MSC FINANCIAL ENGINEERING

Gaining The Skills to Solve Real-World Investment Problems With An MSc Financial Engineering

One unique feature of the MSc Financial Engineering (MFE) programme at Nanyang Business School (NBS) is its flexibility. For professionals seeking overseas exposure, the CMU track offers the option of studying abroad at the renowned Carnegie Mellon University.

However, for those who prefer to complete their studies in Singapore, the non-CMU track also offers rich opportunities. For Gong Ruitao, it was a rare chance to embrace self-directed learning and prepare for his future career.

With his one-year journey coming to a close, he shares how his MFE experience has equipped him to excel in the investment world.

​The “great satisfaction” of real-world trading

There’s no doubt that Ruitao is a go-getter – indeed, his drive to learn outside the classroom first led him to financial engineering.

As an undergraduate at China’s Xiamen University, Ruitao signed up for the Mathematical Contest in Modelling – an international contest for students to analyse and solve a real-world application problem. Ruitao and his team developed an optimisation algorithm for Bitcoin Gold trading.

“I found that applying my textbook knowledge to real-world trading gave me great satisfaction and pushed me to learn more,” he shared. “After researching more about a career in the financial engineering field, I was determined to devote my efforts towards this.”

With a double degree in Accounting and Statistics, Ruitao was already well-versed in finance and data analytics skills. But he needed to strengthen his knowledge in programming to perform data modelling and create algorithms. He also needed a deeper understanding of financial economics to tackle complex investment questions.

NBS was an obvious choice to further his studies, as he knew of the MFE programme’s strong reputation in Asia. “I felt this reputation could greatly benefit my career,” he recalled. “I also knew that the curriculum is ‘hardcore’ in mathematics and coding, which would greatly improve my skills in financial engineering.”

Gaining the confidence to solve real-world problems

The essence of financial engineering is problem-solving. Whatever your role, it ultimately boils down to using quantitative skills to solve financial problems.

For Ruitao, this problem-solving capability has been his most valuable takeaway from the MFE programme. Beyond theoretical knowledge, his MFE journey has honed his ability to go beyond the textbook and tackle real-world problems.

“In every module, we learnt a lot of models from stochastic calculus to bond pricing,” he explained. “These models are beautiful and concise, but the real world is more complex.”

Having chosen not to study abroad, Ruitao also benefited from electives exclusive to participants on the non-CMU track. 

These included advanced modules like Optimisation in Finance, Advanced Statistical Modelling, and Exotic Options & Structured Products. This latter module proved to be one of Ruitao’s most demanding and memorable experiences in his journey.

“The learning experience was amazing, especially as we needed to complete an individual research project,” he shared. “It pushed me to apply everything I learnt, from advanced stochastic calculus to asset pricing, and I’ve benefited greatly.”

​Preparing for success in a new stage of life

As a participant on the non-CMU track, Ruitao found that he had more unstructured time than his peers who spent their final term abroad.

This extra time was a key reason behind his decision against going to CMU. “I wanted the extra time to develop myself and learn other skills,” he revealed.

Indeed, Ruitao’s past few months have been fruitful. Having secured a job offer early this year, he set out to familiarise himself with his future role: a financial analyst with Chinese real estate developer CCCC Investment Company Ltd.

“In this role, I’ll focus on asset securitisation and investment management,” he shared. “I’ll manage the investment data for hundreds of real estate projects and provide useful data insights. I’ll also assist in project rating – assessing whether new projects are profitable and in good condition.”

To give himself a head start, Ruitao extensively researched key aspects of the job: asset securitisation in China, project management in the real estate industry, and report writing. He also read widely about philosophy, psychology, and history to enrich his mind.

Most importantly, the extra free time served as a breather, enabling him to refresh and unwind after a challenging year of studies.

“During this break, I was able to relax and let go of any pressure fully,” he said. “Now, I feel prepared to enter a new stage of life.”

Equipped to excel in an investment career

If you plan to enrol in the MFE programme and wonder whether the CMU or non-CMU track is for you, Ruitao has these words of advice.

“It all depends on what you want to get out of the MFE journey,” he shared. “If you want to experience life in the US, apply for the CMU track. The non-CMU track will be a good fit if you prefer more time for internships or personal development.”

Whichever route you choose, the MFE programme can equip you with the multidisciplinary skill sets to open doors in the competitive world of investment.

“My MFE journey has provided me with rich financial and analytical knowledge, which will be vital in my future investment-based career. It has also cultivated my problem-solving and time management skills,” Ruitao concluded. “I think I’ve learnt a lot in this one year.”

Find out more about the MSc Financial Engineering programme here.

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