Commodity roles from Undergraduate (London)
We all know a BP TDP or Citadel role from undergraduate are the most sought after, but what other roles actually provide a strong foundation for a career in commodity trading? Interested in quant focused, paper and physical. My current list:
- TDP programmes (BP, Shell)
- HFs (Citadel, DE Shaw - basically no roles here)
- Prop Shops (JS, DRW etc)
- Banks (Macquarie, GS, MS)
- Physical trading grad programmes (Glencore, CCI etc)
Asking because although we all know the premier programmes, it simply isn’t feasible to target them alone due to the tiny intake. Even the firms I have are all very selective and difficult to get into. Also, how is mobility between these firms?
Based on the most helpful WSO content, here's what you need to know about building a strong foundation for a career in commodity trading from an undergraduate level in London:
Top Roles and Programmes to Target
TDP Programmes (BP, Shell, etc.):
Hedge Funds (Citadel, DE Shaw, etc.):
Banks (Macquarie, Goldman Sachs, Morgan Stanley, etc.):
Physical Trading Grad Programmes (Glencore, Trafigura, CCI, Vitol, etc.):
Other Opportunities:
Mobility Between Firms
Tips for Success
By diversifying your applications and building a strong skill set, you can position yourself for success in the competitive world of commodity trading.
Sources: Physical Commodities Trading 2022 Graduate Program Megathread, Calling all Physical Commodity TRADERS: Benchmark indices and physical commodity trading risk, Physical Commodity Trading, Physical Trading: Best commodities to be in?
can also go for quant trading roles at prop shops and try get on a commodities desk
Thanks, updated
To answer the mobility question, it depends which way you go to start. If you decide to do a TDP at a major or merchant, you’ll have Citadel, DE, every hedge fund, some props that has a commodities arm or book calling you before you even hit a trader seat.
If you decide to go the bank or HF route first, it’s very hard (not impossible) to get a job at a physical shop.
You can remember it (IMO) like this - Traders want to develop and be groomed by majors (bp, Shell, etc.), and monetize their knowledge in late career after they build a nest egg at places like Traf, Vitol, Citadel, etc. The risk limits are wider at these shops and obv more cutthroat. You’ll see a lot of bp TDP alumni trade for 10-12 years at bp then get a shiny PM or Partner job at a HF or merchant ($$$).
Thanks for the response
For everyone’s reference, what are some goid TDP programmes? Know BP, Shell are great - who else?
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