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  #84 (permalink)  
Old 01-06-2015, 05:31 PM
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Originally Posted by Unregistered View Post
I'm not sure I agree with this. Sell-side traders also do detailed analysis of securities, and are way more versatile than most ibankers than I know.

From the backgrounds of all the hedge fund people that I know, almost all come from trading backgrounds. They tend to follow the traditional Danny Yong pedigree tbh.
Don't mean to be rude here and I understand where you're coming from but we definitely do not cover securities in detail on a daily basis and we are, contrary to popular belief, less versatile and more specialized than the average investment banker. As a sell side trader, one is usually specialized in trading flow (rarely prop these days with the volcker rule) for a SINGLE security (i.e. Morgan Stanley's 10 year bond on the IG desks which is under the overarching credit "department") tend to take risks and manage inventory day to day for that one particular security/fx pair/whatever you're assigned to trade. We definitely do little to no modeling type work (structuring does more but even then, they are modeling to price exotics mainly rather than your clear cut company valuations).

PE and fundamental type HFs are common exit opps for investment bankers and rarely do you get a sell side trader going into fundamental hedge funds (macro type funds are big though for traders on macro products desks). PE for sell side traders especially is close to impossible because sell-side traders, as mentioned before, do little to no modeling work on a daily basis compared to investment bankers (mostly M&A but also at times from the coverage groups) who churn out models and tables all day.

Hope this provides a little bit of insight.
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