The following post isn't meant to offend anyone who is currently working as a quant, I just want some advice regarding my current situation.
About me: MSc from a top school in computer science and a pretty solid statistics and programming background, plus 1.5 years working as a quant in market risk for a large bank. I like my colleagues, the pay is great, and the work is relatively interesting: I get to build and implement new models (although basic in nature, I still find them interesting), I work with traders, etc.
I also have a fairly good grasp of machine learning algorithms, and made it through 3 rounds of interviews at top IT firms. So, from a cynical perspective, if I want to quit finance then I sure can.
The problem: I just don't see how what I do in finance on a daily basis benefits anyone. The actual models which we come up with are no-where close in estimating the real risk (in my opinion). It's almost as if we're playing charades, and are creating models as an elaborate smoke-screen for the regulators. We don't create stress tests. We don't think of creative market scenarios where shit can really hit the fan. We don't work with traders to the level of influencing their trading decision. The list goes on.
I've thought of switching fields within finance, to even something like pricing. I hear similar negative "why are we doing this" messages from other friends who are in pricing; most common seems to be "why risk neutral and not risk averse pricing models?". Those who work with traders claim that they're only doing this for the money because traders have no souls (they are not fully enjoying their work days).
Perhaps I am being too cynical, but in summary, most people whom I know are really just being quants because of the money: they needed a job, banks had more openings than their industries and they made the switch.
In my case, however, I could either go as a programmer for a top IT firm, or as a machine learning scientist. The pay which I got offered is about the same, and what I like about the job is that they are actually building a working system, which does stuff. They are manufacturing something, not creating a mathematical smokescreen for the financial regulators. They deliver a working product.
So, should I try working in a different area? I figure I can always come back to be a quant.
Thanks for all your input!
About me: MSc from a top school in computer science and a pretty solid statistics and programming background, plus 1.5 years working as a quant in market risk for a large bank. I like my colleagues, the pay is great, and the work is relatively interesting: I get to build and implement new models (although basic in nature, I still find them interesting), I work with traders, etc.
I also have a fairly good grasp of machine learning algorithms, and made it through 3 rounds of interviews at top IT firms. So, from a cynical perspective, if I want to quit finance then I sure can.
The problem: I just don't see how what I do in finance on a daily basis benefits anyone. The actual models which we come up with are no-where close in estimating the real risk (in my opinion). It's almost as if we're playing charades, and are creating models as an elaborate smoke-screen for the regulators. We don't create stress tests. We don't think of creative market scenarios where shit can really hit the fan. We don't work with traders to the level of influencing their trading decision. The list goes on.
I've thought of switching fields within finance, to even something like pricing. I hear similar negative "why are we doing this" messages from other friends who are in pricing; most common seems to be "why risk neutral and not risk averse pricing models?". Those who work with traders claim that they're only doing this for the money because traders have no souls (they are not fully enjoying their work days).
Perhaps I am being too cynical, but in summary, most people whom I know are really just being quants because of the money: they needed a job, banks had more openings than their industries and they made the switch.
In my case, however, I could either go as a programmer for a top IT firm, or as a machine learning scientist. The pay which I got offered is about the same, and what I like about the job is that they are actually building a working system, which does stuff. They are manufacturing something, not creating a mathematical smokescreen for the financial regulators. They deliver a working product.
So, should I try working in a different area? I figure I can always come back to be a quant.
Thanks for all your input!
- say, $100M? Then, if you are not already worth $100M, still assume that you are and start your journey in that path. Then, sooner or later you will know if you are happy or not doing that and if not happy, repeat the above. At some point, you would be doing what you enjoy...and, that would definitely make you excel and succeed to your heart's and wallet's content. Just my two cents.
