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Financial Economist

Bank of America
Scottsdale, AZ - United States

Financial Economist for the Option Valuation Consulting line of theEquity Methods Consulting Practice. 

The Option Valuation Consulting area of our practice specializes in valuing a variety of share-based compensation instruments, ranging from "plain vanilla" stock options to awards containing market conditions. This area of our practice serves over 300 clients, including many Fortune 50 firms, and is frequently engaged in shaping industry best practices with audit firms and regulators. As a key member of our most mature practice area, you will have an immediate opportunity to begin adding value and supporting further growth by assisting in assumption derivation, custom Monte Carlo valuation development projects, custom algorithm development, and other ad hoc research initiatives. Assumption derivation projects focus on computing key valuation inputs for purposes of valuing plain vanilla stock options in either the Black-Scholes formula or a variety of lattice models. Monte Carlo valuation projects involve the custom development of a Monte Carlo simulation model to value an award containing a market condition. If you have a strong grounding in quantitative finance, econometrics, and programming (preferably in SAS), enjoy problem-solving, and have a collaborative client-focused mindset, then we would like to meet you and give you the opportunity to learn more about our practice. Our specialty is the accounting, finance, and economics surrounding equity compensation. While not all our professionals came to us with a background in equity compensation or consulting, all share our cultural values: solving complex problems thoughtfully and working with project stakeholders to create value for clients. 

About the Equity Methods Consulting Practice 

A wholly owned subsidiary of Merrill Lynch, Equity Methods serves a diverse clientele primarily consisting of Fortune 1000 companies. We are strategically partnered with some of the largest financial institutions and work closely with Big 4 and other large public accounting firms. Our academic affiliates have provided key guidance to the FASB and SEC as they formulate policy regarding FAS 123R and equity accounting. We provide valuation and accounting solutions in the equity compensation space with a particular focus on the various compliance challenges created by Statement of Financial Accounting Standard 123 Revised (SFAS 123R), SFAS 128, and SFAS 109. Our practice is constantly performing research to expand our offerings into new areas valued by our client base. Equity Methods' consulting practice and academic affiliate team include some of the nation's foremost experts in valuation and accounting. Members of the practice are given stimulating engagements that involve analysis and presentation to senior-level finance and accounting executives at client firms and managers/partners from Big 4 audit firms. Including both junior associates and seasoned individuals with decades of research and practitioner experience, the team is a diverse group of bright, thoughtful, and collaborative professionals. The Financial Economist will support in some or all of the following roles:

  • Lead in valuation consulting engagements, which require competencies in financial modeling (using SAS), critical data analysis, and quantitative finance. Specifically, these projects involve mastering the firm's option-pricing techniques, and then leveraging this experience to lead client engagements aimed at recommending valuation methodologies for employee stock option valuation. Most projects focus on the estimation of the expected life, forfeiture rate, and volatility assumptions.
  • Lead in advanced valuations of complex derivative securities. These projects entail the development of a custom Monte Carlo simulation model for each derivative security requiring valuation. Our practice is industry-leading through our focus on rigorous econometric modeling and programming
  • Job summary

    Employer:

    Bank of America

    Location:

    Scottsdale, AZ, United States

    Education:

    Master's Degree

    Sector:

    Finance Economist

    Salary:

    Job Type:

    Permanent

    Hours:

    Full-Time

    Posted:

    9th March 2010

    Apply By:

    7th June 2010


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