A hands-on understanding of risk management, rather than a theoretical one, is becoming an essential part of the toolkit for financial risk professionals, particularly those with a quantitative focus, according to a survey released today by 7city Learning, a financial services training company with offices in New York, London and Singapore.
The survey of 400 risk and quantitative finance professionals, taken in June, revealed that nearly two-thirds (61 percent) of the respondents said they are increasingly being asked to validate and explain their risk management techniques, while over half (55 percent) said they are increasingly being consulted on risk management issues. Some 36 percent said that risk management is now a greater part of their job than before the financial crisis.
The numbers illustrate that risk management is absolutely a crucial focus for financial institutions right now, said Dr. Paul Wilmott, course director at 7city, in a release. As the financial services industry remakes itself, and scrutiny of risk management practices increases, quantitative finance professionals find themselves at the nexus if important change. Quants must understand the application of mathematics to finance in a real world situation in order to utilize true risk management.
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, added Steve Young, a portfolio manager and alumni of 7city.
7city Learning provides financial and professional skills training.
This article can also be found at SecuritiesIndustry.com.
Register or login for access to this item and much more
All Information Management content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access