Bulge Bracket vs. Boutique Sales and Trading

Hey, so I was wondering if there a major difference working for a bb vs working for a quality boutique in regards to sales and trading? I get that on the ib side the deals are bigger and im sure payouts are better. But what about on the s&t side?? I feel like i'm reading things on bbg and other publications about some equity/fi guy leaving a big shop and moving to a smaller firm? i also cover some smaller shops and some of the guys on those desks make killings, and they all started at some big shop.

I wonder if the atmosphere would be better and the levels of mgmt are trimmed.I

If anyone has any insight would love to hear.

Thanks

 
Best Response

I am also interested in this topic. I just interviewed for Nomura S&T superday 22/18 I am going to hear back this week. I have networked myself at Sandler Oneill + Partners and I was wondering if anyone could shed some light on thie differences. I haven't given my preference yet as to if I want S&T at Sandler or Investment banking...I am passionate about being a trader, but investment banking experience is more of their bread and butter from what I understand. Investment banking mergers and acquisitions would be a solid well rounded internship as a fall back to S&T at Sandler; what do you guys think? Should I say I am interested in both and discuss growth opportunities with my contact?

Those are just 2 of my hands right now..Goldman Sachs is coming to campus for private wealth management..I have networked at deutsche bank s&t. Then there are boutiques...

 

Most of these places mentioned are all going to be very similar. The differences for the firms that operate under the commission vs salary + bonus structures. The key difference is the clients are the broker/dealers client rather at other shops clients are the individual brokers (sales-trader). Smaller shops are going to focus on exchange products or other standardized products. The custom otc products that the bb's offer are not something that a boutique is going to be able to offer.

"Oh the ladies ever tell you that you look like a fucking optical illusion" - Frank Slaughtery 25th Hour.
 

For many the boutiques are the exit opportunities. They take the relationships they developed while at the BBs or with other HFs while on the buyside and they then leverage them and make 3-4x what they would get for the same amount of production generated. Typically its pure commission based (different at junior level).

"Oh the ladies ever tell you that you look like a fucking optical illusion" - Frank Slaughtery 25th Hour.
 

Thank makes sense. How is the training at boutiques? I am in my junior year undergraduate. I want to have the best training possible. I understand that people grow in BB then move to boutiques to work their relationships; how about people interning at boutiques and starting there. How are the growth oppurtinuties? how is the pay? 1st yr? how long b4 they let you trade? what are bonuses like?

 

I'm also in this similar situation. I have been on a trading desk already last summer. The only thing I am concerned at is that smaller shops wouldn't offer the "training" and exposure to a large amount of product a BB would. I think it says a lot when I look around the desk and people are well established with their specific product. However, I am torn between the idea of starting at a smaller shop which would have better lifestyle, less hierarchy, etc. Versus a larger shop where I would get the "training" if offered a position. Hopefully I can have the opportunity to choose between both at the time of graduation. The reality is that I've only seen a few products and for a 21 year old to know exactly what you want to trade/sell for your career is bit much to ask for.

 

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