Will current economic environment impact S&T Grad Jobs?

Hi all,

I recently accepted a 2022/23 summer analyst position in Sales and Trading at a BB. During the recruitment process it was stressed that there would be a graduate position available for every intern in the program (contingent on their performance over the summer) starting 2024. 

The economic landscape has deteriorated a bit since the interviews and I am now wondering if this will reduce the chance of summer analysts receiving return offers? How do you think the economic landscape will impact grad recruitment in S&T? 

If any of you are familiar with how things panned out for grads around the GFC (or even around 2020), can you tell us anything about this?

Would really appreciate hearing your thoughts.

Thanks in advance everyone

Comments (18)

Most Helpful
  • Analyst 1 in S&T - Other
Jun 15, 2022 - 11:16pm

Volatility is good for markets divisions if you manage risk appropriately. These are the times banks love to have robust S&T divisions. I'd say it's safer to be in S&T (product dependent) right now than it is IB (generally; Rx will thrive in this environment) given deal flow is going to grind to a halt as deal economics will cease to make sense given increasing cost of capital. 

  • Analyst 1 in S&T - FI
Jun 16, 2022 - 4:21am

Incoming analyst having few months left before joining, I would really want to know how this rates hike is affecting the industry now.

Intuitively it seems to me desks including vol trade( mostly FICC) would be printing money right now. 

Colleagues at rates/fx desk I know said that they are dynamic as hell now, but being profitable at the same time. But I'm quite concerned about the equities division. Already heard some Ds/MDs left, and the PNL for this year seems really gloomy.  

If there's some other perspective about the equities part, would appreciate the insights. 

Edit: Would also like to hear about some exceptions for FICC too if there exists. One of my friend working at French bank, mainly on plain vanilla, said their desk is having a shitty pnl, and right now boring af. Don't understand why, maybe is that related to client flow? Don't have much knowledge about the business yet...Would extremely appreciate some insights.

Jun 17, 2022 - 9:36pm
Interesting_Syrup995, what's your opinion? Comment below:

I was thinking the same, equities seem like they could be in a bit more trouble than some of the other desks? Surely still good opportunities for profit there too though… but I reckon probably a very stressful time to be on those desks…I'm also keen to hear more insight on FICC rn

Learn More

300+ video lessons across 6 modeling courses taught by elite practitioners at the top investment banks and private equity funds -- Excel Modeling -- Financial Statement Modeling -- M&A Modeling -- LBO Modeling -- DCF and Valuation Modeling -- ALL INCLUDED + 2 Huge Bonuses.

Learn more
  • Quant in HF - Other
Jun 17, 2022 - 12:52pm

S&T is a great space to be in right now. Ex-colleagues at past firm (delta one desk, structured products) is smashing it.

Know a number of other guys in prop space also doing quite well right now.

  • Analyst 1 in S&T - FI
Jun 18, 2022 - 2:54am

This volatility is great for S&T desks assuming you get on the right side of big moves.

Rates desks are laughing right now, in 2020 rates made huge profits, so it is a very recession proof desk.

Equities and credit desks are probably having a much harder time.

Jun 24, 2022 - 12:07am
short_the_nips, what's your opinion? Comment below:

Incoming S&T AN1, bank takes some of our personal desk preference into account when deciding placements. Torn between shooting for commodities or fixed income- thoughts? 

Jun 24, 2022 - 12:27am
probably_screwed, what's your opinion? Comment below:

Do you have to choose between FI and comm generally or do you get your specific choice of desk?

For FI at least, there's a big difference in even high yield vs investment grade, so I would personally rank the desks, rather than choose one asset class as a whole. For ex.

1. HY trading

2. Metals trading

3. Distressed credit trading, etc...

  • Analyst 1 in S&T - FI
Jun 24, 2022 - 5:14am

Rates and Commodities are the hot desks at the moment in this macro environment.

But ultimately what is more important is what you are most interested in as that will play a lrge factor in your success.

That said I would avoid FX and cash equities completely.

Jun 23, 2022 - 8:21pm
tranchebaby08, what's your opinion? Comment below:

Nostrum ea eligendi non voluptas. Ad quasi et autem excepturi. Neque laborum consectetur qui aspernatur harum deleniti optio. Labore iure necessitatibus in atque occaecati quaerat quibusdam. Animi aut repellat ad incidunt vero.

Voluptatibus in praesentium aut dicta dolores quis vel. Commodi labore inventore eaque neque sint debitis. Voluptatum vero quia soluta sapiente consequatur modi. Odio voluptatem deleniti et quisquam quia unde.

Start Discussion

Career Advancement Opportunities

October 2022 Investment Banking

  • Jefferies & Company (▲05) 99.6%
  • Lincoln International (= =) 99.2%
  • Bank of America Merrill Lynch (▲04) 98.9%
  • Financial Technology Partners (+ +) 98.5%
  • Evercore (▽02) 98.1%

Overall Employee Satisfaction

October 2022 Investment Banking

  • Jefferies & Company (▲12) 99.6%
  • Evercore (▲03) 99.2%
  • Greenhill (▲06) 98.8%
  • PJT Partners (▽02) 98.5%
  • Macquarie Group Limited ABN (▲21) 98.1%

Professional Growth Opportunities

October 2022 Investment Banking

  • Jefferies & Company (▲05) 99.6%
  • Lincoln International (▲03) 99.2%
  • PwC Corporate Finance (▲12) 98.9%
  • Bank of America Merrill Lynch (▲05) 98.5%
  • Houlihan Lokey (▲05) 98.1%

Total Avg Compensation

October 2022 Investment Banking

  • Director/MD (10) $613
  • Vice President (38) $392
  • Associates (211) $257
  • 2nd Year Analyst (131) $163
  • 3rd+ Year Analyst (19) $160
  • 1st Year Analyst (441) $150
  • Intern/Summer Associate (83) $150
  • Intern/Summer Analyst (320) $92