Investment Banker/Trader/Accountant
Scroll to see replies
Original post by IAmNero
Honestly, a degree isn't as good, you are better off doing an apprenticship.
I would recommend Business as well to help give you some roots into banking and finance.
If you really want to go to university, business managment, finance or International banking and finance would be great
I would recommend Business as well to help give you some roots into banking and finance.
If you really want to go to university, business managment, finance or International banking and finance would be great
This is all false. No one is offering front office apprenticeships mate.
Original post by Princepieman
OP, if you want to do IB (i.e. M&A), no one really cares what you study as long as you go to a decent enough university. However, on the Sales and Trading side of things some desks (mostly exotic derivatives) greatly prefer those from Maths/CompSci/Engineering/Physics backgrounds as they tend to be more apt with the mathematical thinking involved when understanding these complex products. The vanilla stuff and the sales side doesn't really tend to have any preferences.
Big4 audit is completely and utterly agnostic to what degree you do, and even where you get it from in some cases.
Takeaway is study what you want but aim for the best universities that you can get into.
Big4 audit is completely and utterly agnostic to what degree you do, and even where you get it from in some cases.
Takeaway is study what you want but aim for the best universities that you can get into.
What is 'derivative trading'? cant find a decent explanation online. Thanks
Original post by theconfusedman
What is 'derivative trading'? cant find a decent explanation online. Thanks
Go to investopedia and look up derivatives
Posted from TSR Mobile
Original post by jakepds
Evening all...
I am currently studying my A Levels in Maths, Physics and Economics and am hoping for A*A*A respectively. Economics is my least favourite as I just don't like the essays, but the course content is interesting enough.
My dream is to get into investment banking or trading of some sort, with accountancy as a backup. With the hope of moving to IB later in my career.
Obviously, my grades are strong however I do not want to do Economics at uni as I was advised by an IBer that it wouldn't be as useful as a different, more quantitative degree as well as "everyone being economists."
At the moment, my personal choice in degree would be Engineering Science at Oxford, with a year in Princeton, however I feel that I may not get there and so have thought about Mechanical Engineering at Bristol, Warwick and Manchester.
I would like to do something mathematical, however I obviously don't have further maths and so may not be able to get in to do mathematics at university (the only "good" unis that I have found where I could do maths are Southampton and St. Andrews, however I do not want to go to Scotland!)
Ideally, I do not want to go to London because of cost as well as the proximity to where I live.
Any help would be amazing, I thank you all in advance!
I am currently studying my A Levels in Maths, Physics and Economics and am hoping for A*A*A respectively. Economics is my least favourite as I just don't like the essays, but the course content is interesting enough.
My dream is to get into investment banking or trading of some sort, with accountancy as a backup. With the hope of moving to IB later in my career.
Obviously, my grades are strong however I do not want to do Economics at uni as I was advised by an IBer that it wouldn't be as useful as a different, more quantitative degree as well as "everyone being economists."
At the moment, my personal choice in degree would be Engineering Science at Oxford, with a year in Princeton, however I feel that I may not get there and so have thought about Mechanical Engineering at Bristol, Warwick and Manchester.
I would like to do something mathematical, however I obviously don't have further maths and so may not be able to get in to do mathematics at university (the only "good" unis that I have found where I could do maths are Southampton and St. Andrews, however I do not want to go to Scotland!)
Ideally, I do not want to go to London because of cost as well as the proximity to where I live.
Any help would be amazing, I thank you all in advance!
Choose an industry, chose an entity research it and start trading today! haha that sentence sounds like on e of those scam emails ... Seriously you can learn to trade and with pretend money, many platforms have this option. Be sensible, manage risk, don't have unruly expectations if you make £2.00 from one trade in 10 mins thats great!
I would recommend buying stocks and shares outright not trading CFDs; which is in effect gambling as you don't own underlying stock and can literally lose everything. With share dealing you own the share and if it falls in value you don't lose anything unless you sell. Or you hold onto those shares until the price rises.
Original post by Princepieman
Kl thanks, looks to me like everything in banking is just trading non liquid assets lol
Original post by theconfusedman
Kl thanks, looks to me like everything in banking is just trading non liquid assets lol
Nah, banks still trade liquid markets. It's just that due to squeeze from high frequency trading participants the spreads in market making have become razor thin. That's definitely the case in cash equities anyway - most banks will have some form of electronic/algorithmic desk assigned to equities.
FX Spot is probably the most liquid product that still has a decent enough spread that it could be traded by humans.
Illiquid, exotic derivatives tend to have the highest spreads because of how few participants are in the market for these products.
Posted from TSR Mobile
Original post by Princepieman
Nah, banks still trade liquid markets. It's just that due to squeeze from high frequency trading participants the spreads in market making have become razor thin. That's definitely the case in cash equities anyway - most banks will have some form of electronic/algorithmic desk assigned to equities.
FX Spot is probably the most liquid product that still has a decent enough spread that it could be traded by humans.
Illiquid, exotic derivatives tend to have the highest spreads because of how few participants are in the market for these products.
Posted from TSR Mobile
FX Spot is probably the most liquid product that still has a decent enough spread that it could be traded by humans.
Illiquid, exotic derivatives tend to have the highest spreads because of how few participants are in the market for these products.
Posted from TSR Mobile
What do you mean 'spread'? sorry for bugging you lol you just seem like a knowledgable person
Original post by jakepds
One thing that I have wondered is obviously Warwick is a target for banks, but isn't very good for Mech Eng, whereas Leeds isn't (as far as I am aware) a target for banks but is very well renowned for Mech Eng.
Would you be better off going to Warwick or Leeds for Mechanical Engineering with the aim of getting into finance
Would you be better off going to Warwick or Leeds for Mechanical Engineering with the aim of getting into finance
Banks target unis such as Warwick regardless if the subject might not be as good there as apposed to a non target such as Leeds, which means in some cases people will find themselves having to make to make the odd decision to firm a course with lower grade reqs than your insurance for the sake of going to a target uni.
Original post by theconfusedman
What do you mean 'spread'? sorry for bugging you lol you just seem like a knowledgable person
When someone market makes, they offer a 'bid' (buy) and ask (sell) to market participants. Essentially, they're there to be at the opposite end of a trade in order to connect buyers to instruments they want and then sellers the chance to relieve any instruments they currently hold. Banks make money between the difference in the bid price, and the ask price - i.e. 'the spread'
If I offered a bid of £5020 for the FTSE100 index and an ask of £4980 my spread is: £40. I will get that spread every time I execute trades with those bid and ask prices. Sometimes, you get stuck with a security that you bought which can change in price to then offset your spread, in these cases, the bank's traders 'hedge' against the risk of this happening by buying a derivative (based on the security in question) for the opposite direction of the price movement.
In short, they provide liquidity to the markets.
Posted from TSR Mobile
Original post by IAmNero
Honestly, a degree isn't as good, you are better off doing an apprenticship.
I would recommend Business as well to help give you some roots into banking and finance.
If you really want to go to university, business managment, finance or International banking and finance would be great
I would recommend Business as well to help give you some roots into banking and finance.
If you really want to go to university, business managment, finance or International banking and finance would be great
But if OP wants to trade, best degree would be maths, engineering, comp science or physics.
Original post by Princepieman
When someone market makes, they offer a 'bid' (buy) and ask (sell) to market participants. Essentially, they're there to be at the opposite end of a trade in order to connect buyers to instruments they want and then sellers the chance to relieve any instruments they currently hold. Banks make money between the difference in the bid price, and the ask price - i.e. 'the spread'
If I offered a bid of £5020 for the FTSE100 index and an ask of £4980 my spread is: £40. I will get that spread every time I execute trades with those bid and ask prices. Sometimes, you get stuck with a security that you bought which can change in price to then offset your spread, in these cases, the bank's traders 'hedge' against the risk of this happening by buying a derivative (based on the security in question) for the opposite direction of the price movement.
In short, they provide liquidity to the markets.
Posted from TSR Mobile
If I offered a bid of £5020 for the FTSE100 index and an ask of £4980 my spread is: £40. I will get that spread every time I execute trades with those bid and ask prices. Sometimes, you get stuck with a security that you bought which can change in price to then offset your spread, in these cases, the bank's traders 'hedge' against the risk of this happening by buying a derivative (based on the security in question) for the opposite direction of the price movement.
In short, they provide liquidity to the markets.
Posted from TSR Mobile
So is spread like profits? and who earns it, the market maker?
Original post by theconfusedman
So is spread like profits? and who earns it, the market maker?
No, a spread is the compensation a market maker gets for helping to connect buyers to sellers. They're paid the spread because of the risk involved in doing this. It's not the same as traditional 'profits' from a rise in the price of a security.
Think of realtors.
Original post by Princepieman
This^
Except nothing you learn in an Econ degree is applicable to real world finance. Everyone is trained comprehensively for 2-3 months prior to starting their roles.
Except nothing you learn in an Econ degree is applicable to real world finance. Everyone is trained comprehensively for 2-3 months prior to starting their roles.
It seems to me from all the economics students I know they seem to know a lot more about things such as how the likes of investment banks effect the economy and visa versa, how to interpret current events and how they might have an effect on the market, all technical things that I'm pretty sure come even in spring week interviews.
Original post by Terry Tibbs
It seems to me from all the economics students I know they seem to know a lot more about things such as how the likes of investment banks effect the economy and visa versa, how to interpret current events and how they might have an effect on the market, all technical things that I'm pretty sure come even in spring week interviews.
Lol, how is knowing how investment banks affect the economy going to make a bank money? These guys learn a bit of macro level econ and wax lyrical about cause-and-effect when really, none of it relates to how banks operate nor how the markets operate.
Posted from TSR Mobile
Original post by IAmNero
Honestly, a degree isn't as good, you are better off doing an apprenticship.
I would recommend Business as well to help give you some roots into banking and finance.
If you really want to go to university, business managment, finance or International banking and finance would be great
I would recommend Business as well to help give you some roots into banking and finance.
If you really want to go to university, business managment, finance or International banking and finance would be great
That's nonsense, you won't get into IB without a degree
Original post by Princepieman
Lol, how is knowing how investment banks affect the economy going to make a bank money? These guys learn a bit of macro level econ and wax lyrical about cause-and-effect when really, none of it relates to how banks operate nor how the markets operate.
Posted from TSR Mobile
Posted from TSR Mobile
It probably doesn't, just saying that as far as I know it's the kind of thing they ask you in interviews, although that's probably a bad example. At least at my uni, economics students learn tons about finance in general such as corporate finance, valuating firms, IPOs, equity valuation etc. It might not be specific to the kind of things you actually need to know for IB but at least for them it's all relevant to their pre-existing knowledge whereas for a physics student such as myself I've not known **** about finance until I started trying to self teach using internet resources which aren't always as thorough as you'd like them to be.
(edited 8 years ago)
Thanks for the great responses guys, I'm afraid I don't know how to quote multiple people so here goes!
I started a "Trading 212" practise account a while ago, and did it religiously for a few weeks; doubling my money (this was probably pure luck though!)
It seems weird to apply somewhere where they are not renowned for the course, simply because it is a target uni, but this is interesting, thank you. It also means that if I don't get the A*s and only get As, then I will be able to go to Warwick.
I have heard for the interview, the main thing that you need to do is show you LOVE MARKETS! I was thinking of joining an investing society when I was at uni, as well as making sure that I always stay up to date on economic affairs; I read the economist if this helps?
Have I got all this right, please let me know!
I started a "Trading 212" practise account a while ago, and did it religiously for a few weeks; doubling my money (this was probably pure luck though!)
It seems weird to apply somewhere where they are not renowned for the course, simply because it is a target uni, but this is interesting, thank you. It also means that if I don't get the A*s and only get As, then I will be able to go to Warwick.
I have heard for the interview, the main thing that you need to do is show you LOVE MARKETS! I was thinking of joining an investing society when I was at uni, as well as making sure that I always stay up to date on economic affairs; I read the economist if this helps?
Have I got all this right, please let me know!
Original post by theconfusedman
Kl thanks, looks to me like everything in banking is just trading non liquid assets lol
Not at all, liquid markets are traded electronically now, complex products are still done voice.
Original post by Princepieman
When someone market makes, they offer a 'bid' (buy) and ask (sell) to market participants. Essentially, they're there to be at the opposite end of a trade in order to connect buyers to instruments they want and then sellers the chance to relieve any instruments they currently hold. Banks make money between the difference in the bid price, and the ask price - i.e. 'the spread'
If I offered a bid of £5020 for the FTSE100 index and an ask of £4980 my spread is: £40. I will get that spread every time I execute trades with those bid and ask prices. Sometimes, you get stuck with a security that you bought which can change in price to then offset your spread, in these cases, the bank's traders 'hedge' against the risk of this happening by buying a derivative (based on the security in question) for the opposite direction of the price movement.
In short, they provide liquidity to the markets.
Posted from TSR Mobile
If I offered a bid of £5020 for the FTSE100 index and an ask of £4980 my spread is: £40. I will get that spread every time I execute trades with those bid and ask prices. Sometimes, you get stuck with a security that you bought which can change in price to then offset your spread, in these cases, the bank's traders 'hedge' against the risk of this happening by buying a derivative (based on the security in question) for the opposite direction of the price movement.
In short, they provide liquidity to the markets.
Posted from TSR Mobile
No the brokers are liquidity and anonymity providers between the banks.
I think you mean broker here every time you say bank; making a market and hedging accordingly if it's in size.
You can't offer a bid!
Original post by leavingthecity
But if OP wants to trade, best degree would be maths, engineering, comp science or physics.
Economics as well lol
Quick Reply
Related discussions
- Finance, Investment banking, and Accountancy
- Mathematics with Finance or Mathematics with Economics
- Degree needed for investment banking
- which would be the highest paid out of these jobs?
- Investment Banking
- BSc Accounting and Finance or BSc Finance?
- Is investment banking haram?
- Deloitte Level 7 Apprenticehsip vs Bath Economics
- Which is better and focused more on what I wanna be
- Investment Banking
- Unveiling the Realm of Investment Banking
- Business economics degree
- Manchester for IB or alternative route?
- How to get a job in High Finance
- History degree to become an investment banker?
- 50k what would you do with that
- Give me advice on what you would do in my position
- What should I be from this?
- Investment Banking vs entrepreneurship
- I’m stuck
Latest
Trending
Last reply 4 days ago
Offered two summer internships not sure what to pickLast reply 2 weeks ago
How open is consultancy/finance to me after an engineering degree apprenticeship?Last reply 1 month ago
should I get a summer internship for 1st year psychology?Posted 2 months ago
Alvarez & Marsal 2024 Restructuring & Insolvency Graduate SchemeTrending
Last reply 4 days ago
Offered two summer internships not sure what to pickLast reply 2 weeks ago
How open is consultancy/finance to me after an engineering degree apprenticeship?Last reply 1 month ago
should I get a summer internship for 1st year psychology?Posted 2 months ago
Alvarez & Marsal 2024 Restructuring & Insolvency Graduate Scheme
