Career Transition: Software Engineer to Quantitative Developer
Many software engineers in my network are interested in transitioning to quantitative development roles but often lack a clear understanding of what the move entails.
๐ช๐ต๐ ๐ ๐ผ๐๐ฒ?
Reflecting on your motivations is crucial. A word to the wise: most firms seek compelling reasons beyond โmy friend from University makes more money than meโ.
๐พ๐ค๐ฃ๐จ๐๐๐๐ง ๐ฉ๐๐ ๐๐ค๐ก๐ก๐ค๐ฌ๐๐ฃ๐โฆ
Greater intellectual challenges (Coding + Maths + Finance)
Closer collaboration with quants โ every day
Greater impact on fund performance (one quant developer at a hedge fund was paid an ยฃ8M bonus in one year)
Better career progression (Firms with QDโs tend to have offer a steeper learning curve through a more 360 role)
๐ช๐ต๐ฎ๐ ๐ฎ๐ฟ๐ฒ ๐๐ผ๐ ๐บ๐ถ๐๐๐ถ๐ป๐ด?
There is significant overlap between pure engineering roles on the buy-side and quant development roles โ but to make a successful move, you need to identify areas where you might benefit from upskilling, as well as those where you can add value.
*๐๐๐๐๐ก๐ฎ ๐๐๐ฃ๐๐ง๐๐ก๐๐จ๐๐* ๐๐๐๐๐๐ง๐๐ฃ๐๐๐จ ๐๐๐ฉ๐ฌ๐๐๐ฃ ๐ฉ๐๐ ๐๐ฟ ๐๐ฃ๐ ๐ฉ๐๐ ๐ฅ๐ช๐ง๐ ๐๐๐
๐๐ฐ๐ง๐ต๐ธ๐ข๐ณ๐ฆ ๐๐ฆ๐ท๐ฆ๐ญ๐ฐ๐ฑ๐ฆ๐ณ: Focuses on building infrastructure components required for trading and occasionally assists quant developers with their strategies.
๐๐ถ๐ข๐ฏ๐ต ๐๐ฆ๐ท๐ฆ๐ญ๐ฐ๐ฑ๐ฆ๐ณ: Closer to a researcher, they analyse data to derive quantitative insights that can inform new trading strategies or improve existing ones. They code, test, and implement strategies themselves, optimizing trading prototypes and building trading infrastructure from scratch.
๐๐ผ๐ฟ๐ฒ ๐ฆ๐ธ๐ถ๐น๐น๐
Success in a quant development role requires both technical skills and deep financial market knowledge.
๐๐๐๐๐ฃ๐๐๐๐ก: A strong engineering background is essential. If you could cherry pick languages, the safest bets are Python and C++ is highly transferable and valuable in this space.
๐๐๐ฃ๐๐ฃ๐๐๐๐ก ๐๐๐ง๐ ๐๐ฉ๐จ: Understanding capital markets and how they function is crucial. Many roles require specific asset class experience, so staying informed about general market trends and delving into particular areas of interest is important.
๐ฆ๐๐ฒ๐ฝ๐ ๐๐ผ ๐ฃ๐ฟ๐ฒ๐ฝ๐ฎ๐ฟ๐ฒ
Reflect on your motivations for a move.
Identify your strengths and weaknesses in engineering.
Delve into capital markets knowledge:
Identify areas of interest.
Understand how engineering can impact the front office.
4. Formulate a plan
5. Execute
๐๐ผ๐ ๐๐ฎ๐ป ๐ ๐๐ฒ๐น๐ฝ?
Having overseen such career transitions, I understand what you need to do to make this move. Get in touch for targeted reading lists, CV guidance, and access to roles that align with your profile and career goals.