MSc Finance www.imperial.ac.uk/business-school/msc-finance

“The MSc Finance programme is well respected in the City of London for its quantitative rigour. This reputation and the applied approach to teaching is what attracted me. The technical skills and techniques I learnt have served me well and the core courses gave me a deeper understanding of the concepts behind the methods.” Douglas Porter, MSc Finance 2008 Analyst, European Leveraged Finance Group, Barclays Capital

2

MSc Finance

The MSc Finance programme “The flagship programme of the Business School’s Finance Group, the MSc Finance is designed for recent graduates and young professionals of exceptional intelligence who seek a broad but applied programme from one of the world’s most prestigious universities. Over the past 11 years, it has developed a reputation as the most intellectually rigorous quantitative finance programme in Europe. The programme is highly relevant, reflecting the

The Chartered Institute of Securities & Investment

strong corporate connections we have established

(CISI) has designated Imperial College Business

with leading companies in the City of London

School a CISI Centre of Excellence in the field of

and beyond, providing practical opportunities to

Finance, and the programme was the first London

build your technical skills and confidence. You

taught programme with both CISI exemption and

will receive hands-on training, working through

Chartered Financial Analyst (CFA) partner

relevant case studies with leading practitioners

programme status.

and world-renowned research faculty. This

Our MSc Finance is suitable for high-calibre,

innovative teaching approach, combined with

ambitious and technically-minded students, who

the academic and quantitative rigour of the core

want to study in London and work in the highly

courses, has established a truly inspirational

competitive, yet rewarding financial services sector.”

learning environment that equips graduates with the technical and financial tools they need to be

Professor Andrea Buraschi, Programme Director

respected by employers in today’s financial sector.

(external affairs) and Professor in Finance

The Imperial advantage • Part of Imperial College London: become a student of one of the world’s most respected research-led universities, and have access to a highly influential alumni network • Diversity: you’ll mix with students of the highest calibre, from a wide range of different cultural and geographical backgrounds • Putting theory into practice: learn from leading practitioners and world-class academics how to put the latest academic thinking and business strategies into practice • Career development: benefit from a dedicated careers service that will help you present yourself with confidence to the world’s top employers • London location: you’ll be at the heart of one of the world’s leading cultural and financial centres • Reputation: the Imperial name will open doors for you across the world MSc Finance

3

Gain a reputation for excellence Succeed in your MSc at Imperial College Business School and you become a graduate of one of the world’s leading universities, with a global reputation for excellence in entrepreneurship, innovation, quantitative finance and health management. Our internationally-recognised faculty have strong links with industry, so they can bring theory alive through case studies drawn from their experience as business consultants. You will learn from their ground-breaking research, benefit from the Business School’s close collaboration with other Imperial College departments and institutes, and graduate with a command of the latest thinking. The focus of the programme is practical. You will

expertise you will need in the next stage of your

apply what you learn through group discussions

career. Working in groups is an important part of

and project work, building your technical skills

our approach, because it encourages collaborative

and confidence, improving your decision-making

skills, generates outstanding results and builds

ability and enhancing your value to an employer.

your personal and professional networks.

This combination of academic excellence and real-world relevance makes our graduates

to the cultural heart of London, with many of the

attractive to employers from every sector.

world’s most famous museums, art galleries, parks

We provide a friendly, supportive environment

MSc Finance

and restaurants on your doorstep. You are also

where you will develop the confidence to share

close to the City, London’s financial and business

insights with other high-calibre students from

centre, home to the headquarters of many global

culturally diverse backgrounds. Project work in small

organisations. One of the exciting opportunities in

groups ensures you master the theories, knowledge

the programme is the chance to visit and learn from

and skills taught throughout the course, and gives

leading organisations operating in different sectors.

you an excellent foundation in the management

4

Our location, in South Kensington, brings you

MSc Finance

5

Shape your future: our programme This challenging one-year, full-time programme prepares recent graduates and young professionals for a wide range of careers in finance, such as investment banking, private equity, capital markets or sales and trading. A solid quantitative foundation, the latest

Core and elective courses

research, practical application and the broad

The MSc Finance includes six core courses as

range of topics covered make the MSc Finance

well as a number of electives that students can

a unique and truly inspiring experience.

select according to their particular interests

Pre-study courses

and career aspirations.

There are some online pre-study courses that you should take before starting the programme. These may include Induction to Maths, Introduction to Finance, Accounting Primer, and Ethics and Professional Standards.

Foundation courses In September, you will study four compulsory courses that introduce you to the tools of modern finance and enhance your career development skills. These include Markets and Securities, Financial Modelling, The Finance Industry, and Business Valuation.

Further opportunities • Computing workshops, courses in C++ and Visual Basic • Chartered Financial Analyst (CFA) exam preparation • Reuters Academy

Programme timetable Pre-study

Foundation

Autumn term

Spring term

Summer term

Summer

August

September

October – December

January – March

April – June

July – August

Pre-study courses Foundation courses Core courses Elective courses Project Please note the programme stucture is subject to change and you should check the website for the most up-to-date information.

6

MSc Finance

“I was challenged by the rigour of the quantitative and academic elements of the programme, however the relevance of the materials we used to solve realworld case studies with faculty and visiting practitioners brought it all to life. The experience of learning from worldrenowned research academics and practitioners who are experts in their field was truly inspiring.” Miramgul Maralova, MSc Finance 2010

MSc Finance

7

Core courses Corporate Finance Corporate finance is at the heart of investment banking and crucial to running a successful business in any sector. You cover all the key elements of company finance, valuation and risk management.

Mathematics for Finance Whether it is mergers and acquisitions, derivative asset pricing, optimal portfolio choice or risk management, success in modern finance is not possible without a solid grasp of mathematics. This course covers a range of essential mathematical tools and their financial applications.

Financial Econometrics The ability to analyse data has become a prerequisite to understanding financial market developments and quantifying risk. This course introduces you to all the key statistical and econometric tools you need to undertake this analysis and gives training in some of the most widely used statistical software.

Advanced Financial Econometrics Introduces you to more complex econometric techniques which are an essential part of modern advanced empirical research.

Investments and Portfolio Management This course provides you with a critical understanding of important portfolio management techniques used for investments and portfolio management by hedge funds, asset managers, investment banks and other financial institutions.

Asset Pricing and Derivatives Valuation techniques for financial derivatives are a core component of the skills necessary for a career in a modern financial institution. You’ll learn to develop and apply the techniques learnt in Investments and Portfolio Management to the pricing of a range of financial derivatives and to the determination of interest rates at different maturities.

8

MSc Finance

Project The majority of students are expected to complete the Applied Project which, as its name suggests, has a practical focus and is designed for those who wish to pursue a career in a financial institution. For the small number of students who wish to follow an academic career and want to go on to a PhD programme, we offer the Research project which is more appropriate for this context. Applied project The aim of the applied project is to enable students to produce new and relevant insights that demonstrate the practical application of tools, theories and techniques learnt from the material taught in core and elective courses. It also allows those who have secured a work placement to incorporate this experience into their year of study. Students choosing the applied project are required to take four elective courses. Research project Advised by your faculty tutor, you’ll identify a topic of interest and then analyse it statistically or numerically. The research project report, of up to 10,000 words, is due for assessment at the end of August. Students choosing the research project are only required to take three elective courses.

“Imperial College Business School has a reputation for excellence and is well integrated within the London financial industry. The MSc Finance programme is highly technical and mathematical, opening the door to a broader spectrum of jobs in the city.” Pedro Monteiro De Barros, MSc Finance 2009 Analyst, Espirito Santo Investment

MSc Finance

9

Elective courses You choose four electives from the following list to deepen your knowledge and acquire practical experience.*

Advanced Corporate Finance

Venture Capital Finance and Innovation

Focuses on corporate financial decisions in the

Provides a strong finance framework for students

presence of agency conflicts between shareholders,

interested in understanding the investment

debt holders and managers, asymmetric information

structures and processes for seed, start-up and

between managers and investors, and intertemporal

growth capital financing in early stage investments.

issues in investment and financing decisions.

It covers how to raise capital for new ventures and

Credit Risk Students will study how to assess credit risk associated with individual exposure, and discuss the major literature in the field and related applications.

Structured Credit and Equity Products

TMT sectors.

Finance of Regulated Industries Given by Frontier Economics, one of the world’s leading consultancies on the economics and finance of regulated firms, this is a more practical guide to

with portfolios. A wide range of credit sensitive

corporate finance. You’ll focus on specific financial

instruments will be examined, including multi-

issues facing regulated industries.

(CDO, ABS, etc). The course will also examine the

Applied Corporate Finance

dynamic management of credit portfolio risk.

Introduces you to the basic mechanics of financial

Prerequisite: Credit Risk

statement analysis, comparing traditional equity

Private Equity and Entrepreneurial Finance

valuation with more comprehensive valuation models. You explore research which tests the empirical implications of these models in various

Provides applications and tools for students interested

business contexts, including application to risk

in late-stage investments, such as Growth Capital,

management exposures.

LBO, Mezzanine, HY and Infrastructure. You will examine the role of private equity, finance instruments and structures, and the application of these tools to company acquisition or restructuring. You will understand the role of the banks and the funds in the debt-raising process, and the financial and legal aspects of the structuring and valuation involved in executing an investment in sectors such as Energy, the Environment, Retail/Consumer Goods and Industry.

MSc Finance

with a focus on the Cleantech, Life Sciences and

Students will examine credit risk associated

named credit derivatives and structured exposures

10

how to invest in the growth of innovative companies,

Fixed-Income Securities

Hedge Funds

These make up a very substantial proportion of all

Building on foundations created in Portfolio

investments and financing strategies in today’s

Management, this course discusses advanced

financial markets. The need to price and hedge

portfolio management techniques, including the

this array of products accurately has led to prolific

use of dynamic portfolio theory, derivatives and

literature in this area. The course covers the

portfolio insurance. Advanced trading strategies,

main continuous-time term structure models and

such as event-driven and credit derivative strategies

valuation techniques.

are discussed.

Banking

For further details of each course visit:

The first part of the course focuses on issues in

www.imperial.ac.uk/business-school/msc-finance

financial intermediation from a microeconomic perspective: risk-sharing, bank runs, regulation and underscoring asymmetric information models. The second part analyses the dominant role of

* Electives run subject to student interest and availability. Not all combinations of electives are possible. Imperial College Business School reserves the right to withdraw or replace an elective.

investment banks as information intermediaries.

Advanced Portfolio Management Discusses common advanced portfolio management techniques such as Bayesian portfolio optimisation, derivatives and portfolio insurance, dynamic portfolio theory and asset-liability management. These techniques are used by some of the most successful practitioners in fund management, risk management, structured products, pension funds and consultancies.

Mergers and Acquisitions Provides a basic framework for analysing corporate acquisitions, mergers and restructurings in an international setting, a requirement for any career in a modern financial institution. Students will analyse the essential elements of the acquisition process, including financial modelling, bidding strategies, due diligence, contract negotiations, deal structuring, closing, and post merger integration.

International Finance Introduces key concepts and analytical tools used in the field of international finance and international macroeconomics. Topics covered are balance of payments, exchange rates, foreign debt and default, direction of capital flows, global imbalances and

“The tools and techniques I learnt are highly relevant in my current role as a Structurer with Société Générale.” Martin Jost, MSc Finance 2009 Equity Derivative Structurer, Société Générale Corporate & Investment Banking

home bias. MSc Finance

11

Faculty Our world-class faculty combine academic rigour with a hands-on approach to the latest business practice. They are engaged in cutting-edge research, and many are actively involved as consultants for leading international organisations.

Focus on faculty Andrea Buraschi, Programme Director (external affairs), MSc Finance, Professor of Finance Andrea teaches on the PhD Programme and the MSc Finance, as well as directing the International Wealth Management Programme, which trains top international private bankers and financial executives. He has published in numerous journals, presented papers internationally and won many teaching and research awards, including the Inquire Europe award and the WFA Award in Investments. Robert Kosowski, Assistant Professor and Director of the Risk Management Lab and Centre for Hedge Fund Research Robert teaches in the MSc Finance and MSc Risk Management and Financial Engineering programmes. He has published in numerous finance journals, and has received best paper awards from Inquire Europe, Inquire UK, and the European Finance Association. Previously an Assistant Professor at INSEAD, he has worked for Goldman Sachs, the Boston Consulting Group and Deutsche Bank, as well as serving as Specialist Advisor to the UK House of Lords and Expert Technical Consultant to the IMF. Karim Abadir, Professor of Financial Econometrics Karim teaches Financial Econometrics. He has a DPhil from Oxford University and an MA and BA from the American University in Cairo. He is a holder of two Econometric Theory awards, has authored over 60 articles in top journals, and written two books. Lara Cathcart, Senior Lecturer Lara lectures in the MSc Finance, MSc Actuarial Finance, MSc Risk Management and Financial Engineering, and the MBA Full-Time and part-time programmes. Her work has appeared in quantitative finance journals, such as the Journal of Computational Finance, the Journal of Fixed Income and Quantitative Finance, and in more mainstream practitioner publications, such as Risk and Professional Investor. Lara has also consulted for several investment banks and for HM Treasury.

12

MSc Finance

“As an MSc Finance alumnus, I enjoy coming back to the Business School to present a real case study to students in the ‘Private Equity and Entrepreneurial Finance’ course with adjunct professor Andreas Angelopoulos. I like to challenge the thinking of the class, and am impressed by their ability to apply the technical skills and techniques they have learnt.” Elias Sakellis, Executive Director, Goldman Sachs, MSc Finance 1999

Guest lecturers and speakers At Imperial College Business School we are proud to host guest lecturers and speakers alongside our world-class teaching faculty and external instructors, giving you industry insight and perspectives from the modern business world. Elias Sakellis, Executive Director, Goldman Sachs (alumnus) Douglas Porter, European Leveraged Finance, Barclays Capital (alumnus) Abel Elizalde, Head of Credit Derivatives Research, J.P. Morgan. Teaches ‘Structured Equity and Credit Products’ Robert Stefanowski, Chairman, 3i. Teaches ‘Mergers and Acquisitions’

MSc Finance

13

A dedicated careers service You will benefit from a highly professional careers service that focuses on your individual needs. From the moment you accept an offer of a place on our programme, our Career and Professional Development Service works with you in a combination of one-to-one support and regular workshops. They will identify your skills and strengths, and give you all the support you need to build a career strategy that is right for you. The workshops start by providing guidance on

tailored workshops or provide guest lectures to MSc

preparing CVs, cover letters and application forms,

Finance students. Recent examples of supporting

as well as training in interview and assessment

organisations include Citi, Nomura, Morgan

centre skills. They then move on to personal

Stanley, RBS, BlackRock, Man Group, BNP Paribas,

development, giving you valuable skills, such as

Macquarie, Bank of America Merrill Lynch, Standard

how to present with impact, network effectively and

Bank, PwC, and J.P. Morgan. You will also have the

work in cross-cultural teams.

opportunity to attend careers sessions coordinated

Our expert consultants are available for one-toone sessions throughout the year, whether you want to fine-tune your CV, take part in a mock interview, or review your overall career strategy. The Business School’s careers team engages

by Imperial College’s Careers Advisory Service which caters for all Imperial College students. Our service continues after you graduate. As an alumnus, you can arrange appointments with us at any time during your career - for example, if you are

with potential employers on behalf of students

considering a change in direction or want to explore

and organises events targeted at Business School

developing your career further.

MSc and MBA students. Leading companies deliver

Our MSc Finance graduates are working in many different roles at a wide range of companies, including: • BA Pension Investment Management, Fund Management • Bangkok Bank P.C.L., Portfolio Management

14

MSc Finance

• Citi, Investment Banking • Goldman Sachs, Investment Management Hedge Funds

• Bank of America Merrill Lynch, Investment Banking

• Goldman Sachs, Asset Management

• Bank of France, Financial Economics Research

• J.P. Morgan, Credit Default Swaps Trader

• Barclays Capital, Sales

• J.P. Morgan, Trading

• Barclays Capital, Investment Banking • Barclays Wealth, Analyst

• J.P. Morgan Hong Kong, Operations & Business Services

• BC Capital Management LLP, Quantitative Analyst

• KPMG, Audit

• BNP Paribas, Fixed Income Structuring

• Morgan Stanley, Fixed Income, Emerging Markets

• China Development Bank, Analyst

• Nomura, Global Markets

• CIMB, Corporate Finance

• Royal Bank of Scotland, Global Markets

• CIMB Investment Bank, Group Treasury

• UBS, Global Banking & Markets

• Jefferies, Analyst

Employability 83% of the 2009 MSc Finance cohort were employed within six months of completing the course.

Destination by sector of 2009 graduates 3% 3%

6%

6% 9%

43%

30%

Financial Services

43%

Investment Banking

30%

Investment Fund/Hedge Fund

9%

Consulting/Professional Services

6%

Central Bank/Ministry of Finance

3%

Commercial/Retail Banking

3%

 ther (including IT/Telecommunications/ O Engineering/Manufacturing)

6%

“The Careers Service was a wonderful source of support for me. I particularly appreciated their assistance with the development of my overall career strategy. I secured a role at J.P. Morgan, London as a Credit Trader and I can honestly say that the help the Careers Service provided enabled me to market myself more effectively.” Ana da Silva Castro, MSc Finance 2010 Credit Trader, J.P. Morgan MSc Finance

15

Make connections: Be amongst the best Our reputation attracts high-calibre individuals from across the globe. In addition to an excellent academic track record, you will have the self-motivation and commitment to succeed in a competitive environment. We value strong interpersonal and communication skills and a hunger for knowledge, as well as commercial and international awareness.

A powerful social networking experience

Profile of 2010 cohort

The contacts you make through lectures and group

Average age

projects are developed through our social and

Age range

networking events. The lasting relationships you

Number of students

176 23 20-30

Number of countries

43

Proportion of female students

39%

form, not only with your fellow students, but with alumni, adjunct professors, students from other programmes and visiting lecturers, will enrich you

Nationality by region, 2010 cohort 5%

professionally and personally.

3%

7%

Students nominate their own social 55%

representatives, who organise events part-funded

30%

by the School, and some students volunteer for the Business School’s Student Ambassador Programme.

Asia/Pacific

55%

There are over 200 sports clubs and societies on

Europe

30%

offer, including a very active Finance Society and Venture Capital Club. You will also receive free

Africa/Middle East

7%

UK

5%

Americas

3%

membership to Ethos, Imperial’s state-of-the-art sports centre, just a short walk from the Business School building.

Alumni network

Information on student clubs can be found at

Like every other aspect of our MSc programmes, the alumni network offers

www.imperialcollegeunion.org

you practical benefits and allows you to take full advantage of your Imperial College Business School connections from the beginning of your study and throughout your career. Our role in keeping the alumni network connected starts by providing you with the opportunity to meet a powerful international community of alumni through events, support classes and country networks, sector interest groups and continuous learning and career services. We encourage you to play an active part in this prestigious network and, as a student and alumnus of the Business School, to make full use of your lifelong connection to outstanding business leaders, thinkers and decision-makers. For more information please visit www.imperial.ac.uk/business-school/alumni

16

MSc Finance

“My classmates came from across the globe; I really enjoyed this diversity and the richness it brought to the programme. It has also helped me adapt to the multi-cultural environment of my post with J.P. Morgan, Hong Kong. I will always treasure my time at Imperial and I know that the Imperial College Business School alumni network will continue to open doors for me the world over.” Edwin Chun Yeung Li, MSc Finance 2010 Corporate Development Program Graduate Analyst, J.P. Morgan

MSc Finance

17

“Studying in London was really important to me. It is not only a lively and vibrant place to live as a student but I knew it would enable me to learn from and develop networks with leading practitioners and alumni who live and work in the City. Being based in London also enabled me to make a smooth transition to my role with a top investment bank.” Tiago Dias, MSc Finance 2008 Analyst, Goldman Sachs

18

MSc Finance

Entry requirements Who should apply?

Start date

The MSc Finance attracts applications from individuals of

2 September 2011.*

exceptional intellect who have achieved excellent degrees from the world’s best universities. You will need strong, proven mathematics

Fees

skills, with an outstanding degree in a highly quantitative discipline,

£27,500 (2011)

as well as high-level English language skills.

For details of payment terms, please visit

You should be able to demonstrate well researched long term career goals, and an understanding of the financial sector. Work

www.imperial.ac.uk/business-school/msc-finance

experience is not a requirement, but relevant work experience or

Scholarships

internships will add weight to your application.

We have a number of scholarships available for students joining

To apply you need:

the MSc Finance programme. Please visit www.imperial.ac.uk/ business-school/msc-finance for more details. Imperial College

• A UK 2.1 honours degree or above (or international equivalent)

scholarships are also available. For details, please visit

in a highly quantitative subject such as mathematics, science,

www.imperial.ac.uk/registry/studentfinancialsupport/

engineering, economics or finance

pgscholarships or email [email protected]

• An English language qualification: • GCSE, IGCSE, GCE ‘O’ Level or equivalent at grade B or above

Ways to meet us

• Cambridge Certificate of Proficiency in English (CPE) at grade B

We hold regular, on-campus and online information sessions for

or above • IELTS (academic): A minimum score of 7.0 with a minimum score of 6.5 in writing and speaking

prospective students. To reserve your place or to check times and dates for all sessions, please contact us at www.imperial.ac.uk/business-school/waystomeetus, or email

• TOEFL (computer based): A minimum score of 250 (TWE of 4.5+)

[email protected]

• TOEFL (internet based): A minimum overall score of 100, with a

If you would like to visit our campus and attend a lecture

minimum of 24 in writing and 22 in speaking.

before you apply, email the MSc Finance Recruitment Team at [email protected]

Please note:

If you would like to find out when to meet us at a UK or

• Our English language requirements are applicable to Home,

international recruitment fair, visit

EU and Overseas students • TOEFL and IELTS scores will only be valid if they are less than two years old on the programme start date • Our English language requirements are higher than the minimum standard set by Imperial College and waivers will only be considered under exceptional circumstances.

Pre-sessional English Language Course

www.imperial.ac.uk/business-school/waystomeetus If you would like one of our faculty to visit your university to discuss the programme please email [email protected]

Attendance requirements The UK Government has recently imposed a new requirement on universities to monitor the attendance of international students,

This intensive five week course offers you the opportunity

and to report any student visa holder who ceases to be in regular

to develop the academic English and study skills you need

attendance to the UK Border Agency (UKBA). On joining the

to begin your postgraduate programme with confidence.

programme you will be provided with further information on

For more information visit www.imperial.ac.uk/business-school/

attendance requirements and expected course interactions to

programmes/english-language-support

avoid being reported unnecessarily.

How to apply Apply online. For more information, and to submit your application online, visit www.imperial.ac.uk/business-school/applyingonline

* Exact date subject to change

MSc Finance

19

T: +44 (0)20 7594 9552 E: [email protected]

www.imperial.ac.uk/business-school/msc-finance

Disclaimer: While all reasonable efforts have been made to ensure that the information in this publication is correct, matters covered by this publication are subject to change. Imperial College Business School accepts no liability for any loss or damage caused by errors or omissions, howsoever caused. Published November 2010

MSc Finance Recruitment Team Imperial College Business School Tanaka Building South Kensington Campus London SW7 2AZ United Kingdom