Infosec to Launching Own PT fund / Transitioning to Quant?

Hey everyone, current infosec (offsec) in big tech, wondering how realistic it is to transition to running my own quant fund (equities focus) from infosec, and whether anyone else has done it before? I've played on Quantopian as a hobby between 2017 and the shutdown of the platform, had a bunch of different algos, some of my early ones being high alpha high beta, some learning over time, some failed radical trading strat ideas from unique data feeds, and finally some with Sharpe ratios >3 with very low beta, not backfitted but actual algos based on different fundamental indicators rather than technical ones. Since then I've built a system (my own algo that figures risk based on fundamentals of the business, with a fairly complex multi-leg trading strategy), and I'm trading six figures of my own savings (after living like I was poor for a year, just saving >90% of my post-tax income) on that, +36% YTD with 6% max drawdown. My time in infosec I think has given me a very analytical perspective, and experience with Python, Golang for high performance parallel stuff, DB's, etc. I think I'm on track to reach true financial independence (mid FIRE, neither fat nor barista) by mid 30's by not rocking the boat, but I kind of want more and think I might be letting my potential go to waste by continuing to work in a role where my annualized income gains are measured in single digit percentages, rather than my monthly or weekly yields. Granted, I'm under no impression that I'm the next Michael Burry or James Simons, but I don't want to ignore a potential quant career if that's possible. I am also fortunate to have quite a few high net worth friends that I think I could talk into investing at least $1m with me. I have no debt, extremely minimal expenses (single guy, no romantic commitments + unshakeable plans not to start any, LCOL area [permanent WFH]), and I could get another prestigious infosec job quickly, so it's not like I'm taking a terrifically impactful risk. Is it crazy for me to think about starting my own prop trading firm? I believe I would need to pass a Series 7 and/or Series 65, among other FINRA certifications, but coming from infosec, I'm no stranger to studying for and passing difficult certifications. Would it make more sense to try working for a quant / PT firm first to get a better feel for a business I don't have direct experience with? If so, are a tech background, some really solid algos and both a backtesting and a live trading setup I built for myself, and good past trading performance (with my own real money, not a paper account) a relevant qualification for that or are they going to want a BS/MS in Financial stuff? Am I making a huge mistake by considering trying something so left-field from my current career? I appreciate all feedback. Blind Tax: YoE: 7 TC: 260k

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seatownj Oct 17, 2023

You’ll need to move to NY. A big part of running a quant fund like that is actually proximity to trade center and the networking aspect. Expect to put up atleast 10% of the fund with your own money and have some track record of successful trades with large amounts to raise any money.

Microsoft Jav.Milei OP Oct 17, 2023

Is beating S&P500 by 100% in a year with (less max drawdown) with low six figures considered a sufficiently "large amount"? My gut tells me no. If I don't want to become rich and just change careers - even if I'm only targeting a total comp of what I make now - and I think I could network with other high net worth individuals where I am now (major US metro area, one of the top 7) - would that still absolutely necessitate a move to NYC?