MS Finance and Risk Management
This course is at the level of Bac+6, and is intended for candidates who already have a Bac+5 (more information on admission).
Graduates of the MS Finance and Risk Management will have acquired a solid foundation in financial mathematics and modeling; they will be open-minded and multidisciplinary; they will know how to define, estimate and implement a random model in finance, using statistical, econometric and data science (machine learning) techniques; they will master the accounting and regulatory issues and the tools of risk management
Because of the multidisciplinary nature of the training, they are likely to work in interface not only with traders, managers, or investors, but also with accounting departments, finance departments, risk departments, auditors, supervisors, etc. The latter must now call on teams of high-level "quant" engineers to understand and apply complex prudential rules (Basel III, IFRS accounting rules) using mathematical tools developed by the financial industry.
Risk management at the heart of a range of professions
The quantitative analyst ("quant") designs and implements financial models, in direct contact with the business teams, to improve and develop the activities of financial institutions or to better manage their risks.
The risk manager is responsible for evaluating the bank's exposure to the various risk categories. He/she must assess and ensure compliance with regulatory constraints. He/she must have skills in risk modeling, especially credit risk, and their interdependencies.
Within banks and insurance companies, asset and liability managers (ALM managers) measure interest rate and liquidity risks on the balance sheet, analyze the company's commitments and carry out studies to help implement global financial strategies.
Credit officers are responsible for assessing the risk of borrower default and must have a good understanding of credit scoring models and their potential limitations.
Asset managers must select the right mix of securities to maximize the investor's return, given a given level of risk. They are employed throughout the financial services industry, by banks, investment fund companies, insurance companies, but also by large corporations for cash management and hedging of currency and interest rate risks.
Structurers are responsible for developing financial and legal arrangements in response to client needs. Most often in direct contact with market activities, they have an operational advisory role with traders. These positions require skills halfway between those of traders and traditional "quants".
The courses listed below correspond to the provisional curriculum for the year 2023-24, which may be subject to change.
- 435 hours of teaching
- An internship of 4 to 6 months
The training begins at the end of August with a 5-week full-time harmonization block. The courses are then grouped on 3 days of the week from October to mid-May, followed by the end-of-study internship from May to the end of September. It is possible to start the internship early, alternating days in the company (Mondays and Thursdays) and days of classes; except for review and exam weeks.
Approximately 40% of the courses are taught by permanent teachers, 40% by external teachers and 20% by professionals (from BNP Paribas, Société Générale, Natixis, Mazars, Crédit Agricole, EDF, HSBC, Deloitte, OECD, etc.)
- Corporate Financial Strategy
- Applied Statistical Learning
- Copulas and financial applications
- Duration Models
- Entrepreneurship 1
- Green Finance: Risk and Portfolio Management
- Modeling and managing energy risks
- Machine learning for Portfolio Management and Trading
- Machine learning avec Python
- Risk measures
- The Advanced Master's program ends with a 4 to 6 month internship starting in mid-May (minimum 16 weeks for the Specialized Master's program, and 6 months to present a thesis to the Institute of Actuaries). This internship can be started in advance on Mondays and Thursdays, as a part-time internship, in agreement with the ENSAE internship service. In this case, it is advisable to remain vigilant about the workload; it is not advisable to start this part-time internship before February for the MS-Actuarial Science, as the requirements for validation of the curriculum for the Institute of Actuaries require significant personal work throughout the year.
Who is the MS Finance and Risk Management for?
This program is intended for people who have a solid mathematical background (particularly in applied mathematics, statistics and probability).
The standard recruitment corresponds to students or professionals with a Bac+5 (Master 2 or equivalent) who wish to acquire additional training that will allow them to be competitive on the job market. It is recommended to have a M1 or M2 level in applied mathematics, statistics or mathematical finance, or an engineering or business school diploma with significant mathematical or statistical content.
A harmonization block at the beginning of the program (end of August to beginning of October) aims to consolidate the knowledge base necessary to follow the courses shared with the third year of the engineering program. You will find more information on the course of study here.
The cost of the training is fixed at :
- 14 000€ for professionals, companies or administrations;
- 9 500€ for students continuing their studies or job seekers.