Having worked for over 25 years in top management positions for several banks and asset managers in Luxembourg. Patrick Weydert has recently joined the Faculty of Law, Economics and Finance (FDEF) as Partnership Development Officer for the Luxembourg School of Finance (LSF). In the following interview Patrick will talk about the importance of academia and industry and their interrelationships.
What makes a partnership between academia and industry successful?
Trust is an essential ingredient needed to build and maintain a strong and rewarding partnership. However, a partnership is successful only when there also is an efficient, transparent exchange of information between both sides. This is why, at the Department of Finance, we have instituted an Advisory Board, which meets at least two times per year. Although it does not have any governing power, the Board serves as a platform for open discussion where University professors can be updated on the practical needs of the sector, and industry leaders can gain insight into the cutting-edge research being done within our department.
One of the ways we can transfer knowledge is through events. In March 2019, we inaugurated our “Academia Meets Industry” conference series with a discussion on macroprudential policy and the housing market.
How can each side benefit from close collaboration?
There are two main axes to our partnership: teaching and research. In terms of teaching, the partnership creates a pipeline from the University to the workplace through internship and summer job opportunities as well as an established Mentoring programme. For our students, this means that while they are studying, they gain practical experience and also expand their professional networks. We act as a talent incubator for the industry; the curriculums of our five Finance and Economics Masters’ tracks have been developed with an eye on the real needs within companies.
In terms of research, benefits can come namely in the form of shared projects. This year we have collaborated with Advanzia Bank to develop and launch an applied research project entitled, “Credit Risk, Consumer Finance and the Coronavirus”. From our side, Department of Finance professors Thorsten Lehnert and Jang Schiltz as well as Postdoctoral researcher François Koulischer will be leading the project.
What can industry and academia learn from each other?
Professors and practitioners are really operating in two different worlds. For example, the timescales of each are completely different. While an academic may work on a study for years before publishing a paper, industry professionals need to demonstrate speed and agility in order to serve their clients. However, we can find common points and build bridges from one world to another.
In this way, academia can bring new ideas and theories to the financial sector where industry actors can put these ideas into practical application in order to benefit society at large in a tangible way. On the other hand, the industry can inspire research by pointing out trends and recent developments.