Traders are normally required to have regular contact with colleagues and the ability to make on-the-spot decisions. Job holders must apply their knowledge of the financial industry to invest on behalf of companies and individuals. They may be either proprietary, flow or sales traders.
Those working in flow trading buy and sell securities, futures, options and other commodities for clients of banks. Proprietary trading involves analysing economic data on behalf of the banks themselves. Sales trading deals directly with customers, providing them with market information and financial ideas
Although all three types of trading involve similar work, it is only sales trading that requires no risk. The focus here is on the client relationship, identifying client issues and, through a process of information gathering and market analysis, tracking down any financial offers that may be of benefit.
Flow and proprietary trading are more concerned with trading at the right price and right time. Traders generally work in trading rooms, although there may be travel involved for those in sales. Average salaries are between £36,000 and £53,000.