What does a Quantitative Analyst do?

Many Quantitative Analysts perform statistical research for commercial banks, investment firms, hedge funds, insurance companies and other financial institutions. Their reports and presentations inform key decision-makers on new avenues of investment that could be profitable, how to price securities and strategies for risk management.

As a result, Quants Analysts help drive the financial success of the institutions that employ them. Some Quantitative Analysts work for financial tech companies, developing core algorithms that allow financial software programs to work properly. These Quants Analysts are integral to the product development process.

Quantitative Analyst skills and qualifications

Some desirable qualifications you may consider adding to your Quantitative Analyst job description include:

• Mastery of advanced mathematics, such as statistics, probability theory, linear algebra, differential equations and calculus

• In-depth understanding of financial markets and financial risk management

• Extensive knowledge of computer programming languages, such as C++, R, SQL and Perl

• Computer skills to utilize programming environment, statistical, presentation, word processing, spreadsheet, database and other software programs

• Analytical skills to interpret complex data and arrive at meaningful conclusions

• Writing skills to craft concise reports

• Verbal communication and presentation skills to share findings and collaborate with financial professionals

• Problem-solving and critical thinking skills to refine algorithms during the testing process

Quantitative Analyst experience requirements

During their education and training, many prospective Quantitative Analysts develop portfolios of their previous work. For entry-level positions, Hiring Managers may prioritize the quality of these portfolios over work history when evaluating candidates. To succeed in a Senior Quants Analyst position that involves supervising other Analysts or primarily independent work, you may prefer hiring candidates with several years of experience in quantitative analysis.

Quantitative Analyst education and training requirements

A Certificate in Quantitative Finance (CQF) granted by the CQF Institute.

Job description samples for similar positions

If this Quantitative Analyst job description doesn’t align with the details of your open position, explore these related job titles:

• Finance Manager

• Financial Analyst

• Research Analyst

Quantitative Analyst job description FAQs

What’s the difference between a Quantitative Analyst and a Qualitative Analyst?

Quantitative and Qualitative Analysts perform research that helps their employers make key business decisions, but the nature of their work differs. Quantitative Analysts focus on financial markets and trading strategies, developing and testing algorithms using mathematics and computer programming. Also called Qualitative Research Analysts, Qualitative Analysts assess the subjective opinions of customers and the general public by conducting focus groups, interviews, surveys and social media trend assessments. They provide recommendations related to marketing, product development and other topics.

What is a Quantitative Analyst vs. a Financial Analyst?

Quantitative Analysts and Financial Analysts often collaborate. A Quants Analyst performs research that helps financial institutions develop broad trading, pricing and risk management strategies. Financial Analysts evaluate individual securities to determine whether they fit into an institution’s trading strategy. Their work generally relies on Quants Analysts’ recommendations.

What’s the difference between a Quants Analyst and a Financial Engineer?

Quants Analysts and Financial Engineers have related roles. A Quantitative Analyst develops and tests algorithms and models to assess trading strategies and analyze financial markets. Financial Engineers integrate the finished work of Quants Analysts into software and mobile applications that Financial Analysts and other financial professionals can use to implement completed models.

What qualities make for a quality Quantitative Analyst?

A successful Quantitative Analyst is typically interested in finance, computer science and mathematics. People who enjoy problem-solving may enjoy a Quants role. A commitment to lifelong learning is also important, as Quants Analysts must typically stay up-to-date on the financial markets and the latest developments in trading theory and finance technology.