2nd Interview Questions for an Entry Level Market Neutral Trading Position

I recently graduated with a finance degree from a non target and have a second Interview coming up for a entry level trader position with a small market neutral hedge fund. The first interview was much less complex than I had anticipated. No brain teasers, mathematical, or valuation questions. Almost verything asked was behavioral. The only finance related questions were like "do you have an investment style you prefer". Should I expect much more technical questions in the second interview? Any advice would be greatly appreciated, particularly on what concepts to focus on. I don't know if I should spend most of my time reviewing general math and statistical concepts or if I should spend more time reviewing common finance concepts like DCF analysis.

Thanks,

Adam

 
Best Response

You need to make them understand that you are acutely aware of 1) price 2) fills and 3) market conditions. All three of these things will affect their performance. I can't even begin to tell you how many traders that work at hf's don't have a clue since it's not their capital. You guys can throw sh*t at me...I understand that their are a lot of stars as well...but Adam is looking for how to stand above the rest.

If you have any access to watching some real time quotes (level 2), start paying attention to market conditions. Start getting copies of economic reports that are due out so that you can focus on what happens to the market during those time periods. Assure them that you know that they are looking for more than a trained monkey (be more eloquent) and you are their to help them with their performance.

 

no offense but they're probably hiring you to be an "untrained monkey." basically cheap labor with a high baseline intelligence. when i started my previous job as an execution trader my boss would get nervous when I was too eager to "help with their performance" because that was NOT my job. (which, coincidentally is why it was initially a crappy job.) i'd guess possibly some brain-teasers, fit questions, nothing too technical. nice to show you have some comprehension of statistics

(ps. not the poo thrower)

 

Quia laborum sit nam voluptas rerum et. Quidem aliquid quae qui architecto blanditiis quia molestiae. Molestiae consequatur ut sequi ab dicta dolorum perspiciatis tempore. Eius cupiditate ipsa ducimus dolore repellat. Recusandae atque laboriosam quia veniam voluptas minima.

Aliquid provident sed eveniet deserunt nisi voluptate. Sit ut omnis ea aperiam magni quis.

Neque quia ut minima id earum cumque. Provident dignissimos porro quam autem. Asperiores qui amet autem assumenda porro.

Career Advancement Opportunities

April 2024 Hedge Fund

  • Point72 98.9%
  • D.E. Shaw 97.9%
  • Magnetar Capital 96.8%
  • Citadel Investment Group 95.8%
  • AQR Capital Management 94.7%

Overall Employee Satisfaction

April 2024 Hedge Fund

  • Magnetar Capital 98.9%
  • D.E. Shaw 97.8%
  • Blackstone Group 96.8%
  • Two Sigma Investments 95.7%
  • Citadel Investment Group 94.6%

Professional Growth Opportunities

April 2024 Hedge Fund

  • AQR Capital Management 99.0%
  • Point72 97.9%
  • D.E. Shaw 96.9%
  • Citadel Investment Group 95.8%
  • Magnetar Capital 94.8%

Total Avg Compensation

April 2024 Hedge Fund

  • Portfolio Manager (9) $1,648
  • Vice President (23) $474
  • Director/MD (12) $423
  • NA (6) $322
  • 3rd+ Year Associate (24) $287
  • Manager (4) $282
  • Engineer/Quant (71) $274
  • 2nd Year Associate (30) $251
  • 1st Year Associate (73) $190
  • Analysts (225) $179
  • Intern/Summer Associate (22) $131
  • Junior Trader (5) $102
  • Intern/Summer Analyst (249) $85
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

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...”