The Financial Times has published a fascinating article about Gary Stevenson, a former Citibank trader who boldly claims to have been the best trader in the world. The piece, titled "Gary Stevenson claims to have been the best trader in the world. His old colleagues disagree", is available to read in full without a paywall - click HERE to access it.
Stevenson asserts that he made $35 million in a single year, earning him the self-anointed title of Citibank's most profitable trader globally. His unapologetic and colorful language, reminiscent of a true East Ender, has contributed to the success of his bestselling book "The Trading Game". With his rags-to-riches story, which involves high-stakes drama and hubris on the trading floor, a movie adaptation à la "Liar's Poker" or "The Wolf of Wall Street" doesn't seem far-fetched.
Stevenson's story is one of unbridled ambition but also controversy especially among his peers at Citibank, making for a captivating read. As the son of a postal worker from East London, his journey to becoming a trading sensation is a true tale of grit and determination, and also brashness.
But what led him to walk away from it all?
The article offers a glimpse into the life of the self described trading legend. The book likely goes much deeper. Both are likely definitely worth a read.
The back story problem from his book comes from his self-annoited title as the best trader in the world?
$35M is a nice sum but it is not really a lot in the trading world. Making $35M on the trading floor can mean different things dependent on the job, and what are the "natural flows" from the natural business. That is, what is made by just turning on the lights each day and having the flows from the market making to the bank's vast customer base. .
The story outlines views from some who worked with Mr. Stevenson and who question his "best trader in the world" title. According to those collegues, he wasn't even one of the top traders at Citibank let alone in the world.
The article has added interest to me as I also worked for Citigroup, London but a number of decades earlier (from 1990 to 1994 to be exact). I was also part of the same STIRT desk (Short Term Interest Rate Trading desk). i could be wrong - just as this article seems to suggest Mr. Stevenson has lapses in his memory from just a few years ago - but I am pretty sure the STIRT acronym was "born" when I was there.
Back then, the stakes seemed to be a little less on the STIRT trading desk, especially in relation to the action on the spot foreign exchange trading desk. However, so was the size and scope of the bank. I googled Citigroup's 1990 revenue and they came in at $5.182 billion for 1990. The 2023 full-year revenue was $78.5B .
Recalling my time there I made $3 - $5 million. I traded and quoted prices in Short term interest rate derivatives which was comprised of Forward Rate Agreements (or FRA's) and short term interest rate swaps (less than 1 year).
Comparing my $3 to $5 to his $35M seems quite a spread, but total revenues was also much lower in 1990 vs 2023 as well . As time goes by, numbers go higher.and higher and higher.
Anyway, when I was there, the big money was made on the forex spot desk. They also had "the flows". It was the most interesting place I worked and was made of the best management. It was a well oiled machine under the leadership of Julian SImmonds (seen on the spot forex desk below), Guy Whittaker,, Nick Beecroft and a slew of top-notch traders.
The story brings back fond memories and makes me wonder, why did I ever leave. However, that story is for another day and we all know you can't unwind trades already done.
Anyway, I am intrigued to read the book and if the movie is made, will be interested in seeing it as well, even if it is more fiction vs non-fiction.