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Math at Work Monday: Susan Weiner the Chartered Financial Analyst (CFA)

One of the things that excites me the most is seeing someone make a living out of their passion.  I had the privilege of interviewing Susan Weiner today.  She has been in her profession for more than 20 years and is living her passion.  She’s a freelance financial writer and author of Financial Blogging: How to Write Powerful Posts That Attract Clients.  She blogs atInvestmentWriting.com/blog. I highly recommend that you check out her work. First, let her tell us a little bit more about what she does and how it involves math.

Can you explain what you do for a living? (Be specific!)

I write and edit white papers and investment commentary for financial firms. You know how some people have great ideas but lack the time or skill to put them into writing? I interview them—and use their data—to put their ideas into persuasive writing. Some of their data include numbers generated using math.

When do you use basic math in your job? 

I use math when I write investment portfolio performance commentary. If you own a mutual fund, you receive semiannual reports about your fund’s performance. Some of that commentary is based on data called attribution analysis. It identifies which investments contributed to positive returns and which investments detracted. This data is reported in percentages.

Let’s consider an example. A stock fund increased in value by 5% over one year. Where did that come from? How much of that was from specific stocks that the fund manager bought or sold? How much was from overall market growth or the performance of a specific industry? The percentages generated by the attribution analysis software explain which decisions helped and hurt the fund. By looking at lots of these numbers and finding patterns among them, I develop an objective basis to write about why the fund performed as it did.

Do you use any technology (like calculators or computers) to help with this math? Why or why not?

I sometimes use Excel spreadsheets to rearrange the attribution numbers to make them easier to analyze. For example, I may sort the list of stocks so that the largest contributor to performance is at the top, followed by other contributors in descending order.

How do you think math helps you do your job better?

Without math, I wouldn’t have any objective data to inform my understanding of fund performance. With math, I can form and test hypotheses by looking at the data. When I get a chance to interview the fund manager, I can ask questions that test and expand on my hypotheses. The numbers don’t tell the entire story, so it’s important to get input from the professionals who manage a fund.

How comfortable with math do you feel? Does this math feel different to you? (In other words, is it easier to do this math at work or do you feel relatively comfortable with math all the time?)

I don’t love math, but I like how numbers make my job easier by providing insights. I do what’s necessary to obtain those insights.

What kind of math did you take in high school? Did you like it/feel like you were good at it?

I stopped after algebra and geometry. I did not take calculus, although now I wish that I had forced myself to struggle through it. Math did not come easily to me.

Did you have to learn new skills in order to do the math you use in your job? Or was it something that you could pick up using the skills you learned in school?

The skills that I had to learn weren’t mathematical. When I studied to earn my credential as a chartered financial analyst, a credential held by many fund managers, I learned about financial analysis. I also learned about Excel spreadsheets, which help me format the numbers to make them easier to analyze.

Anything else you want to mention?

Don’t underestimate the power of learning to write well about the numbers generated by math. That got me one of my first job offers in college, when my statistics professor asked me to help students in his class. Today, writing about numbers helps me to help my clients communicate better.

It sounds like even if you don’t love math, you can learn to respect it and get along with it like Susan does.  Interested in knowing more?  Let me know, and I will make a connection with Susan for you.

Photo Credit: humbert15 via Compfight cc

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In Math at Work Monday

Math at Work Monday: Amanda the Judicial Assistant

I hope you never have to go to court. But if you do, you’ll appreciate folks like Amanda Tuttle, who is completely dedicated to accuracy and details. As a judicial assistant, her main responsibility is to keep court records, including video and audio recordings. And that takes a little bit of basic math. 

Can you explain what you do for a living? 

I have been in this role for five years, and I keep the court records of all court proceedings by video and audio.  In addition, I run the equipment. I also hold evidence during trials, and I am responsible for transferring that evidence to the property room once the trial or case is complete. I do a lot of data entry.  This entails typing to file for public record and mailing notices as well as orders and entries to individuals and/or attorneys. 

When do you use basic math in your job?

The only basic math I use is telling time and reading the times in my video log to find a portion of a court hearing. [Editor’s Note: This is not as simple as it sounds, since time is in base 60, while we’re used to managing numbers in base 10.]

Do you use any technology (like calculators or computers) to help with this math?

The technology used for this math is on the computer.  However, I do not use it as an aide to read the time.

How do you think math helps you do your job better?

Being able to read time helps me do my job better because I can easily tell time to look for specific portions of the record. I have to do this in order to provide a copy to the judge to make a ruling or to provide a copy to the transcribing company.

How comfortable with math do you feel?

I feel comfortable with basic math. This math does not feel different to me, because I learned how to tell time in early childhood and use it everyday.

 What kind of math did you take in high school?

I took algebra and geometry in high school. I liked algebra, and I did feel like I was good at it. I actually enjoyed it. However, I did not like geometry and was not very good at it.

Are you intrigued by the role of judicial assistant?  I found it interesting to hear about what goes on behind the scenes.  Any questions for Amanda…let me know!

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In Math at Work Monday

Math at Work Monday: Julia the financial aid professional

Any college student who receives financial aid knows the drill. Folks in the financial aid office look carefully at many of the numbers that define a college student’s life — from income to GPA. Financial aid is reserved for those who need the funds the most and maintain good grades, while moving through a degree program in a reasonable amount of time.

Financial aid is also one big reason that some people are able to attend college — and ultimately land a good job in the hopes of remaining financially stable. Julia Dennis just left her job as a financial aid professional for a community college in North Carolina. She offered to share how she used math in her job.

Can you explain what you did for a living? I awarded financial aid (grants, loans, scholarships, and work study) to college students.

When did you use basic math in your job? Mostly adding and subtracting, but also some division and a small amount of multiplication. Here’s an example.

Students are federally required to maintain a 2.0 or higher cumulative GPA and at least a 67% cumulative completion rate. Being able to look at the number of completed versus attempted classes and know at a glance whether the student hit the 67% mark is decidedly helpful. (When it’s close, I always break out the calculator or adding machine to be certain.)  The student also is required to complete their degree in 150% of the allotted time for their program. In other words, if their program is 100 credit hours, they have to complete their degree by the time they have finished attempting no more than 150 credit hours. Math is helpful for that as well.

Did you use any technology to help with this math? Some things I can do without it. For the numbers that look close, I always use a calculator or an adding machine.

How do you think math helped you do your job better? Sometimes students are right on the line. Being able to do the correct calculations to determine their eligibility for aid means the difference between that student going to school or not. In my job, the usefulness of math is a no-brainer.

How comfortable with math do you feel? I’ve always been comfortable with math. I scored higher on the math portion of the SAT than the English, which was weird because English was my favorite subject. I am one of those weird people who actually enjoys balancing the checkbook. I like the preciseness of it.

What kind of math did you take in high school? I took Algebra II, Geometry, Trigonometry and Pre-Calculus. I can’t say I loved it, but I did pretty well at it.

Did you have to learn new skills in order to do the math you used in your job? No new skills required. Most financial aid math involves things you learned in grade school.

Anything else you want to mention?  If math is something you enjoy, then being a financial aid professional is something you might want to consider as a career. On the other hand, it’s important to be good with people too, since so much of being a Financial Aid Counselor or Director is having to give people bad news. You have to be prepared for lots of misplaced anger and a fair amount of stress and overtime.

Stay tuned for more details about financial aid math, along with repaying student loans! 

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In Math at Work Monday

Math at Work Monday: Jameel the financial organizer

Welcome back to Math at Work Monday! (We took time off from this regular feature, so that we could spend more time celebrating Math Appreciation Month.) If you’re new here, each Monday I post an interview with someone about how they use math in their jobs. I’ve interviewed Maryland’s Commissioner of Health, one of my former students who is a glass blower and my sister who is a speech therapist. 

Because we’re focusing on personal finance this month, I thought it would be a great idea to reintroduce you to Jameel Webb-Davis, a financial organizer and budget counselor who helps people get realistic about their finances. 

Can you explain what you do for a living?

I help people get their finances organized.  Sometimes that involves actual bookkeeping work – going into people’s offices, balancing their checkbook, organizing their mail, entering stuff into a computer, generating checks for them to sign, and then making little spreadsheets for them to look at telling them when they’re going to run out of money.  This brings a bit of money which provides time for me to be a budget counselor.

The Budget Counseling is much more fun.  That’s where I sit with people one-on-one, have them tell me how often they get paid, how much they make, and what their bills are, amount due and due dates.  I plug everything into a spreadsheet (it takes about 30 minutes) and then I counsel them around whatever money issues they may have.  Some people are struggling and don’t know how to pay their bills, but most are making good money and don’t understand why it disappears on them.  Most sessions turn into therapy sessions rather than a discussion about making or saving money.

People with a lot of money are just as bad, if not worse, at managing their money as people with a little money.  In fact the amount of money and education you have has nothing to do with how well you manage your day-to-day money life.  It just takes arithmetic and subtraction, but many people find this hard to believe.

When do you use basic math in your job?

I use it every day.  Addition and subtraction.  Easy stuff, but people run from it screaming.  The spreadsheet I designed looks basically like a checkbook register (see it here).  I use it for my own personal finances.  I plug in how much money a person has today.  Then I list all the times the person will have to spend money in the future (date, reason, amount).  Then I list all the times the person is expecting money in the future (date and amount).  Then I sort the list by date.  I’ve basically created a checkbook balance for the future.  This way they can know exactly how much extra money they have or when they’re going to run out of money.

Read the rest of the post here. If you have questions, feel free to ask them here or in the original post. I’ll see them in both places, and I’ll be sure to let Jameel know.

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