ex Goldman Sachs Trader Tells Truth about Trading - Part 1

Summary

Anton Creole, a former Goldman Sachs trader, shares his journey from trading at 16 to being headhunted by Lehman Brothers and JP Morgan. He discusses his early experiences with IPOs and how his university trading success led to a career on Wall Street. Creole emphasizes the importance of real-money trading experience for aspiring traders, highlighting the value of learning through practice and the challenges of entering the financial industry. He also provides insights into the differences between trading in investment banks and hedge funds versus retail trading.

Takeaways

• 🚀 Anton started trading at 16 with his own money, inspired by documentaries about the financial markets.
• 🎓 He leveraged his early trading experience and success to get recruited by Goldman Sachs while at university.
• 💼 Anton's career path included roles at Goldman Sachs, Lehman Brothers, and JP Morgan before he retired.
• 🌍 After retiring, he traveled the world and participated in the TV program 'Million Dollar Traders'.
• 🚀 He has ambitious plans, including a potential trip to space.
• 💼 Anton's early trading involved flipping IPOs and taking advantage of the T+3 settlement period.
• 📈 He caught the tech boom during his university years, which significantly boosted his trading success.
• 🏦 Goldman Sachs offered him a position after seeing his impressive trading track record and performance.
• 🏙️ Anton's time at Goldman Sachs was marked by a steep learning curve, including handling significant capital and participating in major market events.
• 📊 He emphasizes the importance of hands-on trading experience with real money for aspiring traders.
• 🌐 Volatility is key for traders to make money, and Anton suggests that forex might not be the best for day traders due to low implied volatility in recent years.

Q & A

How did Anton Creole get started in trading?

Anton Creole started trading at the age of 16 with his own money, inspired by documentaries about the markets during Thatcher's Britain in the mid-1990s.

What was Anton's trading strategy during his early days?

Anton's early trading strategy involved flipping IPOs, taking advantage of the T+3 settlement period to buy stocks in the morning and sell them at lunchtime if they went up significantly.

How did Anton transition from university trading to a career at Goldman Sachs?

Anton's trading success and track record at university caught the attention of Goldman Sachs during a presentation event, leading to a telephone interview, an invitation for interviews, and ultimately a job offer.

What was Anton's experience like during the official training program at Goldman Sachs?

The official training program at Goldman Sachs involved sitting in lectures in New York and being given a seat on the trading floor. Anton learned more about applied finance and the firm's culture during this time.

What were some of the significant market events Anton experienced while at Goldman Sachs?

Anton experienced the tech boom, the market situation post-September 11th, 2001, the recession periods of 2002, and the market takeoff in 2003 and 2004.

How does Anton suggest aspiring traders stand out when applying to financial institutions?

Anton suggests that aspiring traders should differentiate themselves by applying real trading methodologies and using real money, as this demonstrates practical experience and commitment.

What advice does Anton give for learning to trade effectively?

Anton advises that the best way to learn is by doing it in practice with real money, even if it means losing some, as it provides valuable experience and education in trading.

Why is volatility important for traders according to Anton?

Volatility creates opportunities for traders as it allows for price movements that can be capitalized on. Without volatility, traders struggle to make money.

What is Anton's view on the forex market for traders?

Anton notes that the forex market, particularly the major G10 currency pairs, has been experiencing low volatility, making it difficult to make significant money through day trading.

What was Anton's initial experience like when he started at Goldman Sachs?

Anton's initial experience was intense, with him being given a pot of money to trade and quickly being involved in significant market activities such as IPOs and rights issues.

How does Anton describe the difference between trading in investment banks and hedge funds versus retail trading?

Anton describes the approach to trading in investment banks and hedge funds as very different from retail trading, with professionals having a more structured and institutional approach.