‘at the coalface’ is invaluable in
helping understand the challenges
that traders face on a daily basis.
Getting the best price for the end
client is paramount, but finding
liquidity to get the trade done, in
what seems to be an ever changing
trading landscape, is also highly
Another explained that dealing
with regulation should not be sole-
ly dealt with by the head trader.
“Given that the regulation issue
affects many areas of an asset
manager it cannot be solely the
preserve of the trading head to deal
with in my view,” says a head of
trading for UK and Ireland. “Com-
pliance, investment control, PMs
and legal among other functions all
have vested interests.”
“I would argue that given the cost
pressures being experienced by asset
managers and the amount you still
need to be able to provide an all-
round service of which an increasing
part is linked to regulatory issues. ”
Asset managers are now hoping
to attract a different kind of candi-
date that has high-level analytical
skills and an interest in technology
as a way to assist the head trader
with this changing landscape.
“I’ve hired a new talent who
helps me for various topics, data
analysis, post-trade reporting,
drafting of procedures, writing of
internal notes on MIFID II, etc.
My young colleague has a fixed-term contract and does not need
a Bloomberg terminal today,” a
global head trader explains.
Certainly the regulatory impact
won’t last forever. Once MiFID II
comes into force next year, staying
compliant will be a large component to the global head trader role,
but with systems and preparations
in place there could be a greater
focus on trading.
The role largely has an emphasis
on market structure, but with a
new breed of buy-side traders and
regulatory experts making their
way through the ranks, head traders will revert back to what they
enjoy the most, making money.
“As my team has expanded and my
involvement in projects has increased, it
is very rare for me to execute order flow.”
HEAD OF TRADING AT A MAJOR ASSET MANAGER