Tinbergen Institute – Research Master Finance Marius Mihai

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Statement of Purpose

In this essay, I am going to thoroughly explain what motivated my decision to continue studying

finance at a graduate level, and why I believe Tinbergen Institute (TI) will be an excellent choice

to develop as a financial economist. The research master at Tinbergen represents my immediate

priority as I am prepared to put forth my best efforts to succeed, and become part of an amazing

organization of researchers, and scholars whose reputation precedes them worldwide. I strongly

believe I have all the tools necessary to succeed in your program, but above all, I am focused,

driven, and ready to work very hard to earn my research master in finance, and eventually my

doctoral degree in a prosperous academic environment such as Tinbergen Institute.

I started my undergraduate career in finance at the University of New Orleans in the fall of 2008.

The curriculum looked very appealing to me, because it consisted of a series of finance and

economics courses that matched my long-term academic interests. During that time I took

classes in Microeconomics, Macroeconomics, Money and Banking, Corporate Finance,

International Finance, Investments, Derivatives Analysis, Capital Budgeting, and other relevant

electives that gave me a thorough introduction to both economics, and finance. Taking a plethora

of courses in these areas sparked my interest further and incentivized me to continue my studies

at a graduate level. I have a penchant curiosity in understanding the origin of many of the

financial economics models I was introduced to in my undergraduate career. The classes I would

take in the Research Master at Tinbergen Institute would expand on this theoretical base and will

give me the knowledge necessary to conduct my own academic research.

In addition to the coursework, my research experience was another strong incentive in deciding to pursue a research master in finance. In fact, the first time I developed a strong interest for financial economics was at the end of my internship in the summer of 2011. Chaffe & Associates is a boutique investment bank in the New Orleans area. I was one of the few people in my class to land an investment banking analyst internship with their firm. Throughout the summer, my duties included financial valuations, estimation of capital structures, revenue forecasts and research reports for a wide array of clients operating in a variety of industries. Most of my research was empirical, and utilized almost all of the financial models I learned in my undergraduate career. The learning curve was astronomical in the first half of the summer. However, as I progressed through the internship, I realized that some of the models were limited, and that they could be improved through the use of academic research. For example, a more accurate revenue forecasting model would yield a more accurate valuation. I became aware that improving the forecasting model is contingent upon a strong set of skills in econometrics, and a solid connection to the most current academic research. Tinbergen Institute is known to have a strong tradition in econometrics, and I aspire to learn from that tradition. At the end of the internship, I had a clear long-term goal in mind: to better my research skills, and apply them in an academic setting. Another major research experience that reinforces my motives to pursue the finance research master was at the Division of Business and Economics Research (DBER), at the University of New Orleans. Professor Janet Speyer, who taught my first microeconomics course, played a very

Tinbergen Institute – Research Master Finance Marius Mihai

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important role in my decision to continue studying finance and economics at a graduate level. After I did well in her class, I was offered a Student Research Assistant position in DBER, which she was directing at the time. I worked there throughout my entire undergraduate career, and also while I was taking courses in mathematics at the University of New Orleans. I gained valuable experiences in the economic analysis and forecasts of tourism, and sporting events. My performance in the department secured me a full time position in February of 2013. As a Research Analyst, I had the opportunity to broaden my knowledge and improve my research skills on the numerous projects I had been assigned for the past year and a half. All of the work I have done triggered new research interests in applied microeconomics, macroeconomics and econometrics. One example would be the input-output analysis I used so extensively in computing the economic impacts of various events in the New Orleans area. One of my most important projects include the Economic Impact of the Super Bowl in 2013. Another relevant example is the time series model I created to forecast employment in the New Orleans area. This is included in the New Orleans Metropolitan Report, which provides a general overview of the local economy, and a quick snapshot of the national economy. Our department publishes the report on the website for the general public every quarter. Right after I joined DBER as a Research Analyst, I enrolled in the Master of Mathematics at the University of New Orleans. I knew that although my undergraduate education fitted my target field of study very well, a research master in finance is very quantitative at its core. Hence, I saw the need to improve my quantitative background. While working full time as a Research Analyst, I took a series of advanced mathematics and statistics courses to obtain a solid preparation for my future graduate studies in finance and economics. I managed to maintain a perfect GPA (4.0) in the master’s program while working full time, and taking classes such as Mathematical Statistics, Time Series Analysis, and Advanced Calculus along with many other data analysis courses. I also developed strong skills in a series of statistical software such as SAS, SPSS, and Stata. These are only a few examples of how my research and educational experiences provide a good match for my endeavor to pursue a graduate degree in finance. After about two years of full-time work experience and extended coursework in economics, finance, mathematics and statistics, I am ready to pursue my research master in finance. I truly enjoy working in an academic setting, as my long term goal is to earn a doctoral degree in finance from Tinbergen Institute. Financial Economics, Applied Microeconomics, Macroeconomics and Econometrics are some of the fields I would like to pursue in the graduate program, and I think it matches very well with the research that is currently done at your institution. I am motivated, hard-working, and determined to embark on a new journey in my finance career. I can effectively handle pressure as I proved by holding a full-time job, while doing well in the Master of Mathematics. Tinbergen Institute provides a top notch academic environment that is highly competitive but very rewarding. This is the place where I can succeed, develop into a top academic researcher, and become part of one of the greatest network of alumni worldwide.