The Use of Quantum Computing in Finance: An Academic Institute's Perspective at the Intersection of Technology and Applications

Abstract

In this article, we analyze the potential impact of quantum computing on finance from the perspective of an academic institution situated at the intersection of technology and its applications. We argue that quantum technology constitutes a public good, whose implications extend beyond the purely technological realm and require adoption by economic decision-makers. After emphasizing the importance of tailored educational approaches to make these concepts accessible to non-physicists, we propose a taxonomy of the main quantum algorithms relevant to finance: optimization, linear algebra, Monte Carlo, and machine learning. These approaches find natural applications in portfolio optimization, risk management, and derivatives pricing. Finally, we put the field’s current state of maturity into perspective: despite significant advances, operational benefits remain limited in the short term, while true breakthroughs are expected with the emergence of fault-tolerant quantum computers.