Career conversations: Adding value to multi-asset trading strategies

The biggest challenge that I've ever faced from CFA® [Program] was when I failed my Level 2, right after I came to Singapore. I'm Joseph Yeow, sales trader from CMC Markets, and I'm a CFA® Charterholder.  

Before CFA [Program], I was investing based on gut feel. But right after CFA [Program], I have a more structural thought, so I understand macroeconomics better, understand the linkage between industry to industry. I have a more structural, top down approach in terms of investing.  

My current role is, it is semi relationship, but it's a lot more hands on in terms of markets. So what I mean is that our clients are doing their trading day to day on different asset classes. So shares, indices, currency, commodities.

To have an understanding of multiple asset classes it will take years of experience. But once you go through CFA [Program], then you have a broader view of understanding what actually impact all these asset classes and how these asset classes link from one to another. So that's what I learned from CFA [Program].

So I use that skill set, apply it to my job, and then I use it to help my clients like making informed decisions in trading.  

I will use an example during this COVID period. We see an increased training volume in US shares, where there's a lot of FOMO, people are trading on sentiments, people are trading on news, people overlooked the fundamental value. This is where I can value add to my clients. To let clients know that they are trading on sentiments. In terms of the real valuations of the company, it is overvalued at this point.  

So just imagine a situation where you came to a new country, you don't have any friends or family here, at the same time you failed your CFA [Program], so how do you actually get through that?  

For me, it's very straightforward. It all comes down to time management. Just make sure to allocate certain time to work, to exercise, and also to study on the weekdays and also weekends. For me personally, I don't study more than 45 minutes. I realize 45 minutes is the maximum that I'll go.

And also one small little trick before that is that right after work, you have your dinner, you take a bit of rest, and then I'll go for exercise first. Either a long run, or I go to the gym, make sure I clear out my mind before I study that is the most productive, right?  

You certainly need to have a bit of resilience to go through CFA [Program], especially if you went through, [failed] one of the exams, especially back then, you can only take the exam once a year, so it can take years for you to complete.

Why did I continue down this journey? Because I can imagine once you get through that, all the opportunity and all the network that you can get from there, and personally, I just don't like to drop any project halfway through, I like to complete it.

CFA [Program] can be challenging, it requires a lot of commitment and also sacrifice. The bright side of that is that once you get through that, it's practically the financial industry opens up to you.