Mock Trading Session

Hello,

I have a mock trading session upcoming as part of the interview process a fixed income job. The hiring manager sent me a few documents to help me prepare, but does anyone have any idea what this would generally entail?

Thanks!

 
Best Response

Just know the relationships between the various products/instruments that you see on your "screen" and get really good at the mental arithmetic associated with those relationships. Prices will adjust as orders hit your markets and liquidity dries up or is added. This will probably drive some instruments to have prices that are not in line with arbitrage pricing theory and in that case you should either update your other quotes or hit the screen markets. I imagine that is as complicated as an interview mock trading session could be.

Disclaimer: I've only done a bunch of equity options mock trading, not fixed income...

 

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