Description
The finance theory field that addresses the combination of applied mathematics, computer science, and financial theory aimed at calculating and forecasting different financial variables ranging from the creditworthiness of a debtor up to the performance of securities in the stock market.
Alternative labels
fiscal engineering
finance engineering
Skill type
knowledge
Skill reusability level
cross-sector
Relationships with occupations
Essential knowledge
Financial engineering is an essential knowledge of the following occupations:
Credit analyst: Credit analysts investigate credit applications from customers and evaluate if the applications comply with regulations and guidelines of the financial loan-granting institution. On the basis of credit analyses they advise financial institutions whether customers are loan worthy. They perform tasks such as collecting data on the loan applicant, aquire additional information from other departments or institutions and indicating what sort of agreements the financial institution should reach with the credit applicant. Credit analysts also follow up on the development of the credit portfolio of clients.
Optional knowledge
Financial engineering is optional for these occupations. This means knowing this knowledge may be an asset for career advancement if you are in one of these occupations.
Brokerage firm director:
Brokerage firm directors organise the activities and the people involved in securities trading. They envision strategies aimed at increasing the efficiency of asset trading with a focus on profitability. They may also advise clients on appropriate trades.
References
- Financial engineering – ESCO
