The best-paid technology jobs in hedge funds are for programmers who are competent in C++, the complex coding language used for the construction of high-speed trading systems. One recruiter says hedge funds’ demand for strong C++ coders is “unending.” Peter Wagner, managing director of New York Search firm Affinity North and a former VP in credit derivatives IT at Morgan Stanley, said:

“We see a massive demand for C++ from our hedge funds clients. Currently, the biggest language premium has to be for great C++ developers. Maybe I should have stuck w/ C++, which I learned 30 years ago!”

The appetite for C++ engineers is visible in major funds’ job adverts. Citadel, for example, is in pursuit of C++ coders in Chicago, New York, London, Zurich, Sydney, and Hong Kong. Millennium has vacancies in London, New York, Hong Kong, Chicago and Miami.

Olly Thompson, a London based trading technology headhunter, says C++ coding in a hedge fund is the highest paying technology job available in the financial services industry. For C++ engineers in London, earning £500k ($687k) in the form of a £200k basic plus a £250k-£300k bonus is “100% achievable,” he says.

Another London headhunter, speaking off the record, says demand for C++ coders is consistently high in hedge funds.

As we’ve noted before, C++ has historically been used for a particular set of functions in investment banks and financial services firms. By virtue of its low level memory access and therefore speed, it’s often the language of choice for high speed trading systems. This is why JPMorgan, for example, is currently hiring a C++ engineer for its JISU low-latency platform, why hedge fund Citadel wants a C++ engineer for its own market making systems, and why Goldman looks for C++ expertise for its systematic trading team.

As high speed electronic trading systems become an increasingly important differentiator and algorithmic trading takes hold beyond the equities markets, C++ expertise stands to become more sought-after in finance. Paul Bilokon, a former credit quant at Deutsche Bank and founder of AI company Thalesians, has long been an exponent. Bilokon points out that Bjarne Stroustrup, the Danish computer scientist who created C++, described it as a language for defining and using light-weight abstractions, and that this makes it peculiarly appropriate in banks and hedge funds.

“Finance is full of abstractions. And there is a lot of demand for their light-weight implementations – in derivatives pricing and, most pertinently, in high-frequency trading, where there are few alternatives to C++,” he says.

As C++ evolves, Bilokon says its use is spreading. Hedge fund Millennium specifies that its quantitative developers have, “substantial modern C++ programming experience,” a designation that it doesn’t define and that can mean different things to different people. He adds:

“Modern C++ used to mean C++11 and above, but nowadays may be taken to mean C++17 or even C++20 and above.” 

In finance and elsewhere, the more recent iterations of C++ have considerable advantages over their predecessors. There’s less use of the old C-style idioms and the language is both cleaner and more powerful, which can make users more productive. Bilokon says the upshot is C++ has caught up with Python by introducing range-based “for” loops and powerful lambda expressions. “C++20 is all about modules, coroutines, concepts, and the ranges library.”

While C++ isn’t exactly taking over from Python in finance (there are currently 2,150 Python roles advertised on eFinancialCareers versus just 785 for C++), this does mean that the language is becoming easier to use and is venturing beyond some of its historic niches. Goldman Sachs, for example, is migrating its SecDB risk and pricing system away from its proprietary language, Slang, and is looking for people who can code in both Java and C++ to help make the transition. C++ is also well-used in analytics systems, site reliability engineering and for strats roles relating to pricing, risk and P&L calculations.

Python has become a necessary language to learn if you want a job in finance. However, while students everywhere are becoming minor Python coders, the fact that C++ is harder to master can be a differentiator when it comes to getting a job. At the same time, more recent versions of C++ are easier to use than those that came before. C++ 20 has improved support for large-scale dependable software, says Bilokon

Popularity 

For those who want to work in software and game development, picking which programming language to learn may be swayed in part by how widely adopted and popular they are amongst prospective employers.

While there are peaks and troughs in the popularity of particular languages, those at the top of the pile tend to stay there, and surveys show that the pros are still mostly attached to Javascript.

Memory management 

Another thing amateur coders need to keep in mind is how memory management in Python is handled, and how this can be seen as comparatively limited.

Javascript automates much of the memory management process, allocating and freeing up resources as they are needed. Memory leaks are still possible, so being aware of the performance issues that these can cause is key, especially when customer-facing creations are being coded in this language.

Accessibility

Plenty of newcomers to coding will want to choose a language based solely on how easy it is to comprehend from day one. While this is not always the best long-term strategy, it certainly helps to get your foot in the door.

In terms of comparing Python to Javascript, the former is unquestionably more accessible to novices than the latter. Its functions and variables are simple and should not take too long to get a grip on, while there is a lot more of a steep learning curve when it comes to Javascript.

Scalability 

The scalability of a programming language will largely determine the kinds of projects you can use it for, and again there is an interesting contrast between Javascript and Python in this context.

Javascript, specifically in its latest form, is built for scalability so that it can deal with the rigours of running all sorts of web apps and services being used by a lot of people simultaneously.

Python is not as innately scalable, but it overcomes this through its support for co-routines which can incorporate exceptional abilities to function smoothly even as volumes increase. The fact that globally known services like YouTube are built on Python is evidence that, with the right approach, scalability can be achieved. So it is less about the tools and more about your ability to use them to the fullest of their potential.

Versatility

Lastly, it is worth looking at the kinds of things to which these languages are usually applied, and the extent to which this will gel with your future plans. Javascript works well for both backend server work and front-end functionality as well, while Python is very much focused on the former. Python is arguably broader in its applications, as it is not only used for web development but also has a foothold in cutting-edge areas like AI and machine learning.

Of course, the joy of coding is that you do not have to stop at learning just one language, so once you learn the basics of either Python or Javascript, you could always move on to the other!