Education to prepare for trading career

[Anaconda]

Quote from ProfLogic:

Business Econ is simply for the foundation. I solid understanding of the environment is important but it is worthless from a "trading" standpoint.

For his own self knowledge, yes it has value. But to build an educational background to get into a quality prop shop or desk at a big bulge bracket, it is worthless nowdays.

Math, statistics, quantitative finance, theoretical physics combined with some programming courses. That is what's valued nowdays. I am not saying I agree with, I'm simply stating what the environment is. This has been the trend over the last 10 years or so and it has not let up even after these quants blew up. The focus is on black boxes, mathetical equations to decipher the market and technology plus SPEED.

Certain prop shops specifically prefer guys with strong math and or physics backgrounds & skills that have little economic or business acumen, simply so that they do not form opinions about how things should be (aka perform fundamental analysis).

 

[ProfLogic]

Quote from sprinter:

price is a physical property that follows the laws of physics?

What folly! No wonder most have no understanding.

Price has no physical consistencies or properties when viewed and tracked using time, tick or range based charting due to the embedded variable nature of those charts.
Constant volume bar charting does have physical consistencies and properties that can be accurately tracked because volume bars eliminate volume bar weight.

Sorry if I used too many big words for you but you can look them up.

 

[ProfLogic]

Quote from Anaconda:

For his own self knowledge, yes it has value. But to build an educational background to get into a quality prop shop or desk at a big bulge bracket, it is worthless nowdays.

Math, statistics, quantitative finance, theoretical physics combined with some programming courses. That is what's valued nowdays. I am not saying I agree with, I'm simply stating what the environment is. This has been the trend over the last 10 years or so and it has not let up even after these quants blew up. The focus is on black boxes, mathetical equations to decipher the market and technology plus SPEED.

Certain prop shops specifically prefer guys with strong math and or physics backgrounds & skills that have little economic or business acumen, simply so that they do not form opinions about how things should be (aka perform fundamental analysis).

Absolutely agree if the long term focus is working for a prop or desk shop.
but
If the long term goal is self-investing by-way-of one of those prop shops or desk firms then learning to think and analysis environments for himself is critical. Props or desk shops have no use for people that think for themselves. They want people they can mold to their specific needs.

 

[ProfLogic]

Quote from sprinter:

Another guy you shouldn't listen to is profchef. I mean logic. The guy is a chef who thinks he is a trader by selling 400.00 pamphlets

They must smell a live one on this thread

be warned!

The only thing we all smell here is just another multi-alias wanna be newbie prop trader that has no original thoughts of his own. Has to work for Bright (unless he's lying about that too) because he can't make it trading for himself.

This is a discussion by adults, the child chart room is here:
http://www.nickelodeon.com.au/blab/chat/pastchats.php

Anyone (you) that would steer someone away from self validating anything in their career path is a complete idiot. It's no wonder Bright hired you.

Let's see, I've been here for 6 years and still using the same nick and everyone knows my real name. You've been here for, who-knows-how-long and have more aliases than we all have fingers and toes and you hide behind your nick. Sounds like credibility to me.

 

[ProfLogic]

I think I spoke too soon earlier today about how nice it has been here in the threads since the childish flamers & idiots left.

 

[Chelsea_FC]

As mentioned, if you are looking to get onto a derivatives desk in particular, they like to see quantitative background. Not necessarily because you are going to be solving PDEs on the job (if you're a trader at a BB you most certainly will not) but because it shows numerical and analytical aptitude.

That said, I know Management, Economics, English, etc majors on the floor, so its not like there is one thing you must do to make it in. It's more important that they like you and think you're capable and a good fit for the firm/desk.

 

[fogut]

Quote from Chelsea_FC:

As mentioned, if you are looking to get onto a derivatives desk in particular, they like to see quantitative background. Not necessarily because you are going to be solving PDEs on the job (if you're a trader at a BB you most certainly will not) but because it shows numerical and analytical aptitude.

That said, I know Management, Economics, English, etc majors on the floor, so its not like there is one thing you must do to make it in. It's more important that they like you and think you're capable and a good fit for the firm/desk.

Do you know if they usually only prefer recent graduates for entry-level trading/Market making ? I have an excellent quantitative background, but I have not been called for an interview yet. Considering the fact that they get so many resumes, is there a way to stand yourself apart ?

Thanks.

 

[Chelsea_FC]

It's more common for them to hire recent graduates due to the ease of on campus recruiting. It is not impossible to get in other ways, however it often is through serious networking.

Grades and ECs are the major things that will help get an interview, it is pretty important to go to a target school. Make sure your resume is conveying the message about yourself you hope to project.

 

[2Rip764]

Thanks all for the replies. Maybe I should start a new thread for this but there are really no trading shops or BBs around where I am currently attending school. I am here for the summer taking classes and was recently offered an internship in equity research. I obviously ultimately want to get into trading but I was wondering if ER would be looked at unfavorably since it involves more fundamental views?

 

[Chelsea_FC]

Quote from 2Rip764:

Thanks all for the replies. Maybe I should start a new thread for this but there are really no trading shops or BBs around where I am currently attending school. I am here for the summer taking classes and was recently offered an internship in equity research. I obviously ultimately want to get into trading but I was wondering if ER would be looked at unfavorably since it involves more fundamental views?

ER is a step in the right direction. It's important to get something on your resume that you can leverage when interviewing for S&T positions. When you interview you can explain how it was interesting because it brought you closer to the markets, but you wanted a faster paced, risk managing position ---> Trading.