Programmes

MSc Finance and Economics

  • Graduate taught
  • Department of Finance
  • Application code LN43
  • Starting 2019
  • UK/EU full-time: Open
  • Overseas full-time: Open
  • Location: London

The MSc Finance and Economics draws on the School's strengths in economics, finance and econometrics to impart a rigorous and deep understanding of financial markets, grounded in financial economics and econometric methods. 

This interdisciplinary degree, taught jointly by the Department of Finance and the Department of Economics, offers exceptional graduates from quantitative disciplines the opportunity to study in two of the most highly rated departments in their subject areas in the world.

The programme is unique in that students are taught not only how to apply and use various well-known models, but also to understand the technical foundations underpinning these models. As a result, students gain the highly marketable ability to alter, amend, empirically test and adapt the models to new market environments. As well as developing their understanding of financial economics, financial econometrics, microeconomics and macroeconomics to a very high level, students will further specialise in two areas of finance. The tools, techniques and deep understanding that you take from the courses are directly applicable to a wide range of real-world financial and other situations.

The research and teaching which informs the intellectual core of the programme enables you to examine financial markets through in-depth analysis based on financial and economic theory and statistical methods. You will learn about investments, asset pricing, derivatives and financial engineering through the coherent lens of financial economics. Through the carefully tailored range of optional courses, students can gain exposure to corporate and international finance, portfolio and risk management, as well as specialised modelling skills including programming in MATLAB.

Programme details

Key facts

MSc Finance and Economics
Start date Pre-sessional course begins late August 2019
Application deadline None – rolling admissions. However please note the funding deadlines
Duration 10 months full-time only (see Bologna process)
Applications 2017 1,163
Intake 2017 50
Availability UK/EU: Open from October
Overseas: Open from October
Tuition fee UK/EU: £28,056
Overseas £28,608
Financial support Graduate support scheme (deadline 26 April 2019), Sudipto Bhattacharya Scholarships and the MSc Finance and Economics Conversion Scholarship for Engineering, Mathematics and Sciences
Minimum entry requirement 2:1 degree or equivalent in a quantitative subject, with at least a year of calculus and semester of linear algebra
GRE/GMAT requirement GMAT or GRE is required for all applicants without a UK undergraduate degree and it is recommended for applicants with UK undergraduate degrees who did not achieve or are not expected to achieve a first class degree
English language requirements Standard (see 'assessing your application')
Location  Houghton Street, London

For more information about tuition fees and entry requirements, see the fees and funding and assessing your application sections.

Programme structure and courses

Programme overview

The Department of Finance enjoys a pre-eminent reputation for the excellence of its teaching and research. Our diverse faculty and student body come from across the globe, providing a rich environment in which to research and study finance, ensuring that we continue to rank alongside the most highly-rated Departments in the world.

Students on the MSc Finance and Economics programme are required to complete courses to the total value of four full units, comprising three full-unit core courses and two half-unit optional courses.

Pre-sessional programme

All registered students will participate in a compulsory pre-sessional programme in August 2019. This combines academic preparation with professional development workshops and events.

Academic training
Students will take part in the EC400 Introductory Course in Mathematics and Statistics (before the main term-time teaching programme starts). The course includes treatment of dynamic programming, continuous time dynamic optimisation, quadratic forms, Kuhn-Tucker theorem, joint and conditional probability distributions, Gauss-Markov assumptions and maximum likelihood estimation, amongst other topics.

Professional development
Students will participate in careers skills development sessions delivered by in-house and external professionals. The programme also includes networking and social events  with alumni, a City Speaker Series of interactive talks from leading finance professionals and preparation for technical finance interviews. The programme is designed to enable students to be ready for the competitive financial services sector job market.

Courses

You will take the following three units' worth of compulsory courses and will choose options to the value of one unit from a range of courses within the Departments, allowing you to tailor your programme to your interests. You will also write a 6000 word dissertation in place of an exam in one of your optional courses. You will also undertake a mandatory preparatory course in probability and stochastic calculus to complement the material taught in Financial Economics.

Financial Economics (taught entirely in first term)
Examines investors' behaviour, market equilibrium and asset pricing.

Financial Econometrics (taught over two terms)
Looks at the techniques of empirical investigation in economics and finance.

Either
Microeconomics
 (taught over two terms)
Develops the basic tools for analysing problems of resource allocation used by economists.
Or
Microeconomics for MSc F&E*
Develops the basic tools for analysing problems of resource allocation used by economists working in research, government and business
And
Macroeconomics for MSc F&E*
Focuses on the main characteristics of business cycle fluctuations with a special emphasis on what happened during the financial crisis and different macroeconomic models to study business cycles.

Courses to the value of one unit from a range of options

Optional courses

Dedicated courses (Finance students only)

Fixed Income Securities and Credit Markets
Topics in Portfolio Management
Financial Engineering
Risk Management in Financial Markets

Non-dedicated courses (open to non-Finance students)

Forecasting Financial Time Series
Quantitative Security Analysis
Applied Corporate Finance
Entrepreneurial Finance
International Finance (dissertation only)

You can find the most up-to-date list of optional courses in the Programme Regulations section of the current School Calendar. 

You must note however that while care has been taken to ensure that this information is up to date and correct, a change of circumstances since publication may cause the School to change, suspend or withdraw a course or programme of study, or change the fees that apply to it. The School will always notify the affected parties as early as practicably possible and propose any viable and relevant alternative options. Note that that the School will neither be liable for information that after publication becomes inaccurate or irrelevant, nor for changing, suspending or withdrawing a course or programme of study due to events outside of its control, which includes but is not limited to a lack of demand for a course or programme of study, industrial action, fire, flood or other environmental or physical damage to premises.

You must also note that places are limited on some courses and/or subject to specific entry requirements. The School cannot therefore guarantee you a place. Please note that changes to programmes and courses can sometimes occur after you have accepted your offer of a place. These changes are normally made in light of developments in the discipline or path-breaking research, or on the basis of student feedback. Changes can take the form of altered course content, teaching formats or assessment modes. Any such changes are intended to enhance the student learning experience. You should visit the School’s Calendar, or contact the relevant academic department, for information on the availability and/or content of courses and programmes of study. Certain substantive changes will be listed on the updated graduate course and programme information page.

Professional Development Programme

Overview

The Department of Finance runs an extensive Professional Development Programme alongside the Academic programme in order to support and prepare students to enter the job market. Starting in the pre-sessional course in August, students are given a wide range of careers support, from CV workshops and application advice to sector overviews and opportunities to meet and network with recent alumni who are working in London.

We run a number of events to best prepare students for the competitive financial services sector job market:

Introduction to careers in Finance

City Speaker Series

CV and cover letter workshops

Consulting case study course

1-to-1 CV checking

Networking skills session

Job application form skills session

Presentation skills workshop

Preparation for finance technical interviews

Alumni panel and networking reception


Technical Interview Prep Workshop

This workshop is designed to introduce students to the corporate valuation methodologies that are most often presented to them during finance interviews.  Using an intensive exercise-based approach, the workshop covers finance concepts, reinforces them through problems, and then integrates them into interview question drills.

All students are given access to crash courses in accounting and excel, which is particularly helpful for students who have not had internship experience. The course as a whole also provides a useful grounding for the corporate finance parts of the programme.

Presentation Skills Workshop

Delivered by a professional corporate coach who is also a comedian, this interactive workshop gives students the tools to communicate with impact, influence and confidence.

Teaching and assessment

Teaching timetable

Lectures and classes are usually scheduled between 9.00-19.00, Monday to Friday. The format of teaching for MSc Finance and Economics core courses  is a two hour lecture followed by aseparate one hour supporting classe. Some lectures include group presentations. Lectures can vary in size depending upon the course. Classes usually have 15-20 students, and are either taught by the course lecturer or tutorial fellows. Students on the MSc Finance and Economics programme have on average 11 hours of contact time per week during the teaching terms.

Assessment methods

Examinations: Most exams at LSE take place during the Summer Term. The Summer exam period takes place from late April until early June. The exam timetable changes each year and is released by the School in the Lent Term. MSc Finance & Economics students also have January exams which take place in early January.

Summative work: Some Finance courses contain a coursework element which contributes to the final course grade. At LSE this type of coursework is called 'summative assessment'. Different courses set different types of summative work. Some courses require weekly submission of problem sets (or 'homework assignments' and/or 'class participation') which all make up a small percentage of the final grade.

Formative work: At LSE any work which is set but does not contribute towards the final course mark is known as formative work. Formative work is used to inform students how they doing on the course and if they are understanding the concepts taught in lectures. Some formative work is informal, via the setting of problems sets that the lecturer will work through in the next lecture, however most courses will also ask for a piece of work to be submitted and then graded. This is usually to prepare students for the summative assignments.

Academic support

All academic faculty schedule weekly office hours in which any student may visit them to discuss academic issues. In some cases students may be able to arrange a time to meet with a member of faculty outside of their office hours.

The MSc Finance & Economics Associate Programme Director acts as the main academic and pastoral supervisor for all students on the programme.

The Associate Programme Director works closely with the Programme Director and the Programme Manager, and is able to advise students on general issues regarding the programme. In addition, she has extensive experience of the financial services sector, enabling her to provide a high level of careers support.

There are also many opportunities to extend your learning outside the classroom and complement your academic studies at LSE. LSE LIFE is the School’s centre for academic, personal and professional development. Some of the services on offer include:

How to read effectively

Academic writing and critical thinking

Developing leadership skills

Study/work/life balance

Preparing for the world of work

Cross-cultural communication and teamwork

LSE is committed to enabling all students to achieve their full potential and the School’s Disability and Wellbeing Service provides a free, confidential service to all LSE students and is a first point of contact for all disabled students.

Careers

Graduate destinations

Graduates of the Department have excellent career prospects relative to their peers. Our MSc programmes prepare students for a range of careers in investment banking, consulting and the wider financial services sector, as can be seen in the Department of Finance Employment Report.

Graduates of the MSc Finance and Economics programme go on to work in challenging jobs in a variety of organisations around the world. Examples of the types of organisations include investment banks, central banks, economic and strategy consulting firms, professional services firms and financial boutiques.

In addition to the internationally recognised research environment and academic rigour of its teaching programmes, a great advantage of studying at LSE is the reputation it holds amongst employers for producing high level graduates. 

Selected employers this year

     The Brattle Group       

Bank of America Merrill Lynch  

      Nera      

          Oxera             

   McKinsey & Company

            European Central Bank

  Bank of China 

Bank of England

   China Asset Management Company    

HSBC

Nomura

Selected employment locations

London                       

Shanghai                         

    Istanbul     

    Sao Paolo     

       Paris 

Beijing

PhD study

Each year a number of graduates are accepted into top PhD programmes in the UK, US and Europe. Some students choose to take a pre-doctoral research position after graduation and commence a PhD later.

Selected institutions for PhD study (last 3 years)

 LSE

Harvard

    Wharton      

       McGill         

 ESSEC             

   Northwestern       

Imperial College


Departmental Careers Support

The Department of Finance offers an in-depth Professional Development Programme for our students, in order to help develop your skills and assist you in your job search. See the Professional Development Programme section on this page.
 

LSE Careers

LSE Careers is a far-reaching resource available to LSE students and alumni, and is one of the best in the UK. Once registered at LSE you will be able to access the variety of resources and services it provides. These include:

Recruitment fairs

Company presentations

   Interview and application skills sessions   

  Personal careers meetings  

CV checking

Advice sessions

LSE is very fortunate in attracting the top recruiters in many sectors which enables the careers service to run an LSE-exclusive vacancy board full of internships, voluntary, part-time and graduate positions. In many cases, recruiters actively target our students and only choose to visit certain university campuses.

During the Michaelmas Term it is likely that there could be a careers presentation or event that you wish to attend every day of the week.

Work Placement Pathway

One of our unique offerings for students on the MSc Finance & Economics programme is our Work Placement Pathway. The Work Placement Pathway gives students the opportunity to fully integrate a summer internship into their programme. This extends their programme duration to 12 months, rather than the 10 months for the standard pathway.

How to participate: Students enrol onto the MSc Finance & Economics programme as normal and have until the beginning of Summer Term to secure a summer internship and request transferral onto the Work Placement Pathway. Students on the Work Placement Pathway are required to submit a 2,000 word essay in early September after their placement, in order to be eligible for graduation from the programme in December.

Alumni stories

Find out what some of our recent graduates have to say about the programme, studying at LSE, life in London, and much more:

         Sarah Ridout                                       

Sarah Ridout
BA Philosophy, Politics and Economics, University of Oxford
Now a PhD Candidate in Economics, Harvard University

I came to the programme straight out of undergrad because I planned to pursue a PhD in economics or finance. Previous professors had told me that the MSc Finance and Economics programme at LSE would provide a good foundation for PhD work (and a good chance of admission if I did well). This turned out to be true.

While at LSE, I was impressed by the commitment of the faculty and administration to help each student get where he or she wanted to be at the end of the year, whether that was a top PhD programme or a good job in industry. I would advise future MSc Finance and Economics students to go to the faculty when they need some guidance about the programme or their future. I received some excellent advice from professors at LSE, who went out of their way to be helpful even to students they had not known for long.

 Jaime Gimeno Ribes

Jaime Gimeno Ribes
Master of Science in Civil Engineering, Polytechnic University of Valencia, Spain
Now at European Central Bank

Working in Spain and in the USA in infrastructure finance gave me an international perspective on capital markets and investment decisions in the context of the infrastructure industry. My curiosity to develop an indepth understanding of financial and economic issues, on a global scale, attracted me to the MSc in Finance and Economics.

I was awarded a Conversion Scholarship for Engineers to attend several Summer School courses before the start of the programme. These were key to enabling me to get to grips with the core courses quickly. Looking back the programme provided me with a good integration of knowledge on financial markets and macroeconomics, which is extremely helpful for my work at the ECB, where I need to understand the interaction between monetary policy and money markets.

 Maham Ashfaq

Maham Ashfaq
BSc Economics, Lahore University of Management Sciences     

The MSc Finance & Economics programme has widened my knowledge of economics and finance, allowing me to analyse financial and economic situations in a much more critical way. The programme, with its wide range of courses, is a perfect fit for both students who want to pursue a PhD and for students who want to pursue a career in the financial/corporate sector.

The Department faculty and administration, together, personally invest time and effort to make sure that each individual  student’s objectives of being in the programme are fulfilled.

MSc Finance & Economics is a 10 month programme which ends much sooner than you expect. Studies, job search, seminars, class activities and assignments will keep you busy throughout. However, amidst these busy 10 months don’t forget to enjoy LSE and London, and engage in as many out of class activities as possible.

Currently I plan on returning to Pakistan to pursue a career in research and academia. Later on I intend to pursue a PhD.                           

You can read more student and alumni stories on our student profile page.

Assessing your application

Minimum entry requirements

Undergraduate degree

Upper second class honours (2:1) degree or international equivalent in a quantitative subject such as economics, maths, physics, engineering, or finance. Your training must include at least a year of calculus and a semester of linear algebra. (See international entry requirements)

Admission to this programme is very competitive. In previous years, the majority of students accepted into the programme had obtained 1st class honours degrees or the equivalent.

Even if you meet the minimum entry requirement, this does not guarantee you an offer of admission. 

Quantitative skills

Applicants should have studied at least a year of calculus and a semester of linear algebra. 

Where appropriate, applicants may be offered a fully funded place at the LSE Summer School in order to develop their knowledge of microeconomics and/or econometrics prior to the start of the programme.

GMAT/GRE

GMAT or GRE is required for all applicants without a full three-year UK undergraduate degree. A GRE or GMAT is recommended for applicants with UK undergraduate degrees who did not achieve or are not expected to achieve a first class degree. Test scores must show a strong performance in the quantitative segment.  More about GRE/GMAT

Professional experience

Work experience (either through internships or full employment) is not a pre-requisite; however, applicants who have some professional experience should include this in their application.

English language

You may also have to provide evidence of your English proficiency, although you do not need to provide this at the time of your application to LSE. See our English language requirements


We welcome applications from all prospective students who meet the mininum requirements for this programme.  We seek to recruit students with the very best academic merit, potential and motivation, irrespective of their background. We carefully consider each application on an individual basis, taking into account all the information presented on your application form, including your:

    Academic achievement

     Additional test scores

   Two academic references   

   CV    

    Personal Statement

See further information on supporting documents

You should note that there are always many more applications than places available and possession of the minimum entrance requirements does not guarantee that you will be offered admission. It is therefore in your interests to apply as early as possible.

When to apply

Applications for this programme are considered on a rolling basis, meaning the programme will close once it becomes full. There is no fixed deadline by which you need to apply, however we encourage you to apply early to avoid disappointment. Details on how to apply.

To be considered for any LSE funding opportunity, you must have submitted your application and all supporting documents by the funding deadline. See the fees and funding section for more details.

Fees and funding

Tuition fees 2019/20 for MSc Finance and Economics

UK/EU students: £28,056
Overseas students: £28,608

Every graduate student is charged a fee for their programme. The fee covers registration and examination fees payable to the School, lectures, classes and individual supervision, lectures given at other colleges under intercollegiate arrangements and, under current arrangements, membership of the Students' Union. It does not cover living costs or travel or fieldwork.

Fee status

The amount of tuition fees you will need to pay, and any financial support you are eligible for, will depend on whether you are classified as a home (UK/EU) or overseas student, otherwise known as your fee status. LSE assesses your fee status based on guidelines provided by the Department of Education.

Fee reduction

Students who completed undergraduate study at LSE and are beginning taught graduate study at the School are eligible for a fee reduction of around 10 per cent of the fee.

Scholarships and other funding

The School recognises that the cost of living in London may be higher than in your home town or country, and we provide over £11.5 million in scholarships each year to graduate students from the UK, EU and overseas.

This programme is eligible for needs-based awards from LSE, including the Graduate Support SchemeMaster's Awards, and Anniversary Scholarships

Students on this programme are also eligible for the Sudipto Bhattacharya Scholarships and the MSc Finance and Economics Conversion Scholarship for Engineering, Mathematics and Sciences.

Selection for any funding opportunity is based on receipt of an application for a place – including all ancillary documents, before the funding deadline.

Funding deadline for needs-based awards from LSE: 26 April 2019.

In addition to our needs-based awards, LSE also makes available scholarships for students from specific regions of the world and awards for students studying specific subject areas. 

Government tuition fee loans and external funding

A postgraduate loan is available from the UK government for eligible students studying for a first master’s programme, to help with fees and living costs. Some other governments and organisations also offer tuition fee loan schemes.

Find out more about tuition fee loans

Further information

Fees and funding opportunities

Contact us

If you have any questions about the academic programme or admissions process please check our frequently asked questions page, or contact the Department of Finance Admissions team at finance.admissionsenquiries@lse.ac.uk.

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