WSO Hedge Fund Interview Prep Package in the Works!

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***NOTE: I am willing to pay cash AND give you a free copy of the package if one of your cases or pitches ends up in the actual guide.*** Please send me an e-mail ([email protected]) explaining the case or pitch (long vs. short or type of case study) and I'll tell you more.

Now we are at the very preliminary stages of planning this out, but I'm asking for some feedback for a very rough outline below, as well as asking anyone who recently had to go through a hedge fund interview to reach out if you have any equity or credit investment ideas and/or longer form case studies that you have already put together for your interviews. If so, send me a quick e-mail and I'll give you more info :-)

As part of this guide as you can see below, I am looking to have a large collection of case studies and pitches from a variety of different asset classes / fund types so that anyone with any type of HF interview can find a case or pitch that they can model theirs after.

VERY ROUGH OUTLINE

Intro: why does this guide exist?

How to Use this guide
Common Traits of a Successful HF Candidate

I. Chapter 1: Industry Overview

Brief History
Early Stage
Boom & Bust
Recovery and future
Fundraising

Hedge Fund Strategy Types
Long / Short Equity
Credit Focused / Distressed
Event Driven / Merger Arbitrage
Macro Focused
Hedges and Derivatives
Others - Ascent of Quant Focused Funds, HFT and how they impact the above strategies

Fund Economics

Illustrative fund economics example how HFs make $ with 2/20

Titles & Roles
Analyst / Associate
Senior Analyst
PM / Portfolio Manager

Compensation

II. Chapter 2: Industry Operations

Investment Process
Research
Tools Used for Different Fund Types
Long / short equity Diligence
long / short credit diligence
Event Driven Diligence
Macro Trading diligence and trends
Investment Lifecycle
Hold periods
Catalysts
Reward potential and Risk mitigation techniques
Liquidity
Derivatives and/or other Hedges
Position sizing
Other position considerations?

III. Chapter 3: Recruiting Overview
Common Hedge Fund Career Paths
How to Build a HF Background
Recruiting Cycle
How to Work with Recruiters
How to Choose an Offer
How to Write Your Resume

IV. Chapter 4: Interview Preparation
Interview Process
Phone Screen
Investment Quick Pitch - not well known names but not thinly traded either
Longer Form Case Studies
Late / decision Rounds
10 Sample brainteasers Common in HF Interviews

20 Sample Fit Questions Common in HF Interviews

Sample Pitches and Case Studies
Long / Short Equity
3-5 long ideas. 2-page pitches? + template
3-4 short ideas. 2-page pitches? + template
4 long form case studies (2 long, 2 short) + VIDEO
include excel templates
include PPT templates
include research documents and step by step instructions on case prompts, steps taken to complete case in video form (walking through sources used, etc)

Credit Funds
2-3 long ideas. 2-page pitches? + template
2-3 short ideas. 2-page pitches? + template
4 long form case studies (2 long, 2 short) + VIDEO
include excel templates
include PPT templates
include research documents and step by step instructions on case prompts, steps taken to complete case in video form (walking through sources used, etc)

Event Driven / Merger Arb
2-3 investment ideas + template
2-3 long form case studies

Macro
3-4 investment ideas with write up based on macro trends + template...ideally across different asset classes
Derivative investment ideas or cases or as supplemental to any of the cases/ideas above?

Chapter 5: Conclusion

Thoughts??

Comments (34)

Jan 7, 2015

Just please take my money Patrick

Jan 7, 2015

ha, well ideally you are taking MY $ and helping us with cases :-)

I don't expect this to be done until late this year, so not taking any pre-orders yet!

Jan 7, 2015

Pre-order. Put it on my tab!

Jan 7, 2015

Wow, I'm sure us IB Analysts could really use this now as recruiting is about to go under way in the next couple months.

Have you considered adding Activist investing under the investment strategies/guide?

Jan 9, 2015

I would definitely consider a section focused on how to "go about" interviewing for a hedge fund/networking/preparing for it while still at your current job. For those people working in IB but working 90+ hours a week and still having to prepare for a HF interview it may difficult to manage time/prepare in due time.

Jan 9, 2015

How recent should the case study be? I'm happy to send mine over if you want to take a look.

Jan 9, 2015

should add some relative value like yield curve arb, definitely need more on derivatives and vol, convertibles. Then there's the more quantitative mean reversion / correlation breaks / momentum stuff too. Not to mention you'll need some more portfolio based approaches like TAA, risk parity, black litterman styles.

    • 1
Jan 9, 2015

Thanks! Have you interviewed for any of these types of funds? Do you or anyone you know have any cases related to these types of strategies?

Thanks,
Patrick

Jan 14, 2015

Looks like I'm entering at the right time. This should be good. Thanks a lot.

Jan 15, 2015

Can't wait...

Jan 15, 2015

Should be good, can't wait for this.

"When you stop striving for perfection, you might as well be dead."

Jan 24, 2015

woooo

Jan 26, 2015

PM sent.

Feb 8, 2015

nice id suggest expanding the interviews part

Feb 8, 2015

Something tells me we''ll see a collaboration with @"Simple As..." and @"BlackHat" on this one.

Feb 9, 2015

@WallStreetOasis.com

Please make sure this is useful to UK/EMEA users as well! (i.e. state where recruitment processes diverge, different headhunters used etc.)

Feb 15, 2015

can you offer some cases on private lending/special situation interviews and how the modelling might differ from a PE modelling test too? thanks!

Mar 27, 2015

Any ETA on this? Very excited to purchase it.

Mar 28, 2015
fluff head:

Any ETA on this? Very excited to purchase it.

Agreed, first in line here.

Jul 15, 2015

hey patrick! am wondering how's this getting on

Observe. Learn. Share.

Jul 15, 2015

hey man, thanks for checking...we are still a LONG way away from publishing anything. I'm hopeful by the end of 2015 we have at least something in beta we can release. I'll keep this thread updated when we do have something!

Oct 2, 2015

Is there a status update on this? When will it be available?

.

Oct 8, 2015

bump

Make opportunities. Not excuses.

Oct 8, 2015

A lot of people are waiting for this one. Let's see how it comes up.

Oct 8, 2015

You should charge $1,000 for it... so only a select few can buy it... kidding.

.

Oct 8, 2015

Still in the works guys - it's coming along!

Jan 27, 2016

so when is this happening?

Jan 22, 2016

Any word on when we can expect the final product?

Jan 22, 2016

How long does it take to walk through using EBITDA multiples and parroting sell-side reports? I kid I kid.

    • 1
Jan 27, 2016

ha, more about getting enough video webinars / cases / pitches put together to make it a solid product from the start...

beta version likely out in Feb...

Jan 23, 2016

i'm not sure how many 'structured' case studies you're going to find. in the 4+ case studies i've done now (either in office or out), anything take home was honestly just them giving me a ticker and telling me to submit a recommendation + model in 2 weeks.

Jan 27, 2016

agreed, but just trying to have enough cases from different types of funds (not just long/short) before launch...but probably not going to hold off much longer!

Feb 5, 2016
Comment
Jan 30, 2016