Strategists create mathematical models, trading strategies, and software tools and libraries to drive trading decisions. They provide quantitative business analysis to develop financial products, trading strategies, and risk reduction methodologies.
Their goal is to improve traders’ understanding of risk and to identify market opportunities. Models may address securities already on the books or about to be bought or bid on.
People in strategy and modeling often acquire special knowledge and facility in equity, credit, or interest rate derivatives, mortgage-backed securities, or other asset classes. They write documentation and contribute to the model-certification process and work with traders, quantitative strategists, controllers, and IT staff, among others.