I think he does understand it what he meant is that he can't predict the fluctuations in the market thus it's basically gambling. And no matter how much academia he does he can never predict something of that scale. Teaching provides more stability rather than investing hours and hours reading Patterns f for something so uncertain. Thus it's better to be a professor. Most who actually benifit from stock market are rich. You can be a shareholder in your own company and grow it it. You can scam customer like Wells Fargo and get rich. Or you can grow it time through diverse stocks ( index funds). But usually will require lots of time and most importantly a looot of money. Lesson of the day: it's complicated
It's sad that your professor put it that way. It's misleading because it's misleads people to think people are professors because it's a life of luxury when in reality they just love what they do.
@@MrGrenade121 it as a joke referencing when they had to testify to Congress because they were making fake accounts to lie to investors that so many new accounts were being made thus increase their stock prices. If there stock prices increase there millions of currents stocks would be worth more. I'm not sure which bank is the most secure I would be lying if I tried. But Im not sure wells fargo is the best option after watching all the congress footage
The problem with Bear and Lehman, wasn't that they didn't have plucky grads in their Risk Management Department, it was that regardless of who was there, they were ignored.
swuuggs qualifying you comment yourself as you work at a bulge bracket... nice. Wow man you really are something lol. Same with you Alhussein you guys seem to be top tier elite guys. Hats off to you both and thank you for blessing the RU-vid comments with your qualifications and wit. Truly honored lol
Carlos His trading record really doesnt matter because he was there thanks to his academic merit, which may not be relevant to his trading track record.
@Damnit Bobby You do not understand the difference between buyside and sell side trading. Banks don't trade directionally for profit, they trade client orders and have to mitigate risk in the process. The buyside like a quantitative hedge fund takes directional trade to profit. It doesn't make sense to ask a bank risk manager/trader to show his personal trading records because that's not what banks do..
@Lawrence L. My point was how good people skills and abilities can get you higher than diploma/some unique math/eco/programming knowledge. Nothing else.
I have an MFE from NYU, I work in corporate finance in a big tech company.. The degree is pretty useless to get into banks and only a few make it because you will compete with actual Quant PHD's and mathematics degrees.. It's an overpriced finance degree, you can get the same material for half the price.. if you still want to make it there I suggest certificates, they are cheaper and almost same result.
I guess they use the degree to break into the industry, which is much difficult to do with certificates. I do agree that all the material is not worth the price they pay
But u said the main reason why ppl wont make it is because we are competing with Phds and mathematicians. If we gonna downgrade to just certificates, thats way worse isnt it?
This was an awesome reply @Mo 7. I just graduated with a finance degree from the University of Arkansas Walton Honors Program. I’m currently applying to a few graduate programs because I’ve decided staying in school may be my best option at this very moment in the economy. Corporate finance has always been one of my hopeful “end goals” for my education, I think I wrote about it in my scholarship essays around 5 years ago haha. Would you care to specify what certificates I should focus on achieving to strengthen my resume for future employment in corporate finance?
@@obscure913 Who? Me? Lolno. I've actually had trouble capitalizing all my networth into the market in a manner that gives me what I consider "acceptable risk exposure", so I've started switching over to real estate and precious metals as far back as 2018. So, yeah, that's performing ridiculously well right now. I could literally stop day trading if I wanted, but I'm a bit addicted to it. If you know you can make money, it's hard to pass it up.
I don't like it how they don't even have enough seats to support everyone who want to take the course. Either restrict the amount of people who can register for it, or move it to a bigger classroom. I mean damn this is Columbia, even my current university doesn't have this problem. It just feels unprofessional to me, like the students aren't valued at all.
i am a columbia student. This happens because the waiting list of a course can be over 100 students, and most people on the list will show up anyways. However, Columbia have shitty classroom is a undeniable fact
Ironic to see myself on this video. I'll admit im one of the lucky ones (started as a kid of a low class family just barely making it to become an army veteran and a wall street trader) but I cant say that all those guys had it so easy. They worked hard to get to the school at Columbia and believe it or not most did not make it to become the bankers that this clip would lead you to believe. Its easy to judge but difficult to relate that goes for all people
@@grsslgcy32 I made millions selling subprime commercial real estate loans as CDOs and let's not forget CDO squared instruments to banks who ate them up like the sucker they are... Nah, i'm still grinding it as a trader. Not doing anything silly just honest to goodness relative value trading lol.
The video is fairly miss leading. Most financial engineering graduates don't end up creating derivatives or make $150,000 right out of school, even in NYC.
+Andrew MacFie they work in consulting, risk management, corporate finance, marketing, and a variety of other business jobs. The statistics, math, and programming are easily applied to other jobs and industries.
Original map of Mexico I agree with you. I also thought they would make a lot because they are ivy league students. Some do go on to million dollar jobs however it isn't very common.
I was seriously watching that video because I am a normal quantitative finance student until the very end when I heard POPPY HARLOW, PEWPEWPEWPEWPEWPEW
These guys have starting salaries higher than the guys working in IB. If you get into the top funds, you're making 2x to 3x of the guy doing IB at a bulge bracket.
Wall Street is generating billions of dollars for ordinary shareholders (people like you and me). Medicine and engineering isn’t the only way to help people.
Medicine is a difficult path and you don't really earn anything until you are in you 30s. Engineering doesn't make you as much money as hedge funds either.
I didn't say risk management was wrong. I was implying that risk management today is essentially the Fed's printer. What's the point of risk management when you have the Fed backstopping all of these equities that have no business coming back so quickly. Anyhow, if you are educated in risk management at a top institution like that one, then congratulations. You have the tools necessary to get a good job or trade on your own account with great skill.
I feel sorry for these kids, the jobs just aren't there. Maybe in 2001 but the banking world has moved on, nobody wants silly derivatives anymore. Banking is no longer sexy. If you want to change the world, work in a tech company or do something you enjoy for a reasonable amount of money and be happy (happy people generally have fewer problems in life, money included). If you want to wear a suit, work in wall street. I was a 'quant'/financial engineer now I run a tech company... all that being said, wall street was a good way to earn a bit of cash without much hard work in the beginning of my career, for that opportunity I am grateful, but still, I wouldn't recommend it, least not long term as a career.
I studied finance major and I know what the finance is. We do not need so many people in finance. Engine of world economy is engineering technology, not finance. It is insane to borrow physics and chemistry concepts to finance. How can people use the same concepts in total different fields?
Warren Buffet has already given us some rules for good return in stock investment. If students want to be a good investor, just follow Warren Buffet advice. It is wasting money and time to go to school to learn this craft!
These posts against students going into finance are wrong in my view. I can confirm that finance is an important component of the American economy and fosters economic growth. I hold an economics graduate degree.
Wish I could study this, too bad my Math skills are doomed for life. Plus Compsci is such a headache as a newbie. Not to mention I never even reached Calculus in High School. I blame inequality
Why America always feels the need to exaggerate? I am math finance student working as a quantitative analyst in an index company in Europe and even without too much of an experience I can tell you something: "Financial Engineer", "Data Scientist", "Quant", "Megamind" or whatever the hell you want to call it are not a specific job, but a huge collection of different ones.
There are many more soul sucking jobs out there that people take and keep for years simply because they wouldn't know how to progress in their professional careers.
@@rmstitanic8607 I mean if making money brings you fulfillment, then go for it I guess. I just think there are greater and better things in life. The measure of a man is not the size of their bank account.
There is probably a demand for brokerage customer service, though. Pay's probably not 6 figures, but there will always be demand so long as work-at-home stock traders exist and/or grow in number.
Was working for a bank this 2008 era, scary time but very interesting especially with obama coming in.. 24 yrs old just making my bones and in comes AIG "too big to fail"
@@-scrim You can find the caucasians in the gender studies class. No shit that the high paying majors are full of Asians. There's a reason why they're the wealthiest demographic. They're not idiots.
Major in "business" or finance --> 5 figure salary Major in statistics or computer science --> at least 6 figure salary Learning "business" isn't profitable anymore. You need to learn something concrete and difficult now to make money, like math.
Trading stocks and learning by 'winging it': 7+ figure salary It helps to know how business deductions work, as well as knowing how to file for corporation status.
Let's suppose you did it and have all the knowledge, how are you going to be employed as a Quant then ? unless you're applying it for yourself no Quant oriented bank is going to hired you , even those MSc struggle to get job as Quant as they compete again PhD Math and Physics guy so just imagine your case...
Warren Buffet has already given us some rules for good return in stock investment. If students want to be a good investor, just follow Warren Buffet advice. It is wasting money and time to go to school to learn this craft!
Jing Yun He Don't be butthurt, let people follow their passions and interests. By the way, Mr.Buffet INVESTS (not the same as trading) in quantities around the millions which not many do. People like you always told me bullshit like "drop out of finance" or "why are you wasting your time doing that program" and I didn't listen to them. Now it feels great to have a 700K/year income as company CFO. Think before you comment, please.
So many Chinese! looks like a little China Town that classroom!. Chinese are good at maths and hence they do well in Financial Engineering and Quantitative Methods. Also reveals that the balance of economic power is shifting away from the USA.The 21st century will be an Asian Century where nations such as South Korea, Singapore, China(including Hongkong) and Taiwan shall dominate markets and money centers.
