Motivation and Background

These days it is hard to escape financial news. Terms such as Derivatives, LIBOR, short selling or FTSE100 are constantly reminding us that finance is the most global of industries. The way finance has developed in recent years can be attributed in large part to maths, which has played a central role and remains the chief driving force, allowing the financial markets to become increasingly sophisticated. There is little doubt that maths has ‘hijacked’ most disciplines and its appeal and influence is noticeable in almost all branches of knowledge! 

Mathematical Finance continues to be one of the fastest growing areas within the corporate world. This together with the sophistication of modern and complex financial products has acted as the motivation for new mathematical models and the subsequent development of mathematical and computational techniques. Alternative names are Quant Finance, Financial Mathematics and Financial Engineering. Although relatively young, mathematical finance has developed rapidly into a substantial body of knowledge and fully established part of mathematical science.

In recent years there has been an explosion in the availability and popularity of advanced degrees in Mathematical Finance at some of the top tier universities internationally, which are aimed at leading numerate graduates towards highly lucrative careers as quantitative analysts (quants), developers and traders in investment banks and hedge funds. These are typically taught MSc degrees of twelve months duration. Very often students are exposed to this area as final year undergraduates by taking an optional one semester module in Financial Engineering. Increasing numbers of graduates from Pakistan are being attracted to Europe, USA and Australasia for advanced scholarship in this field. 

 

Aim

The proposed audience for this intensive five day workshop are lecturers and professors teaching BSc./MSc./MPhil. mathematics at institutes of higher education in Pakistan.  The aim of the course is to present a combination of the mathematical, computational and financial economics based concepts which have practical uses in the global investment banking sector. Upon completion of the workshop, university and college teachers will be equipped with a full curriculum in Mathematical Finance which can then be taught as a two semester course at the advanced undergraduate or MSc level, to students at their respective universities/colleges. The goal is to have mathematical finance, in time, feature as a conventional part of the university mathematics curriculum in Pakistan. The full notes provided to workshop participants are taken from 

 

  • Syllabuses used to deliver current undergraduate and graduate level courses in BSc. Mathematics, MSc. Financial Mathematics, MSc. Financial Risk Management, MSc. Computational Finance at University College London
  • Professional development executive education training programmes for investment banks in London, New York and Singapore. 

 

Participants for the workshop should ideally have at least a MSc. Mathematics qualification.

 

The course will assume No previous knowledge of finance.