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MSc Risk and Stochastics

About the MSc programme

This programme provides high-level training in probability theory and statistics for random processes with applications in the areas of insurance and finance and their interface. It includes a comprehensive and unified approach to all quantitative aspects of modern actuarial science. Students receive rigorous training in mathematics and scientific computation and are introduced to a range of schemes for risk transfer, sufficiently broad to equip them for highly specialised work in insurance, pensions, investment, and banking and for independent research in these areas.

The programme is mathematically advanced and suitable candidates will normally hold a first class honours BSc degree in actuarial science, statistics, mathematical economics or mathematics. This should include training in analysis and linear algebra, with rigorous proofs, and probability theory at the level of our third year undergraduate course Stochastic Processes.

Your application should be submitted as early as possible and must include:

  • a personal statement, no longer than 150 words, outlining your reasons for wanting to study Risk and Stochastics
  • course descriptions and reading lists for advanced courses in mathematics and statistics in your degree (either held or pending)

Please note that the Department of Statistics requires references to be submitted with your application form from at least one person who is familiar with your academic achievements. Normally, this will be a tutor from your current or previous academic institution.

Programme details

Each MSc student has an academic adviser who is available for guidance and advice on academic or personal concerns. The compulsory courses lay the foundations in advanced stochastic models and methods and give a broad introduction to theories of risk exchange in insurance and finance. Students can choose options in statistics, mathematics and finance.

Compulsory courses

(* half unit)

Students will be expected to choose courses to the value of one and a half units from a range of options.

You can find the most up-to-date list of optional courses for MSc Risk and Stochastics 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, some circumstances may cause the School to subsequently change, suspend or withdraw a course or programme of study, or change the fees that apply to it. 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 circumstances outside of its control. You must also note that places are limited on some courses and/or subject to specific entry requirements. The School cannot therefore guarantee places on its courses. 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.

Graduate destinations

The programme offers excellent prospects for employment and further study. Students can gain employment in the finance or insurance industries. They can also go on to do a higher degree. The Department has good relations with the financial services industry, particularly insurance and professional bodies.


Application code: G4U2 (check availability)

Start date: Mandatory pre-sessional course begins late August 2016

Duration: 10 months full-time, 22 months part-time (10 month master's programmes are not compliant with the Bologna process which may affect the extent to which they are 'recognised'. For more information on Bologna, please see Bologna process)

Intake/applications in 2014: 16/208

Minimum entry requirement: First class honours in actuarial science, statistics, mathematical economics or mathematics (see entry requirements)

English requirement: Standard (see English requirements)

GRE/GMAT requirement: None

Fee level: UK/EU: £24,936; overseas £25,440

Financial support: Graduate Support Scheme (see Fees and financial support)

Application deadline: None

A photo of Reine El Bitar, an LSE student