Phone Interview Help: Investment Management
I have a phone interview a couple days from now with an investment management firm, and I wanted to ask you guys what kinds of questions I can expect? As is probably obvious, this is my first phone interview, so I really don't know what to expect.
Im guessing it'll be less behavioral and a bit more analytical... Id have an investment suggestion (be ready to back it up course) as well as a macro outlook depending on what this particular firm/fund is all about. Do some research on the fund.
Is this BlackRock, SSga, or Fidelity? If so, PM me. It's all behavioral + pitch me a stock, what's the Dow at, and above ^ (Lots of threads on this)
*Phone interview, I mean. R2, superdays not so easy.
Disclaimer: No experience in any finance interviews other than IBD, but I can give you a few pointers as to what I think may be on it.
Have a view and support for where the market is going, pitch an investment idea, possibly talk about what politically is going on could effect the markets, be able to discuss common valuation methods, if looking at a specific company, what metrics would you look at (e.g. when would you use EV/Sales instead of EV/FCF and possibly industry specific multiples, but I doubt you will need to know that) and anything else market oriented. Be very comfertable with discussing the market and having a conversation about the markets except memorizing where the Dow has closed at the last few days.
Know where various indices are trading at, as well as commodities. Try to have a general understanding of the bigger issues. How QE2 works, the tax cut deal, etc.
Be sure to ask informative questions that show your interest, and be confident!
Don't be afraid to say "I'm not sure". I'd much rather have a kid say he couldn't tell me at the moment vs. some bullshitter who creates a web of crap.
I gotta be honest with you guys, I'm not prepared for the stock pitch part. Any advice about how I could get prepared ASAP?
I'd just pull up a research report on a company and use that. Also don't pick a popular company that everyone knows about; go with a less known stock so your interviewer will be less likely to grill you on it.
Just go to yahoo finance and punch in a stock that interests you. Use the links to get comfortable with what makes this stock move. Where their earnings come from, where they are headed, what headwinds are they facing. I would never ding a kid solely on the stock he chooses, that part doesn't matter as much. It's about how he pitches the stock.
If you come in pitching Apple, you better know the tech in's and out's. If you walk in with XOM, your pitch will be about their deal with XTO, their wells that are producing, your forecast for oil and gas prices. Maybe some comment on the BP oil spill. Whatever is relevant. Just be able to back up your idea. Read the message boards and see what others are saying about your stock. Personally, I'd try to be a bit of a contrarian. Every kid loves Apple and all the mainstream stuff. I'd go in with an idea that they could remember you with.
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