MIT's MS-Finance Program costs $100k total. Is this worth it AT ALL? Anyone have salary info?
According to MIT's masters in Finance website, most of it has is what they admit "self funded".
And if you look, the entire program costs a little more than $100k.
And I'm assuming the interest on this kind of private loan these days isn't all too in our favor. I also think they require us to go to class full time, eliminating the opportunity to work full time and pay it off as we attend class.
The salary information they released has the median base salary at $70k (roughly the same as an undergrad i-banking analyst). Now I understand there's always a bonus to that, so lets figure around $120k in this economy?
Is that really worth it? Anyone know how these guys with masters in finance degrees from top schools ascend in salary levels as the years go by? Just on average, how much do those salaries increase with age? I don't think they'd be going into investment banking so I have no idea on what the salary structure is, 1 year, 3 years, 5 years out.
I know an MBA costs roughly the same and yields similar base salary ranges, if not MORE, but this is way more quantitative and tougher to graduate in....so then what's the point of this degree? Is it worth it at all?
My dad did a masters in finance at MIT in the late 60's after graduating from Cornell with a ton of debt... the decision was well worth it, despite that fact he was in a ton of debt for a while... he's got a whole lot of money now.
So I guess i'd say that if you know what to do with it, the master's that is, then yes... it's worth it.
Time machine?
I'd argue that it isn't worth it. You can't do an internship beforehand because it starts in the summer. Also, its not worth 60k or so more than a school like Vanderbilt.
I tend to agree with TheFullMonte, if you can get into MIT's program, there are probably a lot of other programs that you can get into, that cost less, and will afford you similar opportunities after you finish.
The starting salary isn't tied to the school, it's tied to banking. Unless you have experience your coming in as an analyst. Banking base is about 70k. Is MIT worth the 100k when you xould pay half at another school? depends. What happens if you go to vandy and don't get a banking job (they place a lot into F500)? That 40k is wasted. MITs name alone will do a lot for you.
With a decreased cost you also increase your risks.
I personally think 80-100k for an MSF is nuts, but people pay 2-3x that for an MBA which is more about networking than learning. If you get a high paying job because of the name in your diploma it will be worth it.
^Agree with above
I personally think the only MS-Finance that is really worth its cost is the one from Princeton. All others don't really seem to justify their costs...
That's ridiculous... particularly when you consider that Princeton requires a lot of work experience so a fair amount of people that traditionally pursue MSF's will not be able to get in.
$100k+ tuition for an average starting salary of about $70k out of MIT doesn't seem very justifiable..
That's a much more defensible statement.
Only if you went to a non-target and are looking to use the MIT brand name for another shot at finance.
1.) Masters almost never provide aid (the almost because I know they give 1-2 fellowships out, but it's almost insignificant). They are, essentially, cash cows for the university. Top UGs, however, are generous with their aid packages to students who need them.
2.) You must goto Stern.
HYPWS and D all provide student aid if you can't afford them. Trust me, if you can't pay 200k and can get in at these places, you won't have to pay 200k. The only people paying full tuition have their rich parents sponsoring them. Ross and Haas are state schools, and you get in-state tuition if from there. Only place with bad student aid that still charges 200k on your list is NYU, hence you most probably go there.
I suspect their yield rate (% accepting admission offer) will decline significantly due to their employment report being published. Good news for those on the waitlist.
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I doubt anyone spends 100,000 dollars on the program. From the website (http://mitsloan.mit.edu/academic/mfin/tuition.php), tuition is just less than 60,000 if you don't need the summer session. Additionally it includes
Medical Insurance $ 1,700 Books and Supplies $ 1,800 Computer $ 3,000 Food $ 4,500 Personal $ 2,850 Housing $ 12,000 Transportation $ 2,500 Student Life Fee $ 272
Many people are still on their parents insurance, books are necessary of course, most people already have a computer, and those that don't would never spend 3000 on it, and the budgets for the other things I just find very generous, especially for living in Cambridge.
This is a great point. MIT's tuition is $72k, compared to $42k at Vanderbilt and $44k at WashU ($52k w/ summer courses). It's still quite a premium, but it doesn't make sense to compare MIT's total cost to Vandy's tuition only.
I really do not see the point of this program. I mean if I could go there, I would probably do it. But the people that get admitted there have such impressive backgrounds, they could also break into banking immediately.
I've done considerable research regarding this topic when I was applying to my MFEs a few years ago. First of all, the MIT program is far too new and hasn't established the reputation needed to justify the costs. The program is just piggybacking off of the MIT brand, and hasn't developed it's own presence in the MFE space. For that reason alone, I don't think it's worth it - yet. As far as these quant MFins/MFEs go, I think Princeton, Berkeley and CMU are your best bet.
Also, 70K base is extremely low for a top notch MFE/MFin. Even Baruch has better numbers than that. The average starting base in Toronto is about 80K.
Big diff between an MFE and an MSF.
Majority of of MIT MFin students are looking for quant/trader roles, so it's only fair you compare it to MFEs also. Same goes for Princeton MFin.
Agree in general, but the MIT and Princeton programs are much closer to MFEs than MSFs.
That isn't what the placements look like to me. A lot of people went into banking and consulting. If you want to get into a quant role MIT doesn't offer enough math or programming
Princeton is close to an mFe, mIT will get there.
Their summer session is 100% mandatory if you did not go to MIT undergrad. Believe me, I tried everything.
Why don't you just do CFA instead?
I believe MIT had an MSF for a while, but only opened it to non MIT undergrads in 2009.
MSF is much shorter than a CFA, provides you a new network and rebranding, and gives you access to OCR. Also, an MSF will help you break into banking, a CFA wont.
CFA does help you to break into ER, just like CFP help ppl break into wealth management, it will at least help you to get an interview especially if you are not from the top schools. And if you already passed CFA L2 or L3, when interviewer ask you to value a stock you definitely got more confident and knowledge than a new MSF grad.
CFA will help you break into ER. I am talking about banking.
The CFA and an MSF are two entirely different things. An MSF will have you doing DCF modeling, LBO modeling, Black Scholes, portfolio management, research, etc. You will study things covered on all 3 levels of the CFA as well as many other topics. You will also participate in OCR, networking, speaker series, competitions, on and on.
Also, an MSF will ABSOLUTELY place you as an associate if you have 3+ years of relevant experience. MIT's MSF has placed in associate roles, Princeton's MSF and Villanova has one experienced student going into an associate role at a BB firm.
Trust me, when it comes to an MSF, my word is pretty good.
MIT is very expensive. I think you can get where you want from less expensive programs. With that said, the MIT brand is worth a shit ton. I love Villanova, but I would never, ever tell someone to save money and not get MIT on their resume. The classes you take are only a small part of the overall experience. Also remember, the placement stats you are seeing are last years. This years class is being placed now and from what I am hearing, it is rather impressive. An extra 30-40K is completely worth it if you get into GS or JPM. In 30 years of a career that 30-40K is a drop in the bucket.
You will not be able to get into an associate position at a bank through this program. I've had a banker tell me "I don't get why people get the MFin degree at MIT to try to get into banking. It's not going to happen."
Have a good shot at risk or research though.
IMO not worth it. You shouldn't have too much of a problem getting interviews from other top programs at a fraction of the cost.
I'm pretty sure the GAO just ruled that the CFP was a misnomer so I don't know if that would be very helpful
I can't believe you guys are comparing a master's from MIT with a CFA. MIT is one of the most prestigious institutions on the planet - a place where legends like Jim Simons and other insane hedge fund masters were made.... a CFA is something run of the mill accountants working in auditing at big 4 get so they can transition to mid-level positions in asset management....
I don't want to keep dissing on the CFA because I've heard directly from smart, motivated people that they learned a lot getting a CFA... and I also know financial it makes a let of sense compared to an MBA and all that... but it's not a master's from MIT... it's not even a master's from a big ten school --- it's just a certification.
Umm, you don't have to be rich to be expected to contribute to your education. What if your parents have 3 kids and make 150K combined? You think Harvard is going to give you a free ride? 150K with 3 kids is also not that "ballin". School is expensive regardless. Frankly, who gives a fuck where someone went to school. The point is, paying 100K for a top brand on your resume and a chance to break into a very high paying career is worth it considering the amount of money people pay for other top brand schools.
Talk about not getting the point.
They won't give you a free ride, but they will subsidize it. Also, in most cases parents help ease the burden of debt for UG...you're on your own for Masters.
My response was aimed at him/her comparing Masters financing and UG financing. Note I didn't diss on his education or his program - I just said Stern doesn't have great aid.
Many MSF program offer fellowships or research assistant position. MIT will probably roll something similar out once their program gets more established.
At any university, the expectation is that a Masters (be it in Math, Finance, or Gender Studies) is self-financed. Universities make this very clear. While you are right, and a very small number of fellowships are handed out, research assistantships are almost exclusively reserved for PhDs.
I have nothing against a Masters (and might consider getting one myself in the future), but I don't think it's fair to say you can hope to get funding for it.
Okay, so I compared red apples to green apples, so what? Some parents don't contribute a dime to undergrad expenses. Yes, I go to Stern genius. Not that hard to figure out, nor do I take any pains to hide it. Excuse me for turning down Ivies or better ranked schools. "Better" is subjective, and there were some highly motivating factors in my decision. It's turned out alright so far.
And yeah, thanks for proving your e-peen is bigger with that cheap shot, you really roasted me. ^__^
Are you referring to me saying the other schools mentioned have better aid or are just plain better? If the former, that's a fact...live with it. If the latter, I never said Stern was a worse program. I also honestly don't give a rat's ass you turned down better programs for Stern...good for you, and good job on randomly defending your decision.
Yes, you are sort of true. With that said, my class gave out 4 fellowships and some grant money. This years class has 4 fellowships. Many schools offer some assistance. Yes, it should be self funded and that is the expectation, but there is money to be found. Regardless, 30-40-50K to break into investment banking is chump change when all is said.
Also, outside of banking, the MSF will pass for an MBA. F500 doesn't care and if you work for the government you will get a pay bump for having a graduate degree.
Of course the MSF does not cover ever single thing all three levels of a CFA does. The MSF also does not take 2.5-3 years at best to complete. The MSF also covers things not on the CFA which is why it is much more practical for banking.
Also, you can come in as an associate with a MSF. You can't say the same for a CFA.
Both are great to have, no reason to compare them.
I like this thread. Entertaining banter.
This post is random hating mixed with me trying to refute wrong shit about MSF programs. Either way it is good since it just drives traffic to my site and keeps people talking about MSF programs.
I was going to say this ANT you must love all this MSF talk people know your word pretty solid when it comes to MSF yet they still try to argue. Funny to read.
I was going to say this ANT you must love all this MSF talk people know your word pretty solid when it comes to MSF yet they still try to argue. Funny to read.
I don't know 100% about MSF programs, but I sure as hell know a lot. Not only have I always wanted one, I have one and have a site focused on the topic. Add to the fact that I am on 10 websites constantly talking about it and probably answer 20 emails a week on the subject.
Or love to spout off about it in person too, haha.
And I'm not sure what the other kid is trying to say and I'm really jetlagged from my flight and can't deal with this at the moment.
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