Inter-dealer broker career prospects?

Hello,

Seems like there is very little about broking on WSO. With that said, I was wondering if pursuing a career in IDB at companies like Tullett Prebon is still a good move? Or is it pretty much dead? I thought I wanted to do trading but recently noticed that my personality goes better with the ones brokers have. What are the exit ops in this industry?

Any help would be much appreciated!

Thanks.

 
Best Response

In terms of the big firms, Tullet essentially runs most of the voice broking now, ICAP has moved more into electronic trading platforms etc so roles there will be more like an account manager style thing. I think (and I don't do it myself) that its one of those jobs where people say "its only got five years left mate" but have been saying that since the nineties. Pinch of salt needed. If you're good and you have relationships in the right products you will do well; yes more and more trading will be done over exchanges or matched electronically but some products have to be done on the phone and always will.

Exit opps are you keep doing it or stop. Its about building relationships with traders of specific products. Try and specialise in something bizarre that won't be moved onto electronic platforms soon, think odd commodities etc. Again I've never done it but this is what I hear from people who have, I think "dead" is an overstatement but it is well past its heyday. Good luck if you choose to do it, if it goes well I hear people make a lot out of it.

 

Salary: Depends on the desk.

Hours: depends on desk 7:30/9:00 - 5pm

You'll start as a broker trainee: 55k salary + small bonus for the first 2-3 years on average. After that you start getting clients.

Search ICAP on the forums and you'll see more.

Pm me if you want more info

 

ICAP posted on the WSO job board back in August, I went to UT and got an interview the next day...

Disclaimer for the Kids: Any forward-looking statements are solely for informational purposes and cannot be taken as investment advice. Consult your moms before deciding where to invest.
 

Other than ICAP which has formal OCR, it's all about who you know on the inside. An uncle, a close family friend, etc. It's a pure relationship business, where connections are essential.

 
datdude:
i thought they were called inter-broker dealers?

IDB = broker, otherwise you would be referring to the traders who deal between brokers.

Life of an IDB, pretty simple. In the office 30-60 min before the open, read news and review market movement, talk to traders, get coffee, take morning dump. Market opens, ask traders for prices, work their interests, trade, chat. Night time: socialize, network, entertain, go home and sleep and do it again.

No position risk, so you can sleep soundly at night. Only risk is your trader getting pissed at you (for whatever reason, he's losing money etc.,), losing your trader to competitor or losing him because he got let go.

Great job if you are outgoing, personable and witty - definitely a plus to impress the trader every now and then so that he doesn't think you're a complete idiot.

 

BGC Partners, Tradition, GFI, Tullet and ICAP are the 5 largest players.

It seems as if you would have the best chance @ success in joining with one of them as they have the infrastructure, franchises, and reputation to encourage clients in doing business with you. I wouldn't target smaller to midsize companies when it comes to IDB because the larger players are the ones running the show.

What product are you thinking about doing? Some IDBs have strong franchises in certain products while others don't. There are posts on this industry on WSO and I suggest you taking a look at it. PM me if you want to know more.

 

wjtmxlstlqkf, bummer your thread hasn't had a response yet. Maybe one of these threads could point you in the right direction:

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  • Career Moves Out of CRE Brokerage low from a pay perspective. What does the progression look like for someone that starts off in an ... some advice. I have an MBA from what I believe would be classified as an upper second tier university. ... I grew up around real estate (warehouses) and have been working approximately 3.5 years in CRE brokerage ...
  • Starting Investment Banking Career in an emerging market vs US city Hello all, If faced with the decision to start your career at a BB in an EM (LatAm, for instance) ... already a US citizen and isn't looking at megafund recruiting. Is EM experience as an analyst ... (especially if at a JP / GS /MS) can still carry weight to US buyside recruiting, particularly if one is ...
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  • More suggestions...

Any pros willing to rescue this discussion? IBMentor Wintercows @kjs7190"

If those topics were completely useless, don't blame me, blame my programmers...

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