The Mental Strategies of Top Traders: The Psychological Determinants of Trading Success

1.5. TEAMWORK AND LEADERSHIP

To the extent that he is building a portfolio and increasing the amount of capital in his portfolio, the successful trader will also be someone who shows evidence of leadership ability, especially when it comes time to expand his team of analysts to assist him in finding more ideas and doing more work on those in his portfolio. To be a good team leader he ideally will have the right amount of empathy required to understand the needs of those he is managing and a capacity for gregariousness and sociability that will enable him to interact successfully with others and to empower them to become all they are capable of becoming. To some extent, this capacity also relates to the PM's ability to be coached himself and to work on improving his own game by learning from others, by being flexible and accommodative to the needs and vision of the organization.

The best PMs have a capacity for leadership and teamwork that is evidenced by their ability to suppress their egos and empower others. They are less egocentric and more empathetic and empowering of others.

While a successful PM may be making investment decisions on his own within the risk management parameters of his firm, he may be called on to function with others in a collaborative way, sharing ideas and best practices, empowering others, and accepting coaching as it relates to his own performance. The introspective, highly intellectual but withdrawn or reticent individual may be a brilliant contributor ...