Energy Trading -- Energy Broker

I'll make this quick:

Graduated with Finance undergrad December 2008
1st year MBA with focus in Energy Risk Management
~2 years experience as Credit Analyst for commercial bank

I want to transition into a role that leads to energy trading (risk, scheduling, etc. as my long term goal would be to trade). For those with energy trading experience, how does the industry perceive energy brokers -- specifically Liquefied Petrochemical Gas Brokers?

I wouldn't want to jump into this position if it carries a negative connotation (as seen with wealth management brokers) that would limit me to getting to where I want to be.

Thoughts?

Comments (15)

May 26, 2010 - 9:59pm
MrDouche, what's your opinion? Comment below:

The entrepreneurial spirit of the industry means that if you prove yourself in any manner that's what matters.

It really depends on what you mean as an LPG broker. If you're selling door-to-door in houses in WV, you're probably out of luck.

I rich, smarts, and totally in debt.
May 26, 2010 - 10:41pm
marcellus_wallace, what's your opinion? Comment below:

Excuse my french but wtf is an LPG broker? Liquids is such a young industry still I would say. There is lots of shops that trade liquids between the majors and end-users. I know a guy who got filthy rich doing it, but he was basically a one man show.

Is this for an internship or FT? Would you be working for one the major brokerage houses?

May 26, 2010 - 11:10pm
ao1058, what's your opinion? Comment below:

I would be working FT for a large brokerage house based in London (I'll be working in the U.S.)

This is not a door-to-door position...I will be working in the corporate office.

MrDouche: You're right. If you prove yourself, then you can do whatever you desire. I just want to make sure that I am not tainting my resume by taking a position that possibly carries a negative with it.

Thanks for the info!

Best Response
May 26, 2010 - 11:42pm
McMo, what's your opinion? Comment below:

Ignore the comment above it makes no sense. You will in no way resemble Hank Hill. Top energy brokers can make great money, work market hours, and take zero risk. Its a certain personality type that will thrive in the brokerage world. You have to be willing to wine and dine your top/perspective clients and get nothing in return. I know brokers that use to be traders. I do not think a broker could become a trader because they do not know the fundamentals of their products. Just because you know where the LPG market is trading does not mean you understand the complex supply and demand side of the market. Brokers are only trying to match a buyer and a seller. In terms of market respect I think it depends on the individual trader/broker relationship. Its a tough life and some traders will treat you like shit and some will be very respectful.

May 29, 2010 - 10:29am
monty09, what's your opinion? Comment below:
McMo:
Ignore the comment above it makes no sense. You will in no way resemble Hank Hill. Top energy brokers can make great money, work market hours, and take zero risk. Its a certain personality type that will thrive in the brokerage world. You have to be willing to wine and dine your top/perspective clients and get nothing in return. I know brokers that use to be traders. I do not think a broker could become a trader because they do not know the fundamentals of their products. Just because you know where the LPG market is trading does not mean you understand the complex supply and demand side of the market. Brokers are only trying to match a buyer and a seller. In terms of market respect I think it depends on the individual trader/broker relationship. Its a tough life and some traders will treat you like shit and some will be very respectful.

agree to all above. We use ours for free dinners and peaks...

Aug 19, 2011 - 2:26pm
BADUCH, what's your opinion? Comment below:

The best way to get to trade energy is by applying for a scheduling, clerk or back office spot and learning the business. Most of these Energy trading guys are people that have started in operations and have worked their way up the company ladder by workign long hours and proving to management that they are quick thinkers and detail specific. Good luck!

BADUCH
  • 1
Jan 15, 2014 - 5:58am
vivianjoseph, what's your opinion? Comment below:

Energy suppliers consider energy brokers to be a valuable channel to the energy markets. And they expect some positive and effective changes from energy broker.

Jan 15, 2014 - 5:59am
sailing101, what's your opinion? Comment below:

Energy Brokering (Originally Posted: 10/17/2008)

Does anyone know anything about Crude or Natural gas brokering? Whats the compensation like from out of college till your at a managerial position?

Jan 15, 2014 - 6:05am
monty09, what's your opinion? Comment below:

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