Just what exactly is Financial Engineering and what does it entail? Better still, why is it termed engineering in the first place? The financial industry has been relying mainly on experts from various fields such as Statistics, Mathematics and Engineering in order to acquire necessary technical expertise to solve problems. Generally, however, it has been recognized that people are much more trained to solve financial problems if they have additional knowledge in finance and economics enabling them to fully understand the role of financial instruments within the broader economic and business context. Financial companies are calling on experts in the area of risk identification, risk modeling and mitigation to help them respond to increased regulation and public pressure to manage financial risk. Further, the industry expects future employees to be able to understand financial theory, to develop dynamic models and innovative products including programming their own developments.
It is in the backdrop of these urgent needs that JKUAT’s College of Pure and Applied Sciences (COPAS), Department of Statistics and Actuarial Sciences came up with a Bachelors of Science Degree program in Financial Engineering. The course is an integrated program that enables a student to solve a financial risk/problem holistically. It is thus basically a multidisciplinary field involving financial theory, the methods of engineering, the tools of mathematics and the practice of programming.
The program aims to prepare a student for a career as a Financial Engineer, concerned with the construction of models and application of financial theory and instruments in formulating solutions to financial problems as well as exploring financial opportunities. Students undertaking the course use statistical methods to identify, quantify and develop various strategies to mitigate against financial risks. They also study topics in areas of economics, marketing, mathematics of investment and finance, risk management, insurance and accounting. The interdisciplinary format of the course is what gives it an exclusive cutting edge in comparison to the rest.
Graduates of this program can find employment in the following fields among many others;
- Commercial banking
- Investment firms
- Insurance industry
- Investment management
- Risk management areas
- Financial consultancy
The programme takes a total of nine semesters, where a student is required to take 12 units in each year. In addition, each student is obligated to take 3 compulsory units and one Faculty unit in the first year of study. Each student is also required to undertake practical attachment for a period of not less than 8 weeks after the end of the eighth semester. Financial Engineering is a full-time program and is conducted during normal semester durations.
The following shall be eligible for admission considerations, into the degree programme;
Kenya Certificate of Secondary Education (KCSE) applicants with a mean aggregate of at least C+ (plus) and at least C+ in both Mathematics and English.
OR Credit in University Bridging Mathematics and C+ in English.
Kenya Advanced Certificate of Education (KACE) or A-level equivalent applicants with at least 2 principal passes, including Mathematics.
Holders of Diploma in Applied Sciences with at least a credit pass in relevant subjects from an
Institution recognized by the University Senate,
A holder of other qualifications recognized by the University Senate as equivalent to the I and II