SOP Sample for MS in Applied Mathematics - Mid-Career Profile

Statement of Purpose

In my 8 years of experience in the financial industry, I have spent 6 years in quantitative finance. Even though I have been able to splendidly undertake my roles, when executing certain activities, I have felt the need to read more in terms of the mathematics and statistics behind models, so that I can better leverage it to create models that are more complex. I recall the time I was working on a comparison of clustering algorithms (K-means, DBSCAN, and Gaussian Mixture Model) and felt a need to unravel numerous hidden complexities within these algorithms. The project did not allow much time to work on all the algorithms from a first-principle perspective and we had to use a black-box approach to compare the results. This did not make much sense, as we were not sure about the math behind the scenes. Then I implemented these algorithms from a rudimentary level, coding everything up from scratch to understand what goes behind and compared results in a healthier way. It was a nourishing exercise. However, this made me ponder about the scale we can achieve if done from grassroots level. With this realization was born the need to pursue a Masters in Applied Mathematics program from [UNIVERSITY_NAME].

Since I obtained a double major in finance and computer science, several of my courses directly prepared me for the role of a quantitative researcher or a developer. Each course in my major required extensive research and writing. Specifically, my final capstone project in which I had to develop codes, prepare research reports and present them in front of multiple evaluators at different stages. For my project "Intelligent IVRS (Artificial Intelligence; speech-emotion recognition - SER algorithm)", I worked on a SER algorithm based on deep learning algorithm fusion of temporal and spatial features and obtained an accuracy of 80.46%. For my internship, I did a comparative study of gold and price forecast using multiple linear regression method. For this, I had to study the dynamic relationship between gold, crude oil, the US dollar index, and the volatility index (VIX), in collaboration with the research department at [COMPANY_NAME].

I started my professional career with [COMPANY_NAME] and my work here helped me be promoted to Senior Financial Data Associate in just a year. I saw a window of opportunity to work for [COMPANY_NAME] and started working with Asset Valuation and Analytics team. My primary responsibility was the valuation of CRE (commercial real estate) properties in the US. During my tenure, the valuation model was being updated from a deterministic model (Discounted Cash Flow – DCF based) to a probabilistic model (Monte-Carlo + DCF) and I was responsible for user acceptance testing of the model. I noticed the model incorrectly predicting losses for government sponsored deals (Fannie Mae). I suggested an improvement in the model to smooth out shocks from the treasury curve. In addition, I also conducted multiple studies on the impact of store closures on CRE loans. I automated many manual tasks to reduce the TAT and being a B.Tech graduate, I was trusted with frequent technical requests for DB and custom reports via CAS.

I am currently working with [COMPANY_NAME]. I joined here as a Senior Analyst and was promoted twice within a span of three years and have become one of the youngest managers or lead quant analysts here. In 2021, I was encouraged to lead the quantitative research department at the company and have been wearing multiple hats in terms of project lead, client lead, individual contributor, business lead, sales, and mentor. Here, I have also worked in partnership with [COMPANY_NAME] and [COMPANY_NAME]. During this partnership, we created and back-tested several option trading strategies and one of our strategies was under review by NASDAQ to be hosted on their website under the name "Nasdaq-100 Enhanced Protection Strategies".

At [COMPANY_NAME], I have been appreciated for my contributions to the team and organization. I have received Kudos award on multiple occasions and High Honors in lieu of my outstanding performance while working with a US-based hedge fund ([COMPANY_NAME]) for developing their risk management tool, machine-learning algorithms, option strategies. [PERSON_NAME] at [COMPANY_NAME] was very satisfied with the work delivered and has stayed in touch about his new venture with [COMPANY_NAME].

A lifelong learner, I have also cleared FRM (Financial Risk Management) part 1. With the financial industry becoming increasingly competitive, I have always focused on continuous learning to remain competitive. Even though I have achieved considerable success in my professional career, I now wish to widen my horizons and take up SME roles. However, before that, I wish to understand the math behind different financial models and create complex models for this ever-evolving world, and therefore my application to this university that offers a multi-disciplinary curriculum with a problem-solving approach.

I wish to join the Financial Mathematics Research Group, where I can advance my understanding of mathematics within the context of financial markets. While much of our work has direct industrial application, I would also want to work extensively on theory-oriented problems in Financial Mathematics. This includes exploring data, developing corresponding mathematical models, and improving on existing ones. Developing investment strategies that maximize returns and minimize risks, develop approaches for pricing derivative contracts based on future valuations of its underlying assets are some of the things I wish to learn here.

Armed with the knowledge and skills gained at your university, I look forward to working with leading investment banks and financial institutions. In 10-15 years, I see myself taking up the middle or senior management positions and leading my organization towards growth. I believe that this program which offers students a unique blend of theoretical and real-world education will help me successfully rise up to any challenge that I face in the future and I look forward to making the most of my life here.