5 Comments
 

So that the NPV of both sides of the contract are even. What type of swap specifically? Exact methodology will vary.

"For I am a sinner in the hands of an angry God. Bloody Mary full of vodka, blessed are you among cocktails. Pray for me now and at the hour of my death, which I hope is soon. Amen."
 
duffmt6So that the NPV of both sides of the contract are even. What type of swap specifically? Exact methodology will vary.

Someone in S&T told me make sure you can value derivatives; especially pricing swaps and options.

I understand option pricing like the back of my hand. But i can't seem to find how to price a swap.

 
Best Response
wallacewallace222
duffmt6So that the NPV of both sides of the contract are even. What type of swap specifically? Exact methodology will vary.

Someone in S&T told me make sure you can value derivatives; especially pricing swaps and options.

I understand option pricing like the back of my hand. But i can't seem to find how to price a swap.

Value is different than pricing - value will be what the swap contract is worth at some point in time after it is initiated. Pricing will be the values that make the NPV of the swap zero at the initiation of the contract.

I don't really know where to point you for a resource. I learned this stuff from the CFA L2 curriculum, if you can get your hands on that. It's not an easy topic and it's not something you'll be able to do in your head for an interview.

Sorry I can't be of more help.

"For I am a sinner in the hands of an angry God. Bloody Mary full of vodka, blessed are you among cocktails. Pray for me now and at the hour of my death, which I hope is soon. Amen."
 

Nihil omnis voluptatibus rem illum. Nam rerum deserunt ipsum praesentium repudiandae. Aut eaque rerum voluptates impedit aut possimus error voluptatem.

Aut iure cumque quam voluptas. Omnis alias suscipit in et. Minus est voluptate odio dolores voluptatem perferendis. Consequatur aut eos voluptas aut maiores odit. Veniam ullam provident dolorum cum nostrum sed tenetur. Sed earum nobis iusto atque. Voluptas voluptatem perferendis hic blanditiis rerum nobis aut.

Career Advancement Opportunities

October 2026 Investment Banking

  • Evercore 01 99.5%
  • Moelis & Company 01 99.0%
  • JPMorgan 01 98.4%
  • Guggenheim Partners 02 97.9%
  • Morgan Stanley 06 97.4%

Overall Employee Satisfaction

October 2026 Investment Banking

  • Moelis & Company No 99.5%
  • Morgan Stanley 02 99.0%
  • Evercore 01 98.4%
  • Banco Santander 02 97.9%
  • BMO Capital Markets 13 97.4%

Professional Growth Opportunities

October 2026 Investment Banking

  • Evercore 01 99.5%
  • Moelis & Company 01 99.0%
  • Morgan Stanley 05 98.4%
  • Goldman Sachs 01 97.9%
  • JPMorgan No 97.4%

Total Avg Compensation

October 2026 Investment Banking

  • Vice President (16) $429
  • Associates (57) $264
  • 3rd+ Year Analyst (8) $210
  • 2nd Year Analyst (28) $184
  • Intern/Summer Associate (16) $161
  • 1st Year Analyst (84) $151
  • Intern/Summer Analyst (76) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
BankonBanking's picture
BankonBanking
99.0
3
Secyh62's picture
Secyh62
99.0
4
kanon's picture
kanon
99.0
5
dosk17's picture
dosk17
98.9
6
DrApeman's picture
DrApeman
98.9
7
Betsy Massar's picture
Betsy Massar
98.9
8
CompBanker's picture
CompBanker
98.9
9
GameTheory's picture
GameTheory
98.9
10
Mimbs's picture
Mimbs
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”