Investment Banking Traders

Overview

Investment Banking Traders

Introduction

Investment banking traders buy and sell equities (stocks and shares), fixed income products, currencies, commodities, corporate credit, government debt, interest rate products, and other types of securities. Flow traders do this for their firm’s clients, while proprietary traders use their employer’s own capital to make the trades. Quantitative traders use mathematics and computer programs to create, test, and optimize models of trading techniques. Traders often specialize, becoming experts in particular t...

Quick Facts


Median Salary

$75,900

Employment Prospects

Fair

Minimum Education Level

Bachelors Degree


Experience

One to two years of experience in trading or sales


Skills

Financial|Math|Sales


Personality Traits

Enterprising|Outgoing|Realistic

Earnings

Securities, commodities, and financial services sales agents (a career category that includes traders) earned median annual salaries of $75,900 in May 2023, according to the U.S. Department of Labor. Earnings ranged from less than $45,420 to $212,800 or more. Highly skilled and experienced traders can earn more than $500,000 a year.

ZipRecruiter.com reported that, in February 2025, deriv...

Work Environment

Unlike their analyst and associate colleagues, investment banking traders don’t work 100-hour weeks that include weekends. They typically arrive to work prior to market open (6 a.m. to 7 a.m.), and then are able to leave when their particular market closes in the late afternoon. Less-experienced traders typically work longer hours. The trading room can be hectic, and the work of traders is ofte...

Outlook

Most recently, the pandemic disrupted the global economy, with significant effects on the investment banking industry. Changes in financial regulations, shifts to remote work schedules, ongoing technology advances continue to challenge investment banking professionals. According to a Deloitte report, in the coming years, "...investment banking will transition from a full-scale service model to ...