What kind of math is used when studying finance at university?
I know Finance is a program that is heavy on math but what kind of math are you generally learning? I heard you dont learn algebra, thats for sure. Can anyone help me?
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It’s called Accounting. Little real Math is involved.
A lot of accounting classes and also statistics
Well, algebra is the basis for all maths. In fiance, there are a lot of complex formulas to find out interest rates, net investments, payments over time etc.
Overall, it’s mostly a cross between calculus and algebra. Take a situation, plug in numbers, get the result, and interrupt.
bring a chinese abacus. or one of those extra huge calculators
It depends on the level of finance.
The introductory classes use algebra and a little bit of statistics. Some of the more advanced classes — like Futures & Options — will use a little bit of calculus, but not much. To do portfolio theory right, you would need some matrix algebra (linear algebra), statistics and would need to know some optimization theory.
For an MS in finance, you would need calculus, linear algebra and statistics. For a PhD in Finance, you need almost as much math as someone getting a PhD in Math.