Possible to re-enter trading with bad P/L after additional education?

[Michael S. Li]

I know in the world of trading/quant trading, failure is usually not accepted. If you have a bad P/L ratio, you face being fired from your firm. And having a bad P/L makes it difficult/near-impossible to enter another trading firm. That being said, how possible/difficult is it for a trader who got fired and has a bad P/L to re-enter school, get a Ph.D./M.Fe, and get another chance at trading?

I am currently an undergraduate student and am interested in a career in quant trading. However, I am unsure whether I should try to enter trading straight out of undergrad or to head to grad school (M.Fe. or Ph.D.). I fear that if my quantitative abilities are not up to par with other traders (especially those with Ph.Ds), I will easily be cut out from the industry and lose my chance at trading. It may be less risky to get advanced degrees first before trying. However, if it is possible to give trading a try out of undergraduate and THEN get advanced education if I am unable to be competitive in the industry at first, perhaps trying to join trading firm out of college will not be a bad choice.

Another question...I know most firms have a "one-try" policy in their interviewing/recruiting process. If I fail to get into the major trading firms out of the college, will I be able to try again after getting a Ph.D., M.Fe?

 

[CasanovaJ]

how possible/difficult is it for a trader who got fired and has a bad P/L to re-enter school, get a Ph.D./M.Fe, and get another chance at trading?

I am unsure whether I should try to put my energy into entering a trading firm straight out of undergrad.

I fear that if my quantitative abilities are not up to par with other traders

It may be less risky to get advanced degrees first before trying.

I know most firms have a "one-try" policy in their interviewing/recruiting process. If I fail to get into the major trading firms out of the college, will I be able to try again after getting a Ph.D., M.Fe?

People who are actually passionate about trading (and who are at least somewhat confident in their ability to do it successfully) generally don't agonize this much-- I'd advise some soul-searching on what your priorities are, and what you're actually genuinely interested in doing for a living.

 

[Michael S. Li]

How did you get that from my post? It was an honest question. Please stay productive. The board is about learning, even if I am a beginner.

Also, it not about being confident or not in my ability. Its about considering risk and making a calculated choice. I'm sure as a trader that makes sense to you.

 

[CasanovaJ]

I had never read on this site such a comprehensively laid out aversion to risk-taking and potential failure-- with that kind of outlook, it is absolutely a productive suggestion that you consider something other than trading.

 

[Michael S. Li]

Considering whether to take the risk before or after advanced degree is not very risk-averse. I'm 100% willing to take the risk before advanced degree if it doesn't prevent my ability to take the risk again after advanced degree. Does any of that sound risk-averse to you?

Maybe the question better be worded "should I get an advanced degree before entering trading?"

 

[CasanovaJ]

Do what you want man, and this really isn't personal... I'm merely pointing out my observation that the handful of people who manage to be successful at trading tend not to be types of people who would post tiresome, three paragraph missives on internet blogs about "what to do if they fail."

 

[Michael S. Li]

I thank-you for your observation then.

 

[CasanovaJ]

I thank-you for your observation then.

Happy-to-help. (y)

 

[implol]

love this conversation!

 

[Yike Lu]

You are operating with insufficient information. Get an internship and see what it's like and you probably won't be asking these questions. You might even ask your co-workers at your internship..