BuySide Execution TraderSubscribe
Need some advice/opinions here. I have been working as a Macro execution trader in a hedge fund (AUM somewhat above 500million) for the past two years. As it's a small setup, I'm thinking whether I should stay longer and request for a small portfolio to manage (I would say I have a 50-60% chance) or continue my career in execution trading at other multi-billion dollar funds with much bigger brand names
Some of my thoughts are:
- Even if I get to manage a portfolio, i'm not sure if I'll excel at it (or not lose money for that matter). Assuming my performance is average, I probably would not be making much more money than what I'm already getting given it's a small firm. The experience however would offer me more exit ops compared to execution trading.
- On the other hand, if I move to a big Asset Management firm (those with 100billion & above) to do execution, I'll get a nice pay jump with a big brand name on my CV, gain broader exposure to products and scale (think IRS, CCS, FRAs, CDS, MBS, FX NDFs etc) and get the opportunity to be promoted (current firm has flat hierarchy). Trading is however very stressful when the flow is heavy and one needs to be fast and error-free and this becomes more challenging when one enters his forties-fifties..
- Gaining experience in execution trading would allow me to work at some of the biggest money managers in the world as a buyside trader, but if I'm an average portfolio manager, most likely I won't be able to join those firms ever, as they tend to hire fundamental credit/equity analysts from other big AM firms/BB banks
If you were in my shoes, which option would you take? Thanks in advance for your sharing your opinions