Back offices are notoriously the weaknesses in financial institutions for a variety of factors. The most obvious is that the back office is not a revenue producer. It does not bring in the earnings that a trader or investment banker does.
The first step to becoming a successful trader is developing a sound foundation of tools and knowledge in which to trade. Whether you’re new to trading or been at it for years, the tools and strategies outlined here provide a solid foundation for a successful trading career.
John Burbank III, founder of Passport Capital, once observed that, “There is no way you can make 30 percent a year going long on the S&P 500. If you’re going to hit that kind of return, you have to go to places where it is going to happen.”
While a majority of Americans have opinions on the subject of nuclear power, only a small percentage have any idea that 20% of their power needs are met by an element that is in short supply.
Blackjack players at a casino will spend a lot of time deciding how much to bet on each hand. At least the serious ones do. Often, they even have a system. Traders may be surprised to realize they might not be as well prepared as savvy card players.