Interested in inter-dealer broking?

Big gainers from the credit crunch, inter-dealer brokers (IDBs) are looking to poach disillusioned techy types from investment banks.

As investment banks shrink inwardly as a result of problems arising from the sub-prime crisis, inter-dealer brokers are riding high on a wave of volatility.

They're looking to invest in technology and bolster their teams, reckons Simon Walker, director of IT recruiters Project Partners: "They want far more intelligent order management systems and post-trade processing systems. They are taking on business analysts with specific asset class experience, project managers and developers in much larger numbers than last year."

A new report by IT consultancy Celent reckons that the inter-dealer broker industry will be driven towards electronification by product standardisation and shrinking margins. It says electronic brokerage will account for 65% of all revenues in two to three years - up from 5% in 2004.

Growth in electronic trading is already in evidence. Icap saw a 24% increase in average daily electronic broking volumes in the first quarter of this year, to $923.2bn, with the highest volumes - $966.1bn - occurring in March.

"There's a bit of an arms race going on," says Walker. "The inter-dealer brokers are putting their money where their mouth is and rolling out exciting and challenging projects. Candidates are realising it's a more attractive option, which means they're more responsive when we begin the headhunting process."

Job security is one of the IDBs' selling points. They're not paying silly money to attract staff from i-banks, Walker says: developers with C# and Java knowledge can bring in upwards of 80k and business analysts between 45k and 65k. Project managers are usually employed as contractors on 650-750 a day.