Commodity Training: Does it Guarantee a Trading Career?

Commodity training happens in business schools and on trading floors. Typically, a commodities trader starts with a bachelors or masters degree in finance, mathematics or a related field. The next step after one of these degrees is a training program, typically offered by a trading firm. While the training is absolutely necessary if for no other reason than to be certified in the marketplace, it does not always make someone qualified as a trader.

The Role of Experience

In general, with all professions, experience brings advanced knowledge. A novice trader who has been through a trading program has been watching the market for between one and five years. She is lucky if she has seen even one large swing up or down, but she has most likely seen only one type of market. An experienced trader with 20 or more years on the market has likely seen large swings and trends.

X Factors

Each year, hundreds of new traders enter the commodity market looking to turn a profit. Only dozens will be truly successful. For these individuals, there is an X factor that makes them more successful than their equally qualified counterparts. Sometimes it is intelligence, other times it is personality, and often it is work ethic. These intangible qualities are essential for success in the commodity market, and training cannot teach them.