How To Break Into Quant Trading (As A Trader)

Hey guys, it's Coding Jesus here, and in this video, I'm going to share with you three essential things you need to break into the proprietary trading space as a trader or a quant trader, whatever you want to call it. So, if you're new to my channel, my name is Coding Jesus, and I am a quant developer. I write code to interface with an exchange and build trading applications for traders at the firm I work at.

Now, let's talk about the audience for this video. Most of the people who DM me and ask me these questions are between the ages of 16 and 25. So, when I say breaking into the industry, I'm referring to getting a position as a junior trader. Sorry folks, but if you're 45 or 50, you're not going to be a junior trader. I tell it like it is because you deserve bluntness and the truth.

But, if you're 18, breaking into the industry is definitely possible. And if you're 25 and looking for a career shift, this still applies to you. So, let's get into the three things you need.

The First Thing: A Degree in Math or Economics

The first thing you need is a degree in either math or economics. Now, if you have a business degree and you're trying to shift and break into this industry, it might be a little harder. You'll have to grind a little harder and show the employer that you're hungry. However, if you're still in school or considering changing degrees, look for a degree in math or economics with a preference for math.

Why math? Well, in interviews, you'll be asked a lot of math questions, maybe some mental math. There might even be an IQ test component that involves pattern recognition and number pattern recognition. So, having a math background will help you work comfortably with numbers and analyze a lot of data in your head.

The Second Thing: Option Volatility and Pricing

Surprisingly, one of the most important things you need is a book. Yes, a book! This book is called "Option Volatility and Pricing: Advanced Trading Strategies and Techniques" by Sheldon Natenberg. Let me tell you, as a quant developer, I read this book in preparation for my job, and it was a game-changer. In fact, I read it while on vacation in Mexico.

Now, you might be wondering why this book is so crucial. Well, if you can retain at least 50% of the book's content, which is a hefty 540 pages, you will impress your interviewer and increase your chances of landing the job. Trust me on this – they might even ask you to sign a contract on the spot!

So, don't waste time searching for other resources. The link to this book will be in the description box below. Get your hands on it and start reading.

The Third Thing: Trading Experience

The third and final thing you need is some sort of trading experience. But here's the catch – don't say you're a day trader or that you're trading on technical indicators. You'll just get laughed out of the room.

What you should do instead is open a brokerage account, deposit some money, maybe around 500 bucks, and start playing around with options. Don't go crazy on margin, but think of a strategy you want to trade and execute those trades.

Having this trading experience will give you credibility during the interview. Imagine walking in and saying, "I implemented XYZ strategy, and let me tell you all about it." You'll instantly impress your interviewer and set yourself apart from other candidates.

And here's the bonus: if you've read the book "Option Volatility and Pricing" and retained 50% of its knowledge, coupled with your trading experience and perhaps a math degree, you'll beat out around 98% of candidates for that junior position.

Once you make it through the door, that's when the big bucks start coming in. You may be paid around 150 to 200k, and if you perform well, expect lavish bonuses ranging from hundreds of thousands to even millions of dollars. And who knows, maybe exotic women or men (I don't judge) will start showing up at your door, blown away by your success.

By the way, if you need help with your resume, I've even helped people land jobs at FANG companies. So, if you want your resume reviewed by me, check out the Calendly link in the description box below. And remember, the only resource you need is the book I mentioned earlier.

That's it for this video, guys. I hope you enjoyed it and found it helpful. If you did, give me a thumbs up, subscribe to the channel, and don't forget to share the video with your friends who want to learn about trading. Let's spread the gospel of Coding Jesus!

Cheers, and thanks for watching! If you want to be part of our community, check out the Discord link in the description box below.