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Proprietary trader vs commodity broker

The differences between proprietary traders and commodity brokers can be seen in a few details. Each job has different responsibilities and duties. Additionally, a proprietary trader has an average salary of $100,019, which is higher than the $63,317 average annual salary of a commodity broker.

The top three skills for a proprietary trader include technical analysis, equity markets and equities. The most important skills for a commodity broker are commodities, market analysis, and risk management.

Proprietary trader vs commodity broker overview

Proprietary TraderCommodity Broker
Yearly salary$100,019$63,317
Hourly rate$48.09$30.44
Growth rate10%10%
Number of jobs5411,937
Job satisfaction--
Most common degreeBachelor's Degree, 81%Bachelor's Degree, 77%
Average age4343
Years of experience--

Proprietary trader vs commodity broker salary

Proprietary traders and commodity brokers have different pay scales, as shown below.

Proprietary TraderCommodity Broker
Average salary$100,019$63,317
Salary rangeBetween $60,000 And $165,000Between $39,000 And $102,000
Highest paying CityNew York, NYNew York, NY
Highest paying stateNew YorkNew York
Best paying companyD. E. Shaw groupICAP
Best paying industryFinanceFinance

Differences between proprietary trader and commodity broker education

There are a few differences between a proprietary trader and a commodity broker in terms of educational background:

Proprietary TraderCommodity Broker
Most common degreeBachelor's Degree, 81%Bachelor's Degree, 77%
Most common majorFinanceBusiness
Most common collegeUniversity of PennsylvaniaUniversity of Pennsylvania

Proprietary trader vs commodity broker demographics

Here are the differences between proprietary traders' and commodity brokers' demographics:

Proprietary TraderCommodity Broker
Average age4343
Gender ratioMale, 95.7% Female, 4.3%Male, 82.6% Female, 17.4%
Race ratioBlack or African American, 5.5% Unknown, 4.1% Hispanic or Latino, 11.6% Asian, 12.5% White, 66.1% American Indian and Alaska Native, 0.2%Black or African American, 5.7% Unknown, 4.1% Hispanic or Latino, 12.0% Asian, 9.8% White, 68.2% American Indian and Alaska Native, 0.2%
LGBT Percentage6%6%

Differences between proprietary trader and commodity broker duties and responsibilities

Proprietary trader example responsibilities.

  • Manage business, sales, marketing, international negotiation and communication for a commodities business.
  • Perform qualitative research on potential risk arbitrage positions and subjectively choose equities for inclusion in a risk arbitrage portfolio.
  • Research market strategies and trends using Bloomberg.
  • Develop quantitative driven proprietary models by Bloomberg BLP / API and VBA programming.
  • Research and develop convertible bond pricing application for convertible arbitrage trades.
  • Assess market conditions within the equities market in order to maximize profitability.
  • Show more

Commodity broker example responsibilities.

  • Manage and execute physical/financial grains book as well as base metal arbitrage portfolio.
  • Trade on the NYFE, CME, and CBOT exchanges.
  • Provide research and analysis of prospective exchange trade funds for listing on the AMEX.
  • Support the firm's compliance director with records verification pertaining to audits, inquiries, and questions concerning NYSE floor operations.
  • Reorganize the UBS NYSE floor structure utilizing state-of-the-art technology and consolidating booth spaces.
  • Solicit profitable freight brokerage business by marketing transportation capability via direct sales calls, telephone and direct mail marketing activity.
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Proprietary trader vs commodity broker skills

Common proprietary trader skills
  • Technical Analysis, 12%
  • Equity Markets, 10%
  • Equities, 9%
  • Financial Markets, 8%
  • Portfolio, 8%
  • Fundamental Analysis, 4%
Common commodity broker skills
  • Commodities, 17%
  • Market Analysis, 8%
  • Risk Management, 5%
  • Technical Analysis, 4%
  • Client Accounts, 4%
  • NFA, 4%