Switching from physics to finance

[dumbperson]

Hey everyone.

I'm currently doing my Master in Theoretical Physics, because I like to study physics, but I don't want to have a career in physics. Right now I'm looking at a career in (quantitative) finance. I don't have any knowledge of it yet. Does anyone have any tips on making this switch? (Such as recommended books, etc.)

Thanks :)

 

[andrewkirk]

I studied maths, physics and computer science at uni, then embarked on a career in finance by doing a post-graduate qualification as an actuary.

If you are doing quantitative finance a core part will be understanding derivatives pricing. The 'bible' of the subject is John Hull's 'Options Futures and Other Derivatives', which I would strongly recommend. A good supplement to that, being somewhat more mathematical and relating the stochastic processes being discussed to fundamental results of measure theory, is Baxter and Rennie's 'Financial Calculus'.

Emmanuel Derman, a physicist who switched to finance and succeeded, wrote a book about it 'My Life as a Quant: Reflections on Physics and Finance'. I haven't read it, but I'm told it's quite good

 

[Locrian]

You could search for TwoFishQuant's old posts. In some ways they may be a bit outdated now, but they should still give you a lot of flavor for what the switch to a quant involves.

 

[mpresic]

I have John Hull's Finance book and it looks very good although Finance is not my area.

 

[dumbperson]

Thanks for the suggestions everyone. I'll check them out.