Trafigura Graduate program, 2016

Hi everyone,
I am currently pursuing my MBA (Majors : Trade & Finance, Minors: Operations) at Indian Institute of Foreign Trade. I wish to work as a trader in physical commodities, particularly metals and minerals. I am a Mining Engineer, having worked for 2 years at Coal India Limited, as an Assistant Manager (Mining).
My question is : What are my chances of getting an interview at Trafigura, for their Graduate program, if I apply through their online portal? And, should I be actually applying for it, or is the grass just greener??

 
Best Response

Hopefully your chances are good, ishugarg. Which office did you apply to? Which focus area did you pick?

I am in the same boat as far as length of experience. Have a graduate degree and two years of project finance work experience in the natural resource and infrastructure sector for a frontier market-focused US boutique (one as senior analyst one as associate).

  1. Has anyone else applied this year?
  2. Did you take a psychometric test during your interview?
  3. Whats the background of people that get it? Directly out of school or with non-trading work experience?
  4. Have you heard yes/no on phone screenings or in person interviews this year?

It seems most people that posted on WSO in 2012 and 2013 started asking about the phone screenings around the beginning of September, the first rounds toward the end of it, and the final round beginning of October (if someone else knows better, please correct me).

 

The deadline for submission of completed application to the Trafigura Graduate program is September 27, 2015. So, the process has just begun. I believe its a 2-round interview process here. No idea about the psychometric test or telephonic interview process. I was of the opinion that they shortlist candidates based on their profile and then, call them for an interview.

Do you have any current info on the process? And what about the Mercuria Graduate program? Didn't find much information on their website though.

 

I get that. Apparently, I need them to hire just one more. Btw, do you have any idea on the questions that are asked during the interview. Is it the usual shipping, hedging questions or specific commodity info considering the fact that I have actually worked in the Coal sector?

 

Hello guys, I applied for the Geneva Program and received an interview for October. I have a different background having no major experience in Oil/Minerals and trade in general, however i am pretty keen in understanding the commodity markets. Did anyone else receive an interview? Any ideas what we should expect? I am currently studying all the aspects of the commodity trade. R

 

R, thats great news! The applications opened on 3rd August, when did you apply and how long did you wait roughly? I applied on the 17th August and still have not heard anything... (applied down the oil derivatives route, geneva office).

Thanks, Tim

 

Hey Tim, I applied around the same time as you and i received a call last week. Does anyone have recommendations on how to prepare for the interview? i.e what type of questions and so on? I read that the first stage is more general, while the second rounds of interviews are more technical. I guess we will see. Good luck Tim. Keep me posted. Best Wishes R

 

R, that's awesome that you have heard back. What's your background if you don't mind me asking? Which track did you apply for oil or metals?

Ishugarg, I was also hoping that they would start responding after Sept 27 as well, but it looks like they made early outreach to some people.

To anyone that might have applied to Trafigura previously for this or other programs, do they generally tell you if you are not selected?

 

Hey, Thank you. I am finishing my PhD in biology/chemistry so a completely different background. I applied for the metals programme 6 weeks ago, so quite early i imagine, so i won't worry to much if you haven't heard anything yet. As far as i am aware they get back to everyone regarding their application, so it is only a matter of time. I wish you all good luck and hopefully we can all get it :). Best Wishes R

 

Hey guys,

Everyone here seems to have pretty extensive experience with years working in the industry and/or advanced degree. Do you think those with typical graduate background like me (class of 2015 from liberal arts college, relevant internships) stand a chance?

 

Scholes, i don't know if this still stands as a preference but it answers your question:

"We have two main business areas that we take graduates into: oil and its derivative products; and metals and minerals. In oil and its derivative products, we look for fresh graduates or people in their final year of university. In metals and minerals we prefer graduates with a little more work experience (usually around 6-24 months’). The experience doesn’t have to be in commodities trading, or even in finance, but it will help if it’s in a related area."

Google "Everything you’ve always wanted to know about becoming a trainee trader at Trafigura" on efinancialcareers. It wont let me post the direct link.

 
jppjpj:

i did not receive any updates from them even though i applied quite early, (applied for the O&G), i think i am out.

From what I hear they don't update you or let you know if they've even seen your application, it's a very commercial interaction. If they're remotely interested in you some person from a different country (Singapore, Geneva, UK) calls you up and does a phone screening. Or at least this is how it worked back in 2013 when I last applied.

D.I.
 

Most people that graduated from this program don't become a trader, period. Trading house aren't known for converting their graduates into trader (if they have a grad program in the first place), it's simply easier to hire a trader externally given the surplus trader market out there.

Chemically speaking, alcohol is a solution.
 

It was 2 rounds, each round had 2 groups of interviewers that you interviewed with. As far as questions, nothing too technical, just read up on the oil business and know about hedging and how trades are structured. I did well first round and well the first group of final round but second group was kind of dickish. I heard from 3 other people in the interviews that they were also treated badly. I won't get into too much detail as I don't want to give away who I am to anyone who's in the know, but basically, I knew after talking to several people about the program and especially after interviewing with the people in the final round that I didn't want it. I wasn't offered the position, so that made it easier than having to decline. They asked everybody about living in Mumbai, which honestly, I wouldn't be too crazy about.

Look on LinkedIn and you'll see that the track record for that program if you're wanting to go into trading is not that great. Also read the reviews on glassdoor and indeed - it's not glowing. I think BP/Shell are probably much better places to go.

Hope that helps

 

can you speak in further details of the "how trades are structured" part? I talked to people who interviewed with Glencore and they are also asked about financing details and risk mitigation.

 

Are you Indian, if not I think I know why you may not have gotten past the first round ? I interviewed at the Houston program and got rejected for Oil after the first round. I don't feel bad because they asked me how I'd feel going to South America, and to put it your way, which "I wouldn't be too crazy about."

How the recruiter would put me up for a South American position instead of given the position you applied for is beyond me. Mumbai, being the hellhole it is, is something I can step foot on given my NIO and my interest in the field.

BTW who do you think got the position you applied for. I think the guy that would gell easily in the place they wanted to place the guy was the pick for them. I nailed all technicals except one and 8/9 of my feedback were positive. I think the only reason someone else got it is because they were Spanish speaking and had some Latin American connection.

And yes the second group may have been more dickish - thats because these guys are senior level and they do more important things in the firm. My guys were nice though.

This sh!t isn't rocket science - all they have to do is find someone of minimum guarantee with the ability to live in the country they want to send the person to - so I'd say background and experience with region of transfer is 1000% important. I just wish the recruiter would have sent me to the Stamford office instead of the Houston office. UGHHH.

D.I.
 

The first rotation is either in Uruguay or Mumbai, and then after the first rotation you move to your home office. So after your first year rotation in Uruguay/Mumbai you would move to the Houston office or Stamfords office in his case. Honestly, I wouldn't mind spending a year in Montviedo, if you haven't been I would recommend it.

 

"i disagree with some of the comments saying you won't be a trader as HR said after 3 years you will have a chance at a commercial role"

What does HR have anything to do with it? Of course they can say that - doesn't mean it's true. Do yourself a favor, look on LinkedIn, read reviews, and most of all, try to get in contact with people that have actually been in the program. You might find that it's not so easy as you think/they say.

 

Made it to the final round but didn't get an offer. I'm already interning at a physical trader quite similar to Trafigura so it wasn't the end of the world. In saying that Traf is hands down the best place to work in terms of exposure and career progression.

 
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In saying that Traf is hands down the best place to work in terms of exposure and career progression.

Yes I agree that's why I aimed for traf in the first place, but i kept/keep reading that Traf hires traders from outside anyone else there is just doing back office stuff ;/ .

D.I.
 

I think that might have been the case before they started their graduate program (2009/2010) as they were still growing but not the case anymore. Do you really think they would spend all that money flying and training grads just for them to work back office? In saying that getting a trading position is highly competitive at any physical house.There are so many supporting functions that facilitate a physical trade that everyone thinks they have the right to be a trader.

 

Yes they wouldn't spend all that money to train grads to work in back office, but front/back office isn't a very good definition in commodity tradings, do you categorize deal desk and ops as front office? they are not revenue generating but contribute significantly to the commercial side. So Trafigura probably want to hire these grads so they have a consistent pipeline of talent for deal desk/operators and market analyst, and select some highly exceptional ones to become trader.

Chemically speaking, alcohol is a solution.
 

I'd say they don't have the skills to become a trader rather than not wanting to. There's a bucket load of great ops people who know everything about executing a trade much better than traders themselves but usually lack commercial acumen to bring business in or have limited knowledge on the paper side.

 

I would third this. Currently rotating round the various ops desks at an ABCD before ending up on a trading desk. Only today a planner emphasised how the price/market is irrelevant to him, optimising the physical asset and dealing with the volumes of raw material and the product flows is key.

 

If you have ever worked in a physical shop you realize that in most ops people don't want to become Traders. All things considered; People in ops get paid pretty decently, don't carry the stress associated with taking on a position, and don't need to worry about the implications of having a bad year. There are a surprisingly large amount of 'career' schedulers in my shop

 

Fair enough, I think after working in operations i'm more interested in the paper side or taking up a risk role but still at a commodity house. Running pnl's and understanding where contracts make money seems a more valuable skill. Don't get me wrong tho, obviously a good operator adds significant value but from where i'm at the guys in deals desk/risk have a much better idea of structuring contracts and making profit.

 

Hi guys, been following WSO for sometime, but only gotten around to getting my account up. I've heard plenty about becoming a physical commodities trader, and I have a question; how does one get to become a commodity trader through the path of a graduate programme?
Is there a different set of criteria for a physical and paper commodity trader?

thanks a milion!

 

I'm in the industry, but don't work for Traf. Trading for them isn't what it used to be. The company is becoming more system based so some of the entrepreneurialism has gone. The fact that they have a grad program itself speaks to that. That didn't exist five years ago. They also publish their results now, signed on to Transparency International etc. There's been a big cleanout of some of the old guard and they're hiring fresh blood -- mostly experienced traders from other shops. They like guys from Shell and BP who can bring that culture with them.

 

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D.I.

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