Ms in Financial Engineering vs. MBA in Finance?

Question

A few weeks ago I was on a train studying for the GMAT, this grad school recruiter for the MS Financial Engineering program at NYU-Poly was trying to sell the program to me. I was going to go for an MBA in Finance. He basically said that it was better than an MBA because you can't get a job with an MBA now. I wasn't going to apply yet anyway, so I don't know how the economic situation now will make that much of a difference. Still I wanted to know about your thoughts on an MS vs. MBA and Financial Engineering vs. Finance. I know that Financial Engineering is not the same thing. Anyone know about job prospects and salary for financial engineering. Thanks!

pittgreek · Answer

MBa finance : U know 1 miles wide stuff with 1 feet deep knowledge . ( 
MS in FE .. u know 1 feet stuff with 1 mile deep knowledge.

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GmatNY86 · Answer

Thanks, I'm trying to interpret that and having some trouble.

lsmba · Answer

Specialist (finance) vs. generalist (mba)

FWIW, a friend & VP at a fund was telling me I should definitely get a masters in finance rather than an MBA. Unfortunately, I'm not that big on a career in finance, so I passed - but it depends on your career goals.

GmatNY86 · Answer

Thanks. So an MS in Finance is better if you want to go into finance? However, I think it would in fact be valuable to have a general education at the MBA level. Even something like marketing that I know pretty well considering it was my major, I would love to take an MBA level class in it.

Although this is in financial engineering. Anyone know about this field? Also is it actually easier to get a job in?

richardkliao · Answer

I did an MFE at one of the Ivy League school, and I am now working in a bulge bracket banks on the wall st. - not in M&A though

I would say that if you just want to get your feet into wall st- and sure in this economy is not an easy thing, MS in Financial Engineering gives you a better credential compared to some 21-year-old kid straight out of college.

However, this is just to get your foot into the door. From what I am seeing here, people with VP levels above, about 80% of them all have some big titles MBA....

Hope that gives you some idea.

GmatNY86 · Answer

Thanks for your help.

futurestrategist · Answer

my two cents:
MS in FE at a top 5 school will get you into wall street in a research role dominated by Phds.
MS in FE at an okay school may not get you into wall street.
PhD in FE/Finance will get you into wall street in research.
MBA in a top 5 school will get you into wall street if you're good in research, trading, or M&A.
MBA elsewhere may not help you get into wall street.

bholakc · Answer

I am also confused between MS Finance and Master of Financial Engineering!. If I go for MFE, then how about the placement? Actually, its a big money we need to contribute. Any suggestion ? Which is better MS Finance or Master of Financial Engineering?

thaihoang305 · Answer

thank for sharing !!

martin70 · Answer

I believe one has to be extremely careful in selecting a good  one-year MBA  school as most probably you are leaving your current job in search of better one after the completion of course.

MSFHQ · Answer

MBA's are great for older applicants, those looking to switch industries, those who didn't study business during undergrad and want to learn it now, those who are looking for a business refresher, those who are looking for a management role. Top MBA's provide you with an amazing network and recruitment opportunities at all the best firms.

MSF degrees tend to be for younger applicants, more junior in their careers. It is focused entirely on graduate level finance so it is best for those looking to work in the financial sector. If you are interested in the CFA then the MSF would make sense. The program is still pretty new so you might have to explain it to some employers, but the flip side is it is usually cheaper and quicker to complete than an a MBA. It also leaves the MBA option open for later on in your career.

Think of it as a mini-rebranding. Most MSF programs in the US are at very good schools with finance recruiting and alumni. You can go, do a year, increase your skills and network and change your career trajectory. As we know with MBA applications, where you work is very important. A good MSF and job after can make that T15 MBA possible.

MFE degrees are basically grad engineering degrees with a finance overlay. Some schools offer more math, some more programming, but you are essentially trained to be a quant. You can of course apply for non-quant roles, but most graduates go into some type of "quant" role. The degree has been around longer (or at least is more prominent) than the MSF currently so you'll have less of an issue "telling your story". That being said, you need more math skills to go into and succeed in one of these programs so many people self select out.

What you choose is really a function of your UG education, what you want to do for a career and what you enjoy doing.

Ms in Financial Engineering vs. MBA in Finance?

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