By Reuben James-Lee, First-Year Spring Scheme Participant
Commercial awareness is an understanding of the commercial world, its recent developments, and, most importantly, how the legal sector interacts with both. I build mine in three ways: by learning finance and markets, by understanding where commercial law fits within them, and by keeping up with current developments.
First, I built a foundational knowledge of how the financial world works. Before I could see where commercial law fits, I needed to understand core financial and economic concepts. How do companies raise money through debt and equity? What economic forces shape consumer behaviour and market activity? What are the major sectors of the economy? For me, Chris Stoakes’ book All You Need to Know About the City was the most useful resource. Stoakes explains London’s financial markets from the ground up in short, clear terms. I supplemented what I learned from the book with university economics society events and bank-hosted webinars, which often explain market mechanics simply.
Second, I focused on how the law fits into this picture. Many London firms run free webinar series on different areas of commercial law, including Latham’s virtual event series, “Latham Live.” I have used these to build a broad view of different practice areas — not just those that interest me most. Teams regularly work together on transactions, so understanding how they complement each other is valuable. Open days and insight events are also extremely useful, and I encourage you to put your questions to lawyers there directly. To follow ongoing legal developments, I read Legal Cheek for firm news, subscribe to the LittleLaw newsletter for a weekly roundup, follow the Financial Times’ legal coverage, and research specific matters in more depth.
Third, I follow current commercial developments. The commercial world evolves rapidly, so up-to-date market knowledge is crucial. If you are following an ongoing case or story, check in regularly, as material changes can occur suddenly. I rely on daily and weekly habits to stay informed: I listen to the FT News Briefing every morning, and I listen to J.P. Morgan’s podcasts every week. I also read the Financial Times and The Economist at least once a week and take notes. Reading the news is not enough on its own. I also consider how a story could affect a client or a deal: which practice areas could be involved, which markets stand to benefit or lose, and how commercial lawyers could help clients mitigate risks or take advantage of opportunities.
This approach has helped me build a strong foundation of commercial knowledge, apply the law to this foundation, and keep my understanding current. Commercial awareness is built not in a week, but through steady habits kept up over time. Start gradually and follow the stories that interest you, and staying informed will eventually become part of your routine.