“Tell me about the markets” correct way to answer this questions in finance interviews ?
How should I approach answering this question during interviews?
Should I comment on the coronavirus impact on markets? Talk about 2019 being a record year?
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There is no one right way to approach it. Its just important to have a view on the market and being able to back it up.
You could start macro and then narrow down to something like the coronavirus, or simply start with that and expand on how that is affecting the overall markets.
They just want to know how you think and if you actually have a sense of what’s going on right now.
With the markets you can talk about any number of things. You can talk about rates (which can easily get technical fast), equities (pick one or talk macro or global), FX, commodities (wouldn’t advise unless you know), derivs on any of the above, bonds and loans (TLA/TLB), etc
I would just pick a few equities or a sub sector and talk about macro and micro considerations
Who's asking? Like with so many other things it depends on the other person and his/her mood etc, all of which is tough to gauge and impossible to control.
This is a potential trap question because there is no real right or wrong answer. Some people will want to hear "it fluctuates, if it didn't, you wouldn't have a job and I wouldn't be trying to get this job" others will want a deep dive, others will want general bs commentary.
The discussions that have been most productive for me personally, have started out with something like the above re, fluctuation etc and a laugh. And then looking at the other person's card to see what market he/she is in and saying "I see you are in rates" and having a general discussion about that, say yields, the fed, maybe correlation to equity markets and other asset classes (in short, rates low, hy spreads low, companies levering up, PE dry powder, equity markets at all time highs, central bank puts) but keeping it general since the other person probably knows a lot more than I do about the topic...
And then I ask: what do you see and think, since you work in the area? People usually love talking about themselves and their work so just let he/she run with it and smile/nod. Sometimes it backfires because they don't really respond.
In other words your mileage may vary but the above is generally my approach. Keep it lighter, casual but make it known you do your reading/research and are aware but are also hungry and want to hear what the pros think.
Good Luck
I should have probably said IB interviews. What are investment bankers looking to hear when they ask this question ?
Bump
What should we bring up if it's for an IBD interview not S&T?
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