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How Sinclair Entered Market Making From Physics
- Euan Sinclair fell into trading after a physics PhD and joined a small market-making firm where he learned by doing many trades.
- Being in a small firm and a market maker gave rapid feedback and broad responsibilities that accelerated his learning.
Market Making Is Now Risk Management First
- Modern electronic market making is almost a different job focused on risk management rather than directional bets.
- Market makers trade many small flows, face heavy adverse selection, and must specialize in inventory and hedging rather than long single-position analysis.
Start The Day By Reconciling Inventory And Valuations
- Check inventory, valuations, and corporate actions before the market opens because nearly all problems start from mismatched records.
- Reconcile clearing firm inventory to your systems, verify overnight vol adjustments, and confirm earnings or corporate events for positions.