<p>Would a current Columbia student/grad mind (CC or SEAS) mind posting details about the Financial Engineering program. </p>
<p>I understand it is a concentration within IEOR, but how hard is it to be accepted? </p>
<p>How many are accepted per class and how many apply? </p>
<p>Please mention anything else you know.</p>
<p>Financial Engineering is a concentration with the Operations Research major. It is definitely the most rigorous major in the IEOR department and one of the more difficult majors in the engineering school. </p>
<p>To be accepted, your cumulative GPA is not a huge concern, especially in humanities classes. However, you’ll need A’s in math classes (Calculus, Linear Algebra, ODE), an A in Accounting and Finance, as well as good grades, which means A+/A/A-, in computer science. You’ll also need to show consistent performance in your science classes. These rules aren’t hard and fast, but they are general guidelines for the academic performance expected of you. That’s not to say you can’t speak to the IEOR administration and network your way in. However, if you can’t gain admission to the program academically, then you’re probably not prepared for the program and you may do poorly. Overall, the program accepts 20-30 students, with some opting out as the 4th year begins, due to the rigor, and the fact that many students already have offers at firms. I’d say that around 40-60 students apply, but it’s a self-selecting pool because many students, by the end of freshman year, find themselves academically unprepared for the program or interested in another major.</p>
<p>The program shares many of the same requirements as the IEOR core, which consists of Stochastic Models, Mathematical Programming, Database Systems, Production Planning, as well as some other classes. However, the program differs in senior year, when students begin taking classes in pricing models, asset allocation, and FE specific classes. I’ve not reached this point yet, but 4th year classes are rigorous and time consuming, more so than 3rd year classes. Essentially, as an engineer, prepare to be challenged every year (unless you’ve taken a lot of the material of freshman year). There is no plateau to rest on your laurels and every year will feel like a wound torn anew.</p>
<p>If you want to go into the financial services, Financial Engineering is overall not going to give a huge advantage over other engineering majors. There will be an extra word (financial) in your major, so it shows that you are interested in the sector. However, most recruiters and first year analysts reading your resume don’t know the difference between Electrical Engineering and Computer Engineering. In general, the FE pool is strong enough as is to work in the financial services. I’d say the students make the program more so than the program shapes the students.</p>
<p>As an FE major, prepared, like all engineers, to work very hard. A gripe is that College students majoring in Economics can do joint programs (essentially 2 minors) with many different departments. It makes them look impressive - like Economics-Operations Research, Economics-Mathematics - but you’ll find that the Financial Engineering Program almost encompasses Economics-Mathematics-Statistics-Operations Research minus 4-7 classes, which are trumped by harder senior year courses. You’ll compete with these students and FE won’t give any discernible advantage.</p>
<p>beard tax, you make it sound like there is no payoff whatsoever to doing FE. Even if it doesn’t give you a significant leg up in recruiting, isn’t the stuff you learn in the advanced FE classes at all relevant or useful to what you’ll be doing on the job (talking about trading/structuring here)?</p>
<p>Also, an IEOR professor told us something along the lines of, “in the past, when markets were good, everyone could get a job in finance regardless of major. Now, if you haven’t taken the right classes/major [with our department], good luck to you.” That seems to run contrary to what you just said.</p>
<p>So you apply to the program at the end of your freshman year?</p>
<p>Also, are there course requirements to apply? Currently, I would do a BME major, which probably has different first-year requirements. How does this work? Do you need to be declared IEOR during freshman year to apply?</p>
<p>ShurggingSheep. There’s a narrow field in which the material you learn in Financial Engineering helps on the job. This would be at a market making firm or perhaps on a risk management team, where asset allocation and pricing models are more pertinent. There are more fields that an undergraduate degree might help, but for the most part, knowledge of mathematics is bimodal in finance - either you have a Ph. D in physics for quantitative jobs or you have a basic understanding of Algebra and maybe Calculus for Front Office roles. For example, building pricing models requires a Ph. D but using them on the job requires knowledge of Excel and arithmetic. Sure, FE can help you understand the theory, but you aren’t going to make more money or help your team anymore than an Economics student.</p>
<p>Perhaps, the IEOR professor was trying to sell the you the IEOR department. There are plenty of students majoring in Economics, Economics-Political Science, Economics-Mathematics, Economics-Statistics, and Economics-Operations Research students from the college who aren’t nearly as quantitative or have taken the gamut of IEOR classes. Most bulge bracket firms aren’t specifically looking for engineers for front office roles. They are looking for students who are interested in the field and have some quantitative ability. As long as you have a basic grasp of arithmetic, you can do S&T, Equity Research, and Investment Banking. That said, Structured Product analysts are usually recruited from engineering ranks, but the postings I’ve seen are for Masters students.</p>
<p>HawaiianPunch, you apply to FE at the end of first semester and end of second semester in your sophomore year. The course requirements to apply are the IEOR 1st and 2nd year degree tracks. You don’t declare your major until beginning of sophomore year so you have time to take classes you need to.</p>