I’ve heard people at this forum talk about the path to becoming a PM and traders are the least likely to become a PM. According to this guy Anton Kriel, traders at Hedge Funds are Portfolio Managers. He has several youtube vidoes. The ‘Investment Banks Destroyed’ is the one i am talking about I think it’s worth checking out. I doubt this guy is bs’ing.
Depends on the fund. If the fund does a lot of short-term trading, then it would make sense for a trader to eventually become a PM. If it’s a low turn over strategy, the trader is probably just the execution guy. Personally, I have a CFO / trader who is watching the screen all day during market hours based on the portfolio and watch list and who does paperwork after the close. A lot of smaller funds have a hybrid role like this while bigger funds tend to split the roles. In a low turnover strategy, the trader would never become a PM but that’s okay, a good trader can still get paid out big even in a low turnover strategy if he/she adds significant value on execution.
I don’t understand why good traders should not be PM’s accoss the board. If someone can trade these intermediate swings consistently, then that someone can trade long swings consistently. Understanding the future direction of a stock(s), you know when to add or reduce risk.
I don’t count execution guys as traders.
A good execution guy is worth a lot. I don’t count people who chase squiggles on a graph traders, those people exist only to give their money to more informed market participants IMO. Algos have made day traders largely obsolete and I do my best to mop what the algos miss.
Not to argue for the sake of arguing, but if people truely make a study of charts, they contain the best fundamentals money can buy. Yes, i agree. Aglos have eliminated almost all short term trading.
“72% of trader time is spent monitoring algorithms”. he is talking about the execution desk.
clearly he got fired as a sales trader, and is bitter.