M.S.F.E. provides only part of the training experts will need as they work to analyze, price, and invent the innovative products that modern personal, corporate, and global finance will demand. Training in financial engineering that can lead to creation of new knowledge in the field is appropriately achieved through the depth and breadth of study undertaken in the pursuit of the Ph.D.

The Admission Process. The Ph.D. has a limited and highly selective enrollment. We do not admit students directly into the Ph.D. program. Students interested in the Ph.D. should apply for admission to the M.S.F.E. program first, following the application requirements for admission to that program. Upon completion of at least 24 credit hours of coursework toward the M.S.F.E., a student may apply for admission to the Ph.D. program. Application decisions are based on the M.S.F.E. application file, evaluation by the admissions committee of the student’s performance in the M.S.F.E. Program and potential to be successful in the Ph.D. program, and assessment of the capabilities of the program and its faculty to appropriately meet the educational needs of the applicant for Ph.D. The program does not provide assessments of the likelihood of admission to the Ph.D. in advance of the formal application. Students interested in a formal application to the Ph.D. in Financial Engineering should access the Change of Degree or Field Form() on the Student Records web page.

Course, Exam, and Dissertation Requirements. The Ph.D. in Financial Engineering follows the general rules for the granting of Ph.D.s at CGU as set forth in this Bulletin, and requires 72 units of coursework, directed research, and independent study. All financial engineering Ph.D. students are required to first complete the 48 unit M.S.F.E. program at CGU with at least a 3.0 GPA, take two advanced (300 level) mathematics courses as part of their M.S.F.E. electives, and pass two written preliminary examinations: one in the mathematics of finance (based on the four M.S.F.E. core courses in mathematics), and one in advanced finance (based on the four M.S.F.E. core courses in finance). Upon successfully completing these examinations, the students will be required to take an additional 24 units of advanced coursework, independent study, and directed research in mathematics and finance. The mathematics courses must include, in addition to the core courses from the M.S.F.E. program, Advanced Numerical Analysis (MATH 368 ) or Numerical Partial Differential Equations (MATH 362 ); Advanced Stochastic Calculus with Financial Applications (MATH 358B); and either Time Series Analysis (MATH 351 ) or Econometrics III (ECON 384 ). During completion of the final 24 units, students will be required to pass their last two preliminary examinations: one based on their advanced coursework in mathematics, and one based on their advanced coursework in finance.

Upon completion of the last two written preliminary examinations and the 72 total units, students will then prepare for and take the oral qualifying examination. The oral qualifying examination is administered by the qualifying committee to examine the student’s preparation for research in his or her chosen area of financial engineering. Upon successful completion of the oral qualifying examination, the student is advanced to candidacy for the Ph.D. At this time, the student forms a dissertation committee and, under the direction of the committee, carries out the research outlined in the oral qualifying examination. The completed dissertation is defended before the dissertation committee.

A student must maintain an average grade of B or better in all coursework to qualify for the degree. A student whose grade point average falls below a B and who does not make satisfactory progress may be placed on academic probation and is subject to being dropped from the program upon faculty review at any time during the course of study. Grades below B- are considered by the program to be unsatisfactory and requiring of remedial action, as determined by the academic directors in mathematics and finance.

Transdisciplinary Course Requirement

All students who enter the doctoral program after the fall 2004 semester are required to complete the transdisciplinary course requirement within the first two years of their program. For details on the requirement, see the “Doctor of Philosophy Degree ” section in this Bulletin.