Thread by @SAH16928046

Which is a better career option, an #MBA in finance or financial risk management?
I am not an admirer of the MBA Degree Program. So I think I should not be answering this question per se.

But, let me give it a try.

MBA is a professional qualification, unlike MA / MSc / MS / MPhil Degree programs.
How you will benefit from an MBA degree, is entirely up to your understanding of the challenges emerging in the workplace.

MBA Finance is neither a fish nor fowl qualification.
If you would like to learn financial theory, derivatives, risk and economics, you will be better off by doing a proper MS or MSc in Financial Economics or Applied Finance (Financial Engineering).

If you would like to work as an Auditor, Management Accountant, Cost Controller, Financial Accountant or even a basic Financial Analyst in the Capital Markets, you would be better served by some other competing professional qualifications, which are widely available in the market

MBA Finance might be helpful for those who would like to rubber-stamp their practical experiences on their resume!
Many senior managers, and even directors, end up with an #MBA degree because that is mandatory for promotion and progression.

If you think case studies are helpful? why not! go for it.

But….. remember ->

I would not advise you to do a UK / British MBA. An American or a Canadian MBA is much better because it is theoretically more rigorous!
A two-year degree enables you to take more courses in a given field of specialization.

British #MBAs usually end up within a one-year time frame.
Also, the amount of time wasted on writing a Mini Thesis/dissertation is a great waste of resources and energy.

Most #MBAs do not progress towards PhD level research, and hence, this academic requirement might not be very helpful, or productive for an aspiring manager.

In the UK, the University of London's lead college, the LBS MBA degree, stands out!
It's a broad and intellectually challenging program. Also, it is not a standard one-year degree, which implies you can take more electives in Finance.

MSc / MA / MS and other postgraduate degrees in FRM - Financial Risk Management are a recent addition to university portfolios.

Some of these degrees are very good and may help you find a risk modelling or assessment role at financial institutions. Others may move into consulting, training, policy-making or even decision-making at the highest level.

But the chances are that FIs will remain the largest employers of FRM Financial Risk Management Degree/Certificate/Diploma Awards.

The problem with a degree in #FRM is the problem with the perception!

The problem with a degree in #FRM is the problem with the perception!

That FRM Financial Risk Managers are best suited to serve banks, funds, insurance companies, brokerage houses, exchanges and hedge funds. This to me is a drawback. Most of us move in and out of industries as demand declines or improves elsewhere.

With a very specialized Risk Finance Degree, you might end up in the Back or Middle Office of a bank or a fund for a donkey number of years.

Front office roles are normally taken up by Sales, Business Development, Corporate Marketing aka Relationship Management Professionals.

Q.1. But if you like to work as a Risk Finance Specialist?

Ans: So you would be better off with a degree in MSc FRM, not an MBA!

Downside Risk: High concentration in a given sector of the economy like FI and overspecialization leading to a back office or MO controller position.
Thereby reducing job switching or rotation opportunities.

Q.2. An MBA in Finance?

Ans: Alright, if you would like to fulfil professional standards.
Also, some people like to interact and share their experiences with others in a classroom environment.

A World-class MBA program(which does not come cheap at some USA - #Ivy League Universities or #INSEAD in Paris or even at the
@LBS ) might help you to attain that level of personal satisfaction.

Downside Risk: Way too general and might not help you to specialize in Finance or Risk Management in the same way, Theoretically weak and exposes the candidate when they engage in higher-level argument, where academic rigour is required.

Also, the professional nature of education and the degree by itself, is not very helpful, i.e. if you would like to pursue a #PhD in #Finance or Risk later onwards!
Most universities would not entertain your academic application.

By the way, I am not a great fan of doing this Narcissist @Harvard Business School styled #MBA Program, where they make use of Case studies!

A complete waste of time in my opinion.