Slyfxed The 2 most important qualifications for a trader: 1) Independent thinker. 2) Psychologically tough. Things that help to raise money if you want to be HF manager 1) Pedigree education (Ivy league), job (Goldman, hot shot professor) 2) Being pretty, charismatic 3) Last name like Rothschild, Mountbatten, you get the idea. Something ended in -berg or -stein will definitely help in NYC. See the difference? IB trading strategies are overrated. Prop shops and IBs use similar things, the difference is that IBanks hype themselves to death, to attract clients and naive graduates to work for them. IBs have the advantage pump and dump is legal for them. Try doing that if you are a NJ kid. Inside information is not illegal in many countries, that's why I-banks have fat global market depts. trading models any joe-sixpac can't understand my ass. there are models like that but I-banks don't have it, you would have to be an idiot to give away those things for 200K a year. trade it yourself or get a partner to split profits 50/50. In conclusion, you have to learn to think on your own before even thinking going into trading. Wanting to go to work for Goldman or Morgan Stanley is like wanting to change masters, maybe better pay, more prestige but you will still be a slave. By the way, congratulations for figuring out corporate America is a loser's game for 99.9% of people, but trading is not the only way out, I suggest Kiyosaki's Rich Dad Poor Dad, with your background I would also think about a web-based business.
I worked at large equity prop firm for 7 yrs. They were very very successful because they let guys trade and weren't all over them. Unfortuneatly equity trading went to cr#p when decimals/trading in pennies came in and killed the game. I then traded at 2 different prop firms (futures). One where they let you trade your style, but gave you no downsde risk (trade 100 lots of minis with a 5000 dollar downside...good luck). Then a big prop firm where they tried to brainwash you into trading their style (do a ton of trades getting in and out all day for tiny wins/losses). Is an assinine way to trade. The firm where you work sounds great and I congratulate you for landing there. If more prop shops were doing what your guys do, there woeld be a ton of better traders out there. I am not bitter vs all prop groups, I just think some of the ones who I traded for have insane thinking and their ways will lead you right to the poor house.
I shortened your question simply to offer a comment, and a comment to many on the board. First off, there are very (very) few "jobs" in the trading arena any longer, no real need to "pay" someone to risk your money. The advice about saving $$ is a good one. But the irony of this board is that when I put up a note about one of my traders, Darren Clifford, making about $350K at age 25, and having 30 people trade under him, many said "oh, that's nothing...I know this guy and that guy who makes a zillion times more, etc." - well, I think Darren and his team do extremely well. He is the exception, but he shows the reality that it can happen with the proper amount of training, drive, and capital usage. All that being said, get a couple of years under your belt, save $100K or so, and then explore your options. Good Luck!! Don
Thanks all for your advice. It has been very insightful and helpful. I have put quitting my day job on hold for now, and am re-evaluating my current position, and career path.
Anyone making 350k in this environment is doing great. If they are doing it trading equities they are a hero.
I agree, and even more so for the newer, younger set. We, of course, have our seasoned traders who have been doing this well or better for years...but I like to see the younger group learn and perform so well. (and isn't the phrase "Delusions of Grandeur"?) Don
Problem is some of these younger people hear about the days of making 100 points in qcom on a daytrade and they get all excited. Will never see those days again. When training a new guy, the best thing is to make sure their charts only go back to 2002. I traded equities from 1992 til 2002. Luckily I learned how to "really" trade when things were normal. Unlike many of the young dudes i saw start in 1999, make a ton of money, then blow it all during a 6 month span in 2002. I got out of equities when The SEC/NYSE decided to screw every equity trader and go into penny increments. Bastards.....