Does "star" trader always mean highest PnL in BB S&T

To be clear, I am talking about BB S&T specifically.
As a naive college student just a few years ago, I've always thought highest pnl must mean that BB trader is doing great.  But soon learned that BB's mainly do market making and do prop stuff under the guise of hedging.  The question is, if someone is labeled a "star" trader does that necessarily mean they made the most PnL or just really good at bringing in business and making quotes for clients.  

 
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I think it depends on the individual. Each person wants to maximise revenue attributable to them.

If you're head of a desk, bringing in more clients/commissions by offering them some good service is a better deal than taking on a lot of prop risk to generate the same revenue. If the markets implode then your desk still does well and you still get paid. Banks typically also prefer these kinds of businesses.

On the other hand, if you're a trader responsible for making markets in something, then the only way you can increase attributable pnl to you might be to take some risk. So in those cases, you'd need to have a big pnl through risk taking to get a big bonus and be labelled a superstar trader.

The nice thing about working at a bank from what I've gathered is you have a few choices as to how to generate pnl, and you aren't limited to deploying risk in the market.

 

monkey_wso_2019:

WSO isn't letting me see your comment but I got an email and saw your comment.  I got the question after reading this thread:  https://www.wallstreetoasis.com/forums/ex-bank-trader-now-running-crypt….  Do you think  most people called star traders are just great franchise employees? 

Specifically this part:

(2) I just wanted to trade without corporate/political bs. when you're trading at a bank, there are so many teams and people that have non-parallel incentives. Sales, traders, algo traders all want different things. What often happens is if its a key client, traders will be pressured by senior sales to take a loss with a business justification - I as a trader will take a loss, but by winning this trade from other banks, this key client will give us business elsewhere in the franchise (e.g. in banking or prime brokerage), so net, our firm makes money. Its a very hand-wavy, unquantifiable argument which we often have to do (and effects our year-end PnL), but its easy for sales to say since they deepen their relationship w client and make money. If you want to climb the corporate ladder, you will be LOVED for doing this as a trader. That's why traders now who get promoted quickly are not necessarily good traders in the sense that they make money - they're often just GREAT franchise employees (nothing wrong w that). I unfortunately just wanted to make PnL and morally couldn't agree that I personally had to take a loss for a client - if a client sees a better price from another bank, they should go there.

 

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