quants and investment management firms

[Joe Yu]

So I know that traditionally, quants work for the sales and trading division of ibanks to price derivatives and model complicated financial instruments. However, what do quants do exactly in investment management firms (mutual funds, portfolio management, etc.)? Are they still involved in trading, or any types of front office positions? Thanks!

 

[DanM]

Isn't it mostly asset allocation/portfolio optimization?

 

[Joe Yu]

so financial engineers mainly work with portfolio managers in the area of portfolio optimization? how about quantitative investment strategies (model building/risk management/etc)? or is that more ibank related?

 

[DanM]

I'm not exactly sure. My knowledge is limited. Maybe someone with experience can elaborate.