How many pure mathematicians have you been taught by? If I remember rightly, you were an econ student, who now does some financial stats (at Bristol?). So you might be being a little harsh! Some of the best teachers I've ever had were pure mathematicians, and I'm an applied mathematician (well, applied analysis) by nature.
I used to think very much like you do, in that most people are very much "pure" or "applied". In actual fact, you find that most professional mathematicians are good at anything that would be considered Masters+ level. For example, your fluids guys will have a top notch understanding of functional analysis, your geometry guys will have an intricate understanding of Hamiltonian mechanics, and so on. Theoretical physics is a great example: lots of them spend most of their days playing around with deep index theorems, or cooking up some deep constructive quantum field theory using some heavy results from category theory. And yet if you ask them to compute the scattering amplitude for a QED process, or figure out how much the rotation of the earth will effect the trajectory of a tennis ball, they'll do it in minutes!
Strangely enough, of the people I know who chose to go into the banking industry from a mathematical background, the vast majority were pure mathematicians! I wouldn't think this was the norm though.