Is hard work enough to make you a good trader ?

Hi everyone ! 

I’ve already posted with my username but this time I will stay anonymous. 
 

I’m a math major at a European semi-target who will soon start an internship in Exotic Derivatives Trading for an American BB
 

Throughout my education and my first experiences in Finance, I had the impression that a little bit of work and research in books / articles was enough to make me pass the exams / interviews / tasks in my previous internships. 
 

However, I keep hearing that it is hard to make money trading, even though at first sight the role of hedging the positions of the bank knowing the sensitivities of the products or pricing it with the proprietary tools made by the quants doesn’t seem (at first sight) like an unachievable task. Am I lacking comprehension about something that makes the job harder that it seems ? And if it is really as hard as people saying, how can one become a good trader ? 
 

Thanks in advance ! 

 

Read quite a few books on trading. The way I can best describe it (and have seen it through mentors) is that trading is a lot like being good at a rigged arcade game. From the outside, people think you're amazing and that they might have some luck. Then they shoot a weighted ball on an undersized rim at an above standard height and they go 0/3. It just has to click with you. There's plenty of traders who are just average at best. The great ones excel far beyond this. You won't know until you get there. 

 
Most Helpful

Currently an analyst but have worked alongside traders since start of my career:

If by hard work you mean taking the time and effort to read through various sources of information, talk to different traders, etc then yes it'll definitely help.

But hard work alone will not make you a great trader.  Put in a crude way, being sharp AND at the right place and right time will get you there.  Obviously, even the "great" ones aren't always correct so tenacity and ability to keep cool are vital otherwise you won't prob won't last long in the industry.

 

Accusamus quia est voluptatum eveniet. Aliquam odio excepturi ut dolores doloremque. Hic aut facilis libero sunt tenetur aspernatur ab alias. Earum officia ut est qui ex sunt consequatur.

Career Advancement Opportunities

April 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. New 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

April 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

April 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

April 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (87) $260
  • 3rd+ Year Analyst (14) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (205) $159
  • Intern/Summer Analyst (146) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
BankonBanking's picture
BankonBanking
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
Secyh62's picture
Secyh62
99.0
5
CompBanker's picture
CompBanker
98.9
6
kanon's picture
kanon
98.9
7
dosk17's picture
dosk17
98.9
8
GameTheory's picture
GameTheory
98.9
9
numi's picture
numi
98.8
10
Jamoldo's picture
Jamoldo
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”