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Santander Case Study

¹û¶³Ó°Ôº IXN and Santander: determining risk in global banking

Can artificial intelligence be used to predict financial risk? ¹û¶³Ó°Ôº Computer Science students explored this project with Santander on the ¹û¶³Ó°Ôº Industry Exchange Network (¹û¶³Ó°Ôº IXN) programme.

Santander has worked with ¹û¶³Ó°Ôº master's students for over six years through the ¹û¶³Ó°Ôº Industry Exchange Network (¹û¶³Ó°Ôº IXN). ¹û¶³Ó°Ôº IXN enables students, as an integrated part of their course, to gain invaluable experience working with industry partners.

Santander takes on around 15 students a year from the Computational Finance and Financial Risk Management MSc courses. From June to August, the master's students work full-time on their dissertation projects, supported by a technical mentor within Santander and a supervisor at ¹û¶³Ó°Ôº. Their projects focus on computational and mathematical techniques applied to risk in banking. Recent subjects include sentiment analysis for credit rating, reverse stress testing using Gaussian processes and artificial data solutions for neural net imbalanced data.

¹û¶³Ó°Ôº IXN brings clear benefits to the students, but the industry partners gain immensely from the programme too. Together, the students and Santander explore projects of mutual interest. The bank wants to investigate specific problems, and they may ask students to confirm an existing idea or tackle something completely new. Santander is impressed by the technical skills and enthusiasm of the ¹û¶³Ó°Ôº students, and the matching process that ensures they are a good fit for the bank. What's more, they are not only a useful resource at the time, but they are also potential employees.

“We regard the IXN programme as a 'win-win' situation. ¹û¶³Ó°Ôº wins because theÌýstudents gain industrial experience of a 'real problem'. We win because theÌýstudents can explore (and sometimes solve) a problem that is relevant toÌýwhat we do. Both sides can benefit from what we think of as aÌýthree-month longÌýinterview.

Dr  Peter  Mitic - Head of Operational Risk Methodology UK, Santander UKÌý

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To learn more about partnering with ¹û¶³Ó°Ôº IXN, contact ¹û¶³Ó°Ôº Computer Science's Strategic Alliances Team