Back after several years...
- Thread starter Steve Tvardek
- Start date
Steve, welcome back to the boards. I agree with most on here, the MBA will NOT land you a trading gig. You need an advanced quant degree but even that just puts you in a large population pool of very talented guys looking for work. One of the problems you will be facing is that in the last 5 years, so many traders have left the floor, old prop firms and bank trading desks that the environment is completely saturated with many experienced and "profitable" traders looking for work.
Most of the "chicago" style prop firms want guys with NO trading experience regardless of how much money you made before. They don't want any baggage. All the other trading jobs are programming related. Also, at your age it might be hard to break into the institutional side of things.
Some options that make sense are becoming an RIA. A lot of traders take this route. It's a game of time and patience but you can build up a nice size book in 5 years and basically create an annuity for life. I have several friends that have gone this route, two of them are clearing 7 figures. A few others who I think should NOT be in the business because they know NOTHING about markets are still making a few hundred thousand a year. What other profession can you make that much knowing absolutely nothing about the field you are in.
Starting a CTA is another route. Again, another popular choice, especially among former floor traders.
Third, you could start your own fund. But do not fool yourself, it takes an obscene amount of hard work if you are going to do everything your self.
I'm going to give you a 4th option that might surprise you. Teach! I mean at the college level. You have an MBA and trading experience. There are many business schools that have trading curriculums now. Professors make very good money and have a very cushy lifestyle. Hell, most of them trade and teach a few classes on the side.
Good luck!
Most of the "chicago" style prop firms want guys with NO trading experience regardless of how much money you made before. They don't want any baggage. All the other trading jobs are programming related. Also, at your age it might be hard to break into the institutional side of things.
Some options that make sense are becoming an RIA. A lot of traders take this route. It's a game of time and patience but you can build up a nice size book in 5 years and basically create an annuity for life. I have several friends that have gone this route, two of them are clearing 7 figures. A few others who I think should NOT be in the business because they know NOTHING about markets are still making a few hundred thousand a year. What other profession can you make that much knowing absolutely nothing about the field you are in.
Starting a CTA is another route. Again, another popular choice, especially among former floor traders.
Third, you could start your own fund. But do not fool yourself, it takes an obscene amount of hard work if you are going to do everything your self.
I'm going to give you a 4th option that might surprise you. Teach! I mean at the college level. You have an MBA and trading experience. There are many business schools that have trading curriculums now. Professors make very good money and have a very cushy lifestyle. Hell, most of them trade and teach a few classes on the side.
Good luck!
Quote from Steve Tvardek:
Thanks for the responses so far. Yes, I am working on an algo but it's time and capital intensive and will most likely have to be something I do on the side. First order of business, though, is to find a job for after graduation
I realize that an MBA is a different type of credential not specifically related to trading, but my hope is that it will make me more well-rounded, in the eyes of potential employers. As I mentioned, I would certainly like to get back into trading or a related field but am open to other opportunities as well.
I appreciate the advice so far!
-Steve
You should pursue something in the arena of trading education and sales....maybe create your own startup (website based) to provide educational services and product offerings marketed towards traders...come up with an idea and partner with an internet sales phenom
LOL, the odds of building a book that size in 5 years are slim to none if you dont have a bunch of rich friends.
Steve, get licensed, plunk down some risk capital at a reputable firm and start trading again. that is all.
That's not true. I have two friends that have done it. I'm not saying it's easy but it can be done. None of these guys go after small accounts. They go after pension plans, small businesses with 10 to 50 employees. They are not going after grandma.
institutional biz is mega competitive but yeah, its all about hard work like anything else.
i had a friend that tried commercial real estate brokerage for about 5 years but got out. although you could argue he got in at the worst possible time.
I think there are something like 16k registered RIA's in the US managing about 3 trillion in wealth. So yeah, it's very competitive. But then again so is trading right? The guy only made 100k to 200k at his peak during a time when the markets were very fertile. He might make half of that now. So what are talking about here, 60k to 100k? I just think he needs to think very carefully about his options. He has an MBA which is worthless in the trading world but it carries some value in the sales and investment world. There are NO easy ways to make a lot of money. All will be very hard, take a lot of time and will be very competitive. It's all about using the tools you have with the opportunities that present themselves to you.
Well thank heavens we still have people who believe in giving it a shot, never mind what the naysayers come up with.
If not for that you would probably be riding a horse to work and trading under a tree or in a coffee shop, and you most certainly would not be reading this.
Totally false. I'm a hick from Pittsburgh. Went to a crappy school with zero connections, but I managed to raise close to 50mm from several hedge fund investors. You just have to make the connections. surf