Why Indian High Frequency Trading Firms Are Paying Interns So Much
Indian high frequency trading firms are offering record internship pay as they compete for engineers skilled in coding, mathematics, data and trading systems.
AC Team
High frequency trading firms in India are offering record pay to attract young engineers. Some interns may earn up to ₹30 lakh a month, putting a two month internship close to the annual pay of many experienced professionals.
The sharp rise in pay points to a bigger change in the market. Trading firms now want people who can build fast computer models, study large sets of data and find small price gaps in the market. These skills are rare, and firms are competing hard to find them.
Internship pay reaches ₹60 lakh
Gurugram-based Quadeye is offering ₹30 lakh per month for interns, according to people familiar with the matter. Its usual two month internship can therefore pay ₹60 lakh. This is about four times the amount offered a year earlier.
Graviton Research Capital LLP has also raised its offer to about ₹50 lakh for a two month internship. The firm paid around ₹16 lakh for the same period earlier.
Global trading firms are raising their offers too. Amsterdam-based IMC Trading BV has doubled its internship package to ₹50 lakh. Optiver Holding BV is offering about ₹60 lakh for two months.
These figures apply to select students, not to every intern in the finance sector. The firms usually hire from leading engineering colleges in India. A strong background in mathematics, computer science, statistics or data science can help students enter this field.
What high frequency trading firms do
High frequency trading, or HFT, uses computer systems to place trades in fractions of a second. The firms write software that studies market prices and sends orders at high speed.
Quantitative engineers, often called quants, create the models behind these systems. They test trading ideas, check risk and improve the speed of the software. A small edge can matter when a firm makes thousands of trades. In this world, a slow computer can feel like bringing a bicycle to a race car event.
Trading firms also need people who can work with complex data and low-latency systems. Low latency means reducing the time between a market signal and a trade. Even a tiny delay can affect whether a strategy makes money.
Why firms are hiring from campuses
Recruiters say global HFT firms are becoming more aggressive in campus hiring. They prefer to train young engineers from the start instead of hiring them later in their careers.
This approach gives firms access to students with strong technical skills. It also helps them build teams that understand the firm’s systems and trading methods. Finding experienced people with the right mix of coding, maths and market knowledge can be difficult.
Daniel Vaz, a partner at recruitment firm Aquis Search, said global firms are not finding enough candidates with the required depth for junior and mid-level jobs. This shortage has pushed up pay for students who show strong potential.
Market pressure has not reduced the talent race
The higher pay comes at a time when parts of India’s trading market face pressure. New rules from the Reserve Bank of India and other regulators have affected derivatives activity. The steps aim to protect retail investors and reduce risks linked to high-risk trading.
Average daily notional turnover in futures and options listed on the National Stock Exchange fell to a 17 month low in July. The NSE is the world’s largest derivatives exchange by trading volume.
A market regulator study published in August found that proprietary trading firms, which include HFT firms, saw their gross profit fall by 3 per cent in the 12 months ended March compared with the previous year.
Despite this pressure, firms still need skilled workers. Many local HFT companies are moving beyond Indian equity derivatives. They are exploring other asset classes and overseas markets, which creates new demand for engineers and researchers.
What students need to prepare
Students who want to enter HFT should focus on skills rather than finance terms alone. Useful areas include:
- Algorithms and data structures
- Probability, statistics and linear algebra
- C++, Python or other programming languages
- Machine learning and data analysis
- Operating systems and computer networks
- Problem solving under time limits
Hiring tests may include coding tasks, maths problems and logic questions. Some firms also ask candidates to explain how they would test a trading model or manage risk.
The pay may attract attention, but the selection process remains tough. Students often face several rounds of tests and interviews. The work can involve long hours of testing, repeated mistakes and close checks of small details. A model that looks smart on paper still has to work with live market data.
For selected students, these internships can offer rare training and a direct path into quantitative trading. For the firms, the large offers reflect the value of people who can turn maths, code and market data into fast decisions.
