How are skillsets on the desk having to evolve as the market becomes increasingly technological?
Firstly, I would say that artificial intelligence and algorithms are taking up more and more space. Therefore, we need to adapt our skills to understand how they function as they evolve. The way we practice our profession is not the same as yesterday and will not be the same as tomorrow; we must be able to adapt alongside progress.
This means being able to question ourselves to change our execution methods and stay informed of all progress to avoid being left behind, both for new asset classes and new products such as blockchain, regulatory environments, new sources of liquidity, market participants, risk management, and emerging topics of current interest, such as quantum computing.
In your opinion, what skills should be the main priority for traders looking to succeed in the equities space?
The priority is rigor and not letting oneself be overwhelmed. Always stay connected and able to understand the markets and the economic, geopolitical, and technical factors to anticipate. This is even more important when working in equities because it’s a market that reacts strongly to news flow. If I must mention a quality, it would be to have a strong curiosity about the world in general and to be reactive and passionate about the central role we play in the economy.
What advice would you give to others looking to also enter the world of equity trading?
I love my job, so the first thing that comes to mind in response to this question is that it is the best choice they can make! I started with forex, and even though I am now multi-asset, equity occupies most of my time, much to my delight. In this profession, every day is different and very stimulating. To be an equity trader, you need to be dynamic and not afraid to work hard and put in the hours.
The biggest advice would be to start acquiring solid coding skills as early as possible to anticipate the evolution of our profession in the medium term. To already take an interest in current regulations and follow major stock market capitalisations with news and financial results, to develop an ‘equity vision’ that cannot be acquired overnight. To be aware that it’s a profession that remains elitist in hiring, and that one must demonstrate great determination to succeed and progress, but it’s worth it and one should never give up.
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How do you see the make-up of the desk evolving over the next five-10 years?
I believe that automation will increasingly play a significant role on every desk. Regarding mine, we already have many tasks automated thanks to the algo wheel and the use of AIEX, etc. Our role today is to implement these processes to automate as much as possible, while respecting constraints related to compliance, risk management, etc. Over the next five to 10 years, we should see new roles emerge in connection with advancements such as data analysis and flow with the emergence of new players.
Our professions will also evolve in this direction, and each company will support this progress by training their traders in these new skills. However, I believe that some professions are at risk of disappearing, such as broker roles in high touch – but we have been saying that for years, and yet they are still here. So only the future will tell.