Difference between trading and investment banking?

jwblue
Thu, 24 Feb 2005 23:10:42 +0000

Ivygrad makes very valid points, and I for the most part agree. In fact, if you have any reservations, I say, go into i-banking, than if you so desire, move into trading later on…perhaps at a hedge fund, VC, or PE firm (I did). Also, it is much easier to go from a i-banking position to a trading position than vice versa…rarely will you find a derivitives trader who goes into m&a (and a successful trader would never want to be a banker anyway).

Yes hedge funds tend to be hard to break into, but they are growing in size and number…it shouldn’t be impossible for someone who is smart, has done the research, and has solid experience/education.

As far as knowing a language for emerging markets—just know the universal language of profit. Obviously knowing the language will enormously help in getting a job in the local office of a bulge bracket firm (though I see english becoming more popular in the future…its clearly the language of business), but its not necessary for actually trading the market from the US (which bulge bracket firms indeed do)…also, the smaller bank or the hedge fund won’t have local offices.