How would you answer "Tell me what's going on in the markets?"
I have an interview coming up (asset management) and I was curious how others would answer this question, especially in this current environment
I have an interview coming up (asset management) and I was curious how others would answer this question, especially in this current environment
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Start with how the major indexes are doing today and for the week, then move on to commodities like oil, gold, then 10 yr treasury yield. This should be very short. Then talk about major trends affecting the economy right now eg. Fed making it rain, coronavirus spread. You should be keeping up with major economic releases and can throw in a couple numbers there too (eg. weekly jobless claims, ADP job report, GDP report, mortgage rates, consumer credit, EIA petrol numbers, depends on industry). Then end with where you think the market is going, formulate an opinion based on the stats you've just cited.
It’s a shitshow out there... as J.P. Morgan said when asked about what the stock market will do: “it will fluctuate”
I can help you get super prepared on the debt capital markets side, such as market updates in leveraged loans, high yield bonds, restructuring and bankruptcy). I can send stuff from LCDcomps.com (LCD), LevFin Insights (LFI), and on the Fed’s Actions such as Main Street Lending Program and buying of corporate bonds—S&P Market Intelligence has great articles published. The S&P stuff I think I posted in a JPM interview thread (or just scan thru my comments) if u want it immediately. People got asked about Fed stuff in some of the interviews i mentored ppl in, including 2 for 2 in JPM. So def read that
I have a LevFin interview this week, would love any advice you have
If you want to message me, I’d be happy to discuss further. And shoot me the job description too
I think it depends on the type of interview (is it for a specific sector, etc.) but I would start with macro items in the economy and discuss what you think the trends and drivers are that have the market going volatile right now. Somebody threw out a few items to note, but commodities (oil supply / demand, gold hitting a new high as a somewhat safe place for money, etc.), fed rates / treasury yields and the ability to borrow money on the cheap (both for consumers and corporations), consumer metrics (unemployment, confidence, etc.), M&A / debt markets (credit markets are pretty challenging for new acquisitions but doable and M&A is starting to make a come back), volatility index spiking, general stock market performance, among many other things.
Lastly, it is important for you to have an opinion on where the markets are going, what sectors will be positioned well going forward and essentially where it is a good place to put money right now. The cool part of that is that the markets have been so wild in 2020 that there isn't a consensus on where things are going; you can't really mess this part up because there is no right answer.
Read Howard Marks last few investors
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