High School

Take as many math classes as are available. Accounting, business, economics, and computer classes will be helpful as well. Computer classes are recommended for future work in using databases and spreadsheet software to analyze financial information and create reports. Also be sure to focus on developing your research and writing skills, which will be useful for conducting investment research and writing and presenting investment recommendations.

Postsecondary Training

Most financial quantitative analysts have a bachelors degree in accounting, business administration, economics, finance, or statistics. Other majors include communications, international business, and public administration. Some companies may hire analysts with degrees in other disciplines, providing they have mathematical ability. Relevant courses include business, mathematics, economics, statistics, computers, communications, and English. Some employers may prefer to hire quantitative analysts who hold a masters degree in finance or business administration.

A growing number of colleges and universities offer degrees in quantitative analysis. Based on a study of peer assessment survey of undergraduate business programs that are accredited by AACSB International, U.S. News & World Report says that the following quantitative analysis programs are the best in the United States: Massachusetts Institute of Technology, Carnegie Mellon University, University of Pennsylvania, University of California-Berkeley, University of Michigan-Ann Arbor, University of Texas-Austin, Georgia Institute of Technology, Cornell University, New York University, Purdue University-West Lafayette, and Washington University in St. Louis. Visit https://www.usnews.com/best-colleges/rankings/business-quantitative-analysis for more information.

The International Association for Quantitative Finance offers a list of programs on its Web site, https://www.iaqf.org/academic-programs. It also provides an extensive list of student resources at https://www.iaqf.org/student-resources.

Certification

Some colleges and universities and for-profit education providers offer undergraduate and graduate certificate programs in quantitative analysis and related fields. These programs typically last six months to a year and are available in online, in-person, and hybrid formats. One example is the graduate certificate in quantitative finance that is offered by Fitch Learning (https://www.cqf.com). Learning modules include Building Blocks of Quantitative Finance; Quantitative Risk & Return; Equities & Currencies; Data Science & Machine Learning I & II; Fixed Income & Credit; and advanced electives. Contact schools in your area for information about available programs.

Other Education or Training

Education for financial quantitative analysts is ongoing as they must stay up to date on industry developments in such areas as international trade, state and federal laws and regulations, and computer technology. Associations such as the Association for Financial Professionals and the CFA Institute offer education and training for financial professionals.

Certification or Licensing

Financial quantitative analysts may receive certification as a chartered financial analyst (CFA) from the CFA Institute. Many employers require analysts to hold this designation. The CFA examination consists of three levels covering topics such as corporate finance, economics, financial statement analysis, and portfolio management. Preparation for each level of the test may take six months. The CFA Institute reports that the average candidate takes three to four years to achieve the CFA charter. Before taking the first exam, candidates must meet one of the following entrance requirements:

• have completed a bachelor’s program or equivalent program and received a degree
• be a current university student who is within 23 months from completing their undergraduate degree
• have a combination of 4,000 hours of work experience and/or college/university education that was acquired over a minimum of three sequential years and achieved by the date of enrolling for the Level I exam

Other organizations that offer certification programs include the Association for Financial Professionals, Chartered Alternate Investment Analyst Association, Investment Adviser Association, Investments & Wealth Institute, and Global Academy of Finance and Management.

Some firms may require that senior-level analysts have a certified public accountant license. Analysts who work as financial services brokers must meet licensing requirements to practice in the field. The Financial Industry Regulatory Authority (http://www.finra.org) is the primary licensing organization for the securities industry.

Two to three years of experience as a junior financial quantitative analyst is required for quantitative analyst positions.

Strong research, organizational, and written and verbal communication skills are essential for this position. Analysts conduct in-depth research, gathering information from a wide variety of sources and then analyzing and organizing this information into charts, tables, reports, and presentations that clients and employers can understand. Analysts must be able to compare data, study numbers, and arrive at conclusions in order to make recommendations for investment options that are in the best interest of companies. They must be detail oriented, accurate, and able to share their findings and ideas effectively. Strong reading comprehension is needed as much of the work involves reading reports and data and retaining this information. The work can be stressful, with long work hours, massive amounts of information to wade through, and deadline pressure. A flexible approach to work is helpful. Analysts work independently as well as with teams of people, so good interpersonal skills are also important.