How to prep for energy trading internship

To prepare for an energy trading internship, here’s a comprehensive guide based on the most helpful WSO content:

1. Market Awareness:

   • Start following energy commodity markets daily. Read Bloomberg, Reuters, WSJ, and FT to stay updated on key news events and market trends.
   • Develop a routine to review market updates every morning. Aim to understand the current market climate and be able to discuss it fluently.

2. Technical Skills:

   • Excel proficiency is crucial. Practice building models, running regressions, and analyzing data. Familiarity with tools like CapIQ or similar databases can also be beneficial.
   • Learn about basic financial modeling techniques, such as DCF and comps, as they might come in handy.

3. Energy Market Fundamentals:

   • Understand the basics of natural gas, electricity, and oil markets. Learn about key terms, trading strategies, and how physical commodities trading works.
   • Dive into the logistics and operations side of energy trading, as this knowledge can set you apart.

4. Networking and Industry Insights:

   • Connect with professionals in the energy trading space, especially producers or schedulers, to gain insights into the industry.
   • Engage with alumni or mentors who can provide guidance and share their experiences.

5. Books and Resources:

   • Read books on the history of energy markets to understand their evolution and key events.
   • Explore resources like Finviz.com for market analysis and Levered Hedge for trading strategies.

6. Behavioral and Soft Skills:

   • Build attention to detail and learn to take organized, efficient notes.
   • Develop intellectual curiosity and a positive attitude. Be eager to learn and ask thoughtful questions during your internship.

7. Practice and Preparation:

   • If your internship involves trading games or simulations (e.g., open outcry trading), practice mental math and quick decision-making.
   • Prepare trade pitches and projects to showcase your understanding and initiative.

By focusing on these areas, you’ll be well-prepared to excel in your energy trading internship. Good luck!

Sources: S&T Summer Intern Prep - 2 Months Out, How should I prepare to be a good intern?, Q&A: Director of Energy Trading, How to prepare for summer ASSOCIATE internship, Q&A: Director of Energy Trading