20 Comments
 

The primary mandate of the desk is to make markets and hedge risk, some products that are traded will naturally be easier to hedge due to their liquidity and the simplicity of the product. Some desks like electronic market making will be more complex from a system perspective but the underlying product may not be.

By quantitative I mean which desk trades the most complex products that have many sensitivities that require complex deduction and hedging ability/risk management on the part of the trader.

 
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Severian

The primary mandate of the desk is to make markets and hedge risk, some products that are traded will naturally be easier to hedge due to their liquidity and the simplicity of the product. Some desks like electronic market making will be more complex from a system perspective but the underlying product may not be.

....ok?  so you can use chatgpt, nice?

 

Any vol desk will require quant skill set. Exotics more so, but rates vol, fx options, and macro credit are great “quanty” desks to sit on with great buy side exits. XVA trading would also be good to look into

 

In terms of FICC, fx vol is not quanty (at least not the trading side). fixed income linear + vol is quantitative. Commods can be fairly quantitative as well (just judging by the number of quant trading firms in the space), but that could also be due to illiquidity allowing for edge to be formed.

edit: whoever is down-voting this is fine to have that opinion, but have experience in the space (and know quite a fxo traders who would agree.... a lot of them wish they were in rates linear/vol or eq vol instead) 

 

Who cares honestly? The world is run by sociable chads who can negotiate, not nerds who are too busy worrying about quantitative  desks. Quantitative has ruined S&T in the 21st century.

 

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