Thursday, 23rd November 2017
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FINANCIAL TRADER

A financial trader buys and sells shares, bonds and assets for investors with the aim to increase assets and minimise financial risk. Through analysing the market and economic data they endeavour to buy low and sell high.

There are three main types of trader:

  • Flow (market) traders buy and sell products, such as commodities, on the financial market for the bank’s clients
  • Proprietary traders trade on behalf of the bank itself
  • Sales traders take instructions directly from the clients, place orders for them and advise them on recent developments with the market

A trader will normally sit at workstations in a dealing room, analysing market movements. The market moves at a rapid rate, therefore the role is often incredibly hectic and decisions need to be made quickly on the smallest of movements within the market. These decisions are influenced heavily by in-depth market reports which are provided by a firm’s investment analysts.

The work of a financial trader is incredibly demanding as dealing with large sums of other people’s money carries an enormous amount of responsibility and can often be very stressful.

Promotions within a trading company are usually as follows:

  • Graduate trainee
  • Analyst/trader
  • Associate
  • Senior associate
  • Vice president/executive director
  • Managing director