Why BNP Paribas Interview Questions
Most banks, including BNP Paribas, commonly ask some variation of the “Why this bank?” question to assess candidate fit.
You are waiting and waiting, and then you get an interview offer at an Investment Bank, called BNP Paribas. You are excited, but then a moment of nervousness hits you; the bank has a 0.4% acceptance rate. You need to practice!
In America, BNP Paribas received around 39,000 applications for just 168 positions, showing how competitive the process is to get a job at the bank. Even with interviews in place, your chances are still slim.
While interviews are challenging, with the right preparation, you can ace the interview, which can ultimately lead you to a job in such a prestigious place.
The interview process varies depending on the role, division, and location to which you are applying. Even geography is critical, so it is essential to know what role you are interviewing for, so you'd have the best chance of securing an offer.
This article will dive into the skills and techniques that can help you land the prestigious job offer and give you the necessary skills needed to set yourself up for success and differentiate yourself from the competition.
BNP Paribas Interview Tips
While the interview process is difficult, some steps could be taken to make it easier and make you stand out from the rest of the crowd.
Some of these steps could be:
- Confidence: While interviews can seem daunting, you must sound confident to impress your interviewer. You want to appear fit for the job.
- Be specific but concise: Avoid over-explaining your answers, since this can keep the interviewer off track. You want to be memorable and not easily forgotten. Additionally, when answering technical questions, keep your answers concise and clear to show mastery, while being ready to dive deeper if asked.
- Strong Understanding of Finance: Technical questions on finance will undoubtedly arise, so it is essential that you heavily prepare and drill in the necessary information that will allow you to succeed in the technical portion of the interview
- Dress Professionally: You want to look your best no matter what. Avoid casual clothing such as jeans or sneakers. Choose business professional attire appropriate for the setting. The last thing you want is to be viewed negatively during the interview process.
- Follow Up: Finally, a practical piece of advice you should take in any interview is to follow up with the interviewer. While this wouldn't make or break the application process, you want to stand out from your competitors and be on the interviewer's mind.
What to Expect During the Interview?
As mentioned earlier, the interviewing process varies from position to position, and even something as simple as geography can have an impact.
Let’s check out different regions and what to expect.
U.S/Canada
In the Americas, interviewers typically conduct interviews through HireVue simulations, which often include behavioral and technical style questions. They can be self-recorded and done at home.
Final rounds in the Americas are often structured as a “Super Day,” involving multiple back-to-back interviews with professionals ranging from Associates to Managing Directors.
Europe/MENA
In Europe and MENA, BNP Paribas often uses assessment centers that include numerical and logic tests, group exercises, case studies, and interviews. There tend to be fewer rounds of interviews, but they can be more technical.
Other Regions
No matter where you apply, you will likely encounter behavioral, technical, fit, and sometimes even brain-teaser questions, so it is essential to prepare for all possible questions.
Why BNP Paribas Question
Most banks, including BNP Paribas, commonly ask some variation of the “Why this bank?” question to assess candidate fit.
Fit questions are used to assess whether you are a good fit for the bank's culture and to understand why you want to join the bank in the first place.
A sample answer to the question could be:
"I want to join BNP Paribas because of its significant global presence that attracts many big companies from a variety of different industries like food, technology, and finance. It would be a privilege to contribute to a global bank that supports diverse industries and helps drive economic growth.
I get to help companies grow and become global, allowing more to reach consumers, and BNP Paribas allows me to do that. I also spoke to a person at the bank named (insert name), who opened my eyes on the bank itself, and made me realize its close-knit culture, which is an environment I thrive in."
Something else, such as the industry you are working in, like investment banking as a whole. A way to answer this question is:
Investment banking surrounds me with talented professionals, offering continuous learning and the chance to make meaningful financial impacts."
This is to stand out and not sound niche. Make the story as personable as possible. Additionally, your story will vary based on your experience. A person who has worked in the finance field can use their experiences to craft their own story.
BNP Paribas Behavioral Questions
Behavioral questions, such as fit, are used to ensure you are a good fit for the company's culture and environment. These questions help assess whether your values, behavior, and problem-solving approach align with the firm’s culture and expectations.
The best way to format these questions is using the STAR Method, which stands for Situation, Task, Action, and Result.
Some common interview questions are:
BNP Paribas Behavioral Questions
“Some of my strengths include being detail-oriented, collaborative, and curious. I am highly detail-oriented when building models, I love collaborating on group projects, and I am curious about learning more to improve.”
"I experienced a challenge when I was in my sophomore year in college, where I had a lot of deadlines that I felt extremely overwhelmed with. I didn't know what to do, and I felt like giving up.
I took initiative and split my work into segments, which helped me overcome my issue with deadlines and allowed me to finish everything. This was a learning experience that allowed me to learn how to manage my time by breaking down my work into manageable segments.”
“When I was working, I had this one client who had unreasonable deadlines for his projects and was overall not open to new ideas on how to manage his firm.
At first, it was difficult, but I encouraged him to consider alternative approaches by first listening to his concerns and then offering constructive suggestions. We even implemented some ideas.
I learned that it's essential to remain calm when dealing with difficult people, allowing them to change their ways.”
"I played a critical role in my M&A advising team at my bank. I had a deal with a company where we had to convince them of the synergies needed to improve their operations.
I came up with specific cost synergies, such as the reduced rent expense if they merge with this company, which are beneficial to the bank, and advised my team on them, and this helped the bank save around $2 billion."
"My biggest weakness is Public speaking. I used to feel anxious during public speaking, which affected my confidence, but I’ve worked on it through consistent practice.
This then allowed me to deliver a full speech at college, enabling me to interact with diverse audiences.”
BNP Paribas Technical Questions
- Calculate Free cash flows and project them for approximately 7-10 Years.
- After that, calculate the WACC.
- Then calculate Terminal Value.
- Discount both the projected free cash flows and the terminal value back to the present using the WACC
- Sum the FCFs and Terminal Value to determine your enterprise value.
- Subtract net debt (debt – cash) from enterprise value to get equity value.
- Divide equity value by the number of fully diluted shares outstanding to get your price per share.
- Start from revenue, then subtract COGS, to get Gross Profit, then from that you subtract Operating Expenses to get your EBIT
- From your EBIT, multiply it by 1-tax rate, add Back Depreciation and Amortization, subtract Capital Expenditures, and then subtract the difference in Net Working Capital.
“I would choose the cash flow statement, as cash is the most critical measurement for valuing a business due to its liquidity and the fact that it is readily available.”
The key here is to be as concise as possible. As mentioned before, do not add too much to your answer, as that gives a negative impression and will only make it harder for you.
“Cost synergies are generally easier to find since they are more readily apparent. It is challenging and sometimes unstable to predict your future earnings. Costs, therefore, are easier to identify, as they are reflected in both the past and the present.”
Brain Teasers
Although not as common as they once were, brain teasers do occasionally arise, so it is essential to prepare for them.
While the final answer may not be as important, interviewers are primarily assessing your logical reasoning and structured thought process.
Some examples of brain teasers are:
“NYC’s population is around 8 million, and around 10% of the population is white collar. White-collar jobs are more likely to require wearing ties. This leaves around 800,000 people eligible to wear a tie.
Additionally, women are less likely to wear ties, with the percentage being significantly lower. That takes out around 400k jobs. With 400,000 white-collar male workers, we can assume that 20% wear ties, leaving the figure at 80,000.”
“You first transport the sheep to the other side. Then, you go back to retrieve the wolf, and after bringing it to the other side, swap the sheep with the cabbage, bring it back, and then swap it with the cabbage again to send it to the other side. You can then retrieve the sheep.
- So, in a nutshell:
- Take the sheep over
- Return alone
- Take the wolf over
- Bring the sheep back
- Take the cabbage over
- Return alone
- Take the sheep over”
“It will be 5 minutes, since 1 machine produces 1 widget in 5 minutes, so 100 machines will produce 100 widgets in 5 minutes, 1 per machine.”
Conclusion
While the interview process for BNP Paribas is challenging, it is not impossible. With the right steps, you can be better equipped to handle the interview and secure a job offer.
No matter what you are interviewing for, the style of questions you face will fit one of the four categories shown above.
For additional practice, you can visit Wall Street Oasis and the BNP Paribas website to gain a deeper understanding of the interview process.
Hopefully, this article provided you with the necessary tools to help you understand the world of interviews, allowing you to emerge stronger.
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