Alpha Banker

OFFICIAL - The Voice of Financial Professionals. News about the financial industry and the people who make it.

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What skill do you need as a junior trader in an investment bank? If any?

What skill do you need as a junior trader in an investment bank? If any?

It was previously possible for traders working in investment banks to trade with the bank’s own money. They cannot do this anymore due to the ban in proprietary trading. They now just bring buyers and sellers together. Their work is however not easier. According to Anton Kreil, a former Goldman Sachs trader, now a trainer, investment bank jobs are boring. He claims that up to 80% of the banks’…

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Investor Psychology: "How beliefs and behavior sabotage success in the investment industry"

Investor Psychology: “How beliefs and behavior sabotage success in the investment industry”

The Instinct to Fail

Human beings, no matter how intelligent, tend to make similar mistakes. Because our brains are pattern seeking systems we often see patterns where they don’t exist. This is easier to understand when you realize that natural selection works by throwing away individual failures so that the arc of beneficial adaptation happens over time and population. What this means is that…

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The Future of Investment Research

The Future of Investment Research

Investment Research is an important function of investment decision making. However, over the last few years this function has come under increasing pressure. First, in the early 2000s banks were forced to put up a wall between research and investment banking in order to prevent corruption. Next, the digitization of trading and creation of multiple exchanges for equity trading led to brokerage…

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Vanguard ex CEO: "ETF fine if you don't trade them"

Vanguard ex CEO: “ETF fine if you don’t trade them”

No less an investor than John “Jack” Bogle, creator of the highly popular commercial trading giant Vanguard, is giving the exchange traded fund a run for its running. Mr. Bogle does not question that the ETF is one of the greatest innovations of the modern investment world. The question that he has is whom the innovation is actually working for.

As a creator of exotic investment tools, Mr. Bogle…

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Week 23 March 2015: People On the Move – Asset Management

Week 23 March 2015: People On the Move – Asset Management

“C Loomis Sayles has promoted Kevin Charleston to chief executive from his previous role as president of the $240bn Boston-based fixed income manager. Mr Charleston succeeds Robert Blanding who will retain the role of chairman.

C Mitsubishi UFJ Fund Services, the asset administration arm of Mitsubishi UFJ Financial Group, has appointed Ken McCarney as chief executive. He replaces Glenn Henderson…

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Future Uncertain for Swiss Private Banks

Future Uncertain for Swiss Private Banks

Switzerland’s private banks and wealth managers are under increasing pressure after the recent appreciation of the currency. After the Swiss National Bank decided to abandon the euro cap on the Swiss franc, the currency soared briefly before returning back to more moderate levels .

Financial experts believe the move by the Swiss National Bank will be extremely harmful for private banks in the…

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The future of Asset Management

The future of Asset Management

Asset management faces an uncertain future. The financial crisis caused a sea change in the industry that brought on new regulations and new perspectives of the industry. More than that, improved technology and changing culture have made traditional finance less attractive to many consumers. The tools, information and assets are all available at the touch of a button, so the need for brokershas…

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The 3 Most overrated Jobs in Investment Bank

The 3 Most overrated Jobs in Investment Bank

Since most common jobs in investment banking pay less than they used to, the appeal of the job is lessening.  Junior bankers work extensive hours with no way to keep up the extra duties that got them the banking job in the first place. Although investment banking has waned, there are still other positions that earn much greater benefits than they might deserve.

1. Managing director in M&AIn the…

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Week 16 March 2015: People On the Move – Asset Management

Week 16 March 2015: People On the Move – Asset Management

“C Seyi Owodunni has moved to Emerging Capital Partners, the pan-African private equity firm, as managing director of the Nigeria office. Mr Owodunni joins from Kingdom Africa Management, a rival pan-African private equity manager where he was a partner.

C Virginie Maisonneuve, the global head of equities at Pimco, the US asset manager, has been appointed by the CFA Society of the UK as first…

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Why is London appealing for financial professionals?

Why is London appealing for financial professionals?

London, England has been a microcosm of globalization for thousands of years. The evidence of Roman occupation can still seen in parts of the Tower of London built in 1066 by William the Conqueror. London also has a number of historic buildings that reflect England’s past conquests. In the past, England absorbed Wales and Scotland creating a new entity called “Great Britain.” London, as the capit…

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Week 9 March 2015: People On the Move – Asset Management

Week 9 March 2015: People On the Move – Asset Management

“C Chris Kaashoek is returning to his old stomping ground, Kempen Capital Management, as senior portfolio manager for Kempen’s global small-cap team. Since ending his first stint at Kempen, Mr Kaashoek had been business development manager at Broadview Holding.

C David Walker is also returning home, in his case to Edinburgh, where he will take up the role of investment director with F&C…

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Asset Management: race to keep interest rate low damaging for Economy

Asset Management: race to keep interest rate low damaging for Economy

Bill Gross, a known name in the world of investing thanks to Pimco, one of the largest bond managers in the world, has claimed that there’s a war of currency being waged, that slashing interest rates would hinder, not help, economic growth the world over. He fears the reaction from the public to such drops in interest will be met with increased saving and a lack of spending.

This concern of…

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Lobbying: Fidelity, Vanguard, Citadel and BlackRock splash

Lobbying: Fidelity, Vanguard, Citadel and BlackRock splash

Lobbying is big business in the US. It’s impossible to fathom a business of a significant size not investing a substantial sum of their money in this practice. In the last year, Fidelity Investments and BlackRock devoted more of their cash than all other asset managers on lobbyists, claims a political research group’s data analysis.

The sums, as they are recorded, will be seen as exorbitant to…

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Week 1 March 2015: People On the Move – Asset Management " Magnus Spence has resigned as chief executive of Dalton Strategic Partnership, the $2bn asset management boutique that he co-founded with Andrew Dalton in 2002.

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Record Highs in the World Market

Record Highs in the World Market

The continuing policies from central banks have been very accommodating for European and U.S. stocks, allowing prices for global equity to remain at the highest levels on record. The feelings of optimism are only set to increase as the bulls in the market look towards an increase in the manufacturing sector of China.

Late in New York trade, the FTSE, All-World equity index went up 0.2 percent to…

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Investment Banking: Finance Jobs Paying £1,000 Per Day

Investment Banking: Finance Jobs Paying £1,000 Per Day

Pay cuts for contractors have become increasingly common in the financial sector. As seen recently at Commerzbank, contractors are being let go in favor of hiring permanent employees that come at a cheaper cost to the company over the long term by eliminating travel and administrative costs of using contractors. Despite these changes, some contractors in highly specialised areas like change…

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Week 23 February 2015: People On the Move – Asset Management

Week 23 February 2015: People On the Move – Asset Management

“Stephanie Ouwendijk has moved from Ashmore Group, where she was a fund manager, to join Franklin Templeton Investments as a portfolio manager in its emerging markets debt opportunities team.

C Sarah Woolfenden has left Standard Chartered Bank where she managed the Middle East private banking team, to join Plurimi Wealth in London as head of wealth management.

C Standard Life Investments has made…

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