Sebastián Rey Ortega of GBM: Finance is like music

“The work of a trader is very technical, but requires a lot of common sense and passion. You need to understand numbers and market movements…but first and foremost, you have to like it.”

Sebastián Rey Ortega

According to Sebastián Rey Ortega, Head Trader at Grupo Bursátil Mexicano (GBM), sports, music and investment work all have something in common: they require discipline.

“In sports, even if you are exhausted, if it’s time to train, you have to do it. For example, if you want to drop your best time by three minutes, there are no shortcuts, you need to be disciplined and log your progress,” he explains.

“And in music, the rhythm of notes and understanding how it works is somewhat similar to market movements.”

Rey, an industrial engineer by training, says that sports and music are highly valued activities. “A candidate can come with a very good résumé, master’s and graduate degrees, but in my experience, those that are athletes or musicians have strong elements that help them outperform in all aspects of their work.”

Aside from these advantages, sports and music also serve as an outlet from the significant pressures of work in the financial world, a great boon to those in the field, especially the decision-makers.

Reading to understand

Rey, who has participated in various IPOs for Mexican companies, also highly recommends reading.

“Anyone who considers themselves passionate about the markets must read Reminiscences of a Stock Operator by Edwin Lefèvre,” he suggests.

Reminiscences is a historical, economic and biographical novel that describes daily life in the financial industry in the early 1920s. It is at least in part a collection of several articles (also written by Lefèvre) originally published in the Saturday Evening Post in 1922 and 1923; it weaves these articles throughout the fictional narrative that follows the life of a finance wizard and outstanding broker at the beginning of the Roaring Twenties and only a few years before the Crash.

“Based on a true story, it’s a very fun novel that has inspired thousands of traders. It’s a timeless piece, because it talks more about human feelings and emotions than the markets,” he says.

He observes that the book touches upon the three main emotions that people and the markets experience: fear, greed and hope. “So, when the price of oil rises, there is greed; when markets are waiting to see what will happen in a presidential election, there is hope; and now with coronavirus, there are moments of fear,” he explains.

The need to multitask

Rey’s career has led him to and through a number of financial businesses and IPOs for several major companies.

He has also experienced traumatic, unexpected and life-changing events: “I was working at an entry-level position when 9/11 happened. Then, four years ago, there was the election of Donald Trump, which was tough for Mexican markets. Never had we traded as much volume as we did on that day,” he recalls — then there are other events in which he did not participate directly but from which he learned a lot, like Brexit.

“Sometimes you’re a spectator and other times, an actor,” he says.

He also describes a trader’s work as very technical, but requiring a lot of common sense and passion.

“You need to understand numbers and market movements, apart from having basic knowledge that you can usually develop as you study and work; but first and foremost, you have to like it,” he emphasizes.

Rey also warns that it is a stressful job in which multitasking is mandatory. “You need to have two or three conversations at the same time and be aware of many things. It’s like juggling without letting any of the balls fall,” he says.

In college, he learned to combine several tasks. He worked at a low-paying job as an assistant, then he would take certification courses required by AMIB (Mexican Securities Industry Association) —the agency created to self-regulate brokerage firms in Mexico — and, in the afternoon, he took classes for his major. “Working while studying was a very important part of my education. It’s very hard, but very formative,” he says.

Overcoming the fear of change

Rey thinks that the greatest mistake new generations entering finance could make is to wait for change to come from somewhere else — when they themselves are part of the change.

In turn, the challenge for seasoned professionals is adapting to fast-expanding technology, something new generations often do better.

Regarding Mexico, he hopes for greater financial inclusion in the coming years, both for banks and stock markets. “Apps and technology in general have made a quantum leap in terms of providing access to clients and we need to leverage that,” he suggests.

“Making investing and saving easy for clients by providing different means and options is one of our missions,” he says.

Another change he has seen throughout his career is women’s growing involvement in finance; in fact, he oversees more women than men and says they are more organized and diligent. “But most important, they are there because of their skills,” he says.

Creating talent

Rey highlights that a benefit of this job is the schedule: “It’s fixed. You start before 8:30 a.m. and finish at 3:00 p.m. You know what needs to be done throughout the day and you need to be prepared for whatever comes in the markets,” he says.

Throughout his professional life, he was able to train several young people and pass on his knowledge and passions. This is reflected in their career achievements.

“I think most of them are better than me, some even more successful, and that makes me really happy, because I’ve been able to create talent,” he says.

Disclaimer: The views and opinions expressed in this blog are those of the authors and do not necessarily reflect the official policy or position of Bloomberg.

Bloomberg invited the GETTERS of the financial market in Latin America to share their insightful stories about their careers, their success stories and the challenges they had to face while not only witnessing the development of this fast-paced environment, but actively contributing to its evolution by creating new tools, sharing best practices and inspiring change.