Education Level

I understand that while for quant positions, companies mainly hire PhDs; for traders, companies hire all of Bachelors, MFE, PhD, etc.

But do they have a preference?

Also, do people with different degrees (assuming all have 2 years or 0 years experience) get started on similar or different roles?

What would be best in the long run? (assuming all else remains equal and we are just discussing education level so let's not discuss cost-benefit analysis of doing a long degree such as a PhD)

3 Comments
 

If you want to be a quant, PhD is probably your best bet (Math,Stats,etc). If your interested in being a trader it really is all about results and how you do. Banking tends to follow the Bacchelor --> MBA route.

 

Yea Phd is def for the traders. Phd is often overlooked. Think about it. The MBA track is undergrad + min two years experience + 2 years in school. Thats 4 years after undergrad. Phd if you stay focused on your Thesis is 3-4 years after graduation. Oh yea and Phd's in finance often are paid for plus stipend. While you are foregoing the salary you would make out of undergrad, most people blow through this anyways.

2 candidates at the same age. One has Phd and no work experience and one has MBA + work experience. Phd still has edge going forward. Certainly pros and cons and have to like academia to pull through with the Phd.

 

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