implementation research vs algo trader

Based on the most helpful WSO content, here's how you can think about your decision:

1. Implementation Research Role at Quant AM:

   • This role focuses on areas like tax-aware execution, market impact, TCA, and portfolio construction. While these are critical functions within asset management, they are more niche and operational compared to alpha research or direct trading roles.
   • Pivoting from this role to a QR position at multistrats/MM hedge funds (e.g., Citadel, Two Sigma, Millennium) could be challenging. These funds typically prioritize candidates with direct experience in alpha generation, systematic strategy development, or trading.
   • Starting your career in this field might pigeonhole you into implementation research or similar roles within asset management, making it harder to transition to trading or alpha-focused QR roles.

2. Algo Trader Role at Major BB (FICC E-Trading Desk):

   • This role involves running systematic strategies on FICC products, which aligns more closely with the skill set sought by macro hedge funds, prop shops, or even multistrats expanding into FICC.
   • The experience gained here—developing and executing systematic strategies—would likely be more relevant and transferable to trading or QR roles at hedge funds or prop shops.
   • While the name value of the BB might not carry the same prestige as a top-tier asset manager, the direct relevance of the role to your long-term goals makes it a stronger choice.

3. Key Considerations:

   • Relevance to Hedge Funds/Prop Shops: The algo trader role is more aligned with the skills and experience required for hedge fund or prop shop trading positions.
   • Prestige vs. Practicality: While the Quant AM role might have more brand recognition, the algo trader role offers a clearer path to your desired career trajectory.
   • Pivot Potential: Starting in algo trading provides a better foundation for transitioning to hedge funds or prop shops compared to implementation research, which is more specialized and less directly tied to trading or alpha generation.

Recommendation:

If your ultimate goal is to pivot to major hedge funds (e.g., Citadel, Millennium, Two Sigma) or prop shops as a trader or QR, the algo trader role at the BB FICC E-Trading Desk is the more relevant and direct path. It aligns better with the skills and experience these firms value, giving you a stronger foundation for future opportunities.

Sources: Allianz Global Investors Graduate Programme vs IB?, How to be a Millionaire Trader, A Response to "Which desk is best?" Type Questions... Please Read Before Posting, Best internships for Quant Trading?, RE: Prop/Quant Trading - Why is it not as big a target as Investment Banking?