Write about Financial Engineering.(50 words)
Answers
Answer:
Financial engineering is a multidisciplinary field relating to the creation of new financial instruments and trading strategies. It is the process of employing mathematical models, financial theory and computer programming skills to make pricing, hedging, trading and portfolio management decisions. Financial engineering aims to precisely control the financial risk that a strategy or a financial product takes on.
Question ⤵️
Write about Financial Engineering .
Answer ⤵️
Financial engineering is a multidisciplinary field involving financial theory, methods of engineering, tools of mathematics and the practice of programming. It has also been defined as the application of technical methods, especially from mathematical finance and computational finance, in the practice of finance.
Work done by a financial Engineer ⤵️
Financial engineers test and issue new investment tools and methods of analysis. They work with insurance companies, asset management firms, hedge funds, and banks. Financial engineering led to an explosion in derivatives trading and speculation in the financial markets.