Transforming Uncertainty into Opportunity

A tight deadline, interdisciplinary collaboration and exchanges with finance experts: that’s what the RiskON Hackathon at the University of Zurich is all about. Its fourth edition  brought together 58 Master’s students from universities across Switzerland and Liechtenstein, who worked with experienced risk professionals from Switzerland’s leading financial institutions to develop solutions to real-world challenges in risk management.

The risk management event was launched in 2023 by Walter Farkas, professor of quantitative finance and program director of the MSc UZH ETH in Quantitative Finance; Daniel Fasnacht, program director for executive education at UZH. RiskON is supported by Maria Olivares, head of innovation at the UZH Innovation Hub, the office that helps students and researchers turn innovative ideas into practice.

Working in 16 interdisciplinary teams, the students had 24 hours to develop solutions to four challenges, each designed and sponsored by a leading bank.

1. AI That Knows the Answer – or Knows Who Does (Julius Bär)
2. Development of a Radar for External Operational Risk Events (Zürcher Kantonalbank, ZKB)
3. Market Data Cleansing and Enrichment for Financial Simulations (Vontobel)
4. Build an OR (Operations Research) Agent – From Business Question to Optimal Decision  (UBS)

Throughout the hackathon, participants were supported by two coaches and 14 representatives from the participating banks. Through intensive discussions, the students developed and refined their solutions before presenting them in a final pitch session to a jury of senior representatives from the Swiss financial sector.

The winning teams received funding and academic support to further develop their ideas and explore their potential for practical application. The projects may also lead to co-authored white papers.

What motivated you to take part in the RiskON Hackathon? 

Nina Savas: I had wanted to take part in a hackathon for a long time, so the format of RIskON immediately caught my attention. I wanted to challenge myself by applying my skills to a real-world problem in the finance industry, while learning from professionals and stepping outside my comfort zone. I also saw it as a great opportunity to grow my skills and gain new perspectives.

You had just 24 hours to work on a real-world risk challenge. Which part of the experience was the most exciting? What was the most challenging aspect?

Nina Savas: The most exciting part was definitely arriving and having no idea what the next 24 hours would bring. Meeting so many different people with different backgrounds really enriched my experience at the hackathon. The most challenging part was the beginning, knowing that time was limited while also having to find an approach that everyone in the team could get behind. And of course, the last 30 minutes were the most stressful, trying to make the most of every minute we had left and get everything ready in time. 

What solution did your team come up with?

Nina Savas: We worked on Challenge 4: Build an OR (Operations Research) Agent – From Business Question to Optimal Decision, sponsored by UBS. We developed an AI agent that translates a business question into an Operations Research problem and guides the user towards an optimal decision. A key part of our approach was that the agent can ask follow-up questions when information is missing or unclear, rather than making assumptions. Furthermore, we aimed to make the reasoning transparent and traceable, so that users can understand not only the final recommendation, but also what happened along the way.

What did you learn from collaborating with students from other universities and professionals from the finance industry? 

Nina Savas: The most important lesson for me was the value of clear communication. Working intensively with people you have just met can be challenging, so making sure everyone is on the same page is key. I also learned how valuable it is to actively ask questions and make use of the expertise of professionals, as their insights can help you move forward much faster.

Would you recommend participating in the Hackathon to other students? 

Nina Savas: Yes, definitely. You can learn a lot in a very short amount of time, while it’s a great opportunity to connect with other students and professionals from the industry. If you enjoy a bit of competition and want to experience what you can build under real time pressure, I would definitely recommend it.

What does “Transforming Uncertainty into Opportunity” mean to you personally? 

Nina Savas: To me, it means seeing uncertainty not only as a challenge, but also as an opportunity to learn, adapt and find new solutions. The hackathon was a good example of this: we started with an unfamiliar problem and very limited time, but by embracing the uncertainty and working together, we were able to turn it into something concrete.