Meet: Matheus Raka Pradnyatama, Treasury Junior Analyst 2022

Meet Matheus

• Matheus is a Junior Analyst on the Asset and Liability Management and Policy team in the Capital Markets and Investments Department.
• He is an Indonesian national and graduate of the University of Illinois Urbana-Champaign, in the United States with a Bachelor of Science in Econometrics & Quantitative Economics and Statistics.
• He wants to learn more about quantitative analysis in asset and risk management and will begin a Master of Financial Mathematics program at the University of Chicago.

What’s your typical day as a Treasury Junior Analyst?

• Assist traders in pricing and executing interest rate swaps, cross-currency swaps, FX spots and forwards to hedge the World Bank’s balance sheet against interest rate and foreign exchange risks.
• Develop cash flow projections to inform the Funding and Investments team on liquidity levels for IBRD and IDA.
• Analyze the funding, loan, and investment portfolios to calculate their duration and spread.
• Evaluate credit rating reports and financial statements of various countries and financial institutions.

What is your greatest challenge and success as a Junior Analyst?

The greatest challenge is learning about the various capital markets operations being conducted at the World Bank. To comprehend the risks associated with trades, it is essential to thoroughly understand concepts such as DV01, duration, and interest rate fluctuations driven by changes in the market. I had to learn many of these concepts on the job because my background was primarily economics and statistics. My greatest successes have been helping the team execute interest rate conversion trades for a country’s entire loan portfolio and determining the optimal size of a liquidity portfolio by conducting rigorous data analysis.

What do you appreciate most about the Junior Analyst Program?

Starting a career in such a multicultural environment is what I appreciate the most about the program. Being a Junior Analyst has enabled me to form close relationships with people from across the world, such as Egypt, Türkiye, and the Democratic Republic of the Congo. This experience has shown me that though we do not share a nationality, ethnicity, or religion, we can have similar aspirations in life. Junior Analysts come from different continents, but we share the same determination to diligently work at the World Bank and further our education. Many of us are motivated to one day return and serve our home country.

Name your favorite aspect of the World Bank.

My favorite aspect of working at the World Bank is realizing that my work hedging the World Bank’s balance sheet against various risks and monitoring its liquidity contributes to increasing the Bank’s capacity to finance development initiatives. Through prudent asset management practices, the World Bank can leverage its capital and provide substantial loans to low—and middle-income countries. These loans are crucial for establishing essential infrastructure such as education and healthcare systems. They also support food security programs, green energy projects, and vaccine distributions.

What has been the involvement of senior colleagues with your work?

My senior colleagues have been vital to my professional growth. Given their years of working in private investment banks, public institutions, or other multilateral development banks, they use their expertise to help junior analysts grow. They taught me much about finance and capital markets that I did not learn during my undergraduate studies.

Why did you apply to the Summer Internship Program?

Having an internship at a prestigious institution, such as the World Bank, opens many doors and is an asset to my career. Applying to become an intern allowed me to match my skills and interest in working in the financial sector with the teams that were hiring in the various departments at the World Bank. It was a great starting point for my journey in the financial industry.

How did the Treasury Summer Internship prepare you for this position?

I learned about the World Bank’s vision and mission, what each team does daily, and how they interact in various capital market operations. As the internship rotated me with three distinct teams, I learned how each team serves a specific purpose and how different skills can be utilized effectively for the institution. The internship also provided me with the chance to contribute to the team that I am working for. I applied the theoretical knowledge and practical skills I gained from my classes to real-life scenarios and data.

What are your goals after your two years as a Junior Analyst?

I accepted an offer to attend the Master of Financial Mathematics program at the University of Chicago, beginning after my two years at the World Bank. The program will give me an in-depth understanding and knowledge of quantitative finance, statistics, risk, and asset management.

How has the Junior Analyst Program prepared you to achieve these goals?

The Junior Analyst Program exposed me to different sub-sectors in the finance industry, such as investment banking, sales, trading, risk management, and asset management. This knowledge is essential in helping me decide on what I want to do in the future. By becoming more familiar with derivatives, hedging strategies, and capital markets, I realized I wanted to cement my role in this industry.