SECS-P/09 Business Finance, SECS-P/11 Economics of Financial Intermediaries, as well as during the internship, when chosen and the preparation for the final examination.
The tests (written and oral exams, reports, exercises) require the execution of specific tasks which aim to demonstrate the student's command of tools, methods and critical autonomy. During the internship, students will be assessed through a report presented by the students and the company tutor.
MAKING JUDGEMENTS
2nd cycle graduates:
-will be able to understand the structure and construction techniques of the most common financial tools used in the market;
- will be able to understand the main topics and problems linked to risk assessment and management in domestic and international financial markets, and to measure the sensitivity of prices to different risk factors;
- will be able to analyse the types of financial risk involved in structured financial tools and portfolios, and produce the relative quantitative analyses;
- will be able to construct and evaluate insurance products for the transfer of non-financial risk, such as catastrophe risk and longevity risk.
Judgement skills are developed during practical exercises, seminars, the production of written assignments above all in the following course units: SECS-S/06 Mathematical Methods for Economics and Actuarial and Financial Sciences, SECS-S/01 Statistics, SECS-P/01 Political Economics, SECS-P/05 Econometrics, SECS-P/09 Business Finance, SECS-P/11 Economics of Financial Intermediaries, as well as the active participation in workshops organised during the study programme, the internship and the activities carried out in preparation for the final examination.
Judgement skills are assessed through the students' ability to work autonomously as well as in groups during the activities assigned in preparation for the final examination and during the internship when chosen.
COMMUNICATION SKILLS
2nd cycle graduates:
- will have sound knowledge of a foreign language and strong command of specialist, financial language;
- will be able to express their own ideas to a broad audience also in the English language, clearly communicating their ideas and conclusions, and the reasons behind them;
- will be able to illustrate their own concepts effectively through graphs, presentations and the use of general computing tools.
Communication skills are developed in particular during the learning activities which require the production of reports and written documents as well as their oral presentation. Communication skills are also acquired through the production and presentation of the final dissertation, and during the internship when chosen.
LEARNING SKILLS
2nd cycle graduates:
- will be able to apply the learning methods and analysis tools developed to further study and improve their own knowledge;
- will be able to identify the most appropriate tools and learning paths to develop their own cultural and specific knowledge and professional skills.
Learning skills are acquired throughout the study period, particularly concerning self-study, the production of individual projects and activities implemented in preparation of the final dissertation.
Learning skills are assessed continuously during the learning activities which require the presentation of autonomously researched data, also assessing the self-study skills developed during the activities in preparation for the final examination.