Analyst Sales and Trading Interview Questions | Glassdoor

Analyst Sales and Trading Interview Questions

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Analyst sales and trading interview questions shared by candidates

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Jan 25, 2011
 What is R squared? (Statistics)2 AnswersIsn't this linear regression? But in relation to what? V random questionR squared is the variance of the stock. When you're measuring correlations, it measures the amount of risk that the stock shares with whatever you're comparing it with (e.g. an index).

Sep 9, 2014
 I roll a die. If I roll a 1, I give you \$1. If I roll a 2, I give you \$2, and so on. Make me a market on this game, and explain why.1 AnswerI didn't process it as an expected value question at first (embarrassingly enough), but the EV of the game is (1 + 2 + 3 + 4 + 5 + 6)/6, or 21/6, or 7/2. So the market should be made tight since it's easily calculable-- 3.49/3.51

Jan 26, 2011
 Which would you choose to invest in...Ford or GM?1 AnswerI went with Ford because it didn't need the government bailout to survive, despite GM's impressive IPO.

Nov 7, 2012
 This wasn't difficult, but it's the only specific question I can remember. You're playing basketball and you're down by 2. You know you can hit a 2-pointer to tie the game with 28% probability, and then go on to win the game in overtime with 50% probability. Alternatively, you know you can hit a 3-pointer and win with 15% probability. Which do you take?2 AnswersThe 3-pointer3-pointer. First option has a probability of 14% of wining (0.28x0.5) whilst the second option gives you a probability of 28%.

Nov 11, 2014
 Why did we choose you to come to our final round interview?1 AnswerMy experience, my potential

Dec 1, 2014
 what is the square root of 64,000?3 Answersdon't say 80.10^0.5*80=253Wrong Above~ The point is to get the answer without a calculator! The fairly easy way is to use Newton's method or Taylor expansion to get sqrt(10).

Nov 25, 2013
 How do you hedge interest rate risk?1 AnswerIf you believe rates will rise, short treasuries.

Feb 4, 2015
 behavioral. imagine a situation blah blah blah1 Answermy answers obviously didnt sound satisfying to the MD