3 common, tricky questions asked in finance interviews—and how to answer them
It can be difficult to start a finance career. Many students and graduates may feel anxious about starting a career in finance.
This is the best time to join the workforce for economics or finance students. Wall Street internships make 30% more each year than in previous years, and many are even earning near the top. $10,000 a month. These opportunities require a certain amount of experience, relevant coursework and a high GPA. It is important to know the right words and phrases for the interview in order to get the job.
Patrick Curtis was the co-founder and chief executive officer of Wall Street OasisWSO is a business that specializes in financial modeling, interview training and other related services. investment banking financeNetworking is key to securing your big break.
It’s all about relationships. It’s all about the relationships. “That’s how it gets you the interview,” Curtis explains to CNBC Make It. If you do get an interview, then you can be prepared. You have already asked technical questions and gotten to know the company’s culture.
Curtis clarifies that while interviewing for a job can be difficult, it is possible to prepare well and answer the tough questions.
Wall Street Oasis’ team compiles lists potential interview questionsCandidates should prepare for these questions. These are the top three interview questions and their answers.
WSO reports that this is a common question in interview for jobs as investment bankers. While there are many ways to answer this question they recommend having a prepared response and some guidelines.
With only minor modifications, it is possible to create 6-8 stories that answer the basic 30-40 question. Do not try to do it all.
WSO recommends the SOAR method for mapping out your story.
S: Situation. Setup the story in approximately 10-15 seconds
O: Obstacle. Describe the problem in 10-15 seconds
A: Tell them what you plan to do in 60-75 second.
R: The result, tell us what you did after taking action. This will take between 15-30 seconds
WSO states that this is a common question in interviews for private equity. Interviewers want answers that show “confidence combined with humility.”
WSO states that candidates should not feel pressured or forced to disclose their weaknesses, unless specifically requested. Use this question instead to highlight your strengths and provide examples or stories if necessary.
When faced with the question, candidates often find it hard to give praise to themselves. They fail to emphasize their greatest strengths. Others go too far and talk about themselves in glowing terms. You should describe yourself using a handful of positive words that are reasonable and that reflect what you believe about you.
This question is likely to be asked if you are interviewing for a job at a hedge fund. While there are many possible answers to this question you should always “play to your fund’s focus.” WSO states that your answer may have a value, growth, return on capital or opportunistic nature.
For a growth approach to business, think about businesses that can grow users, sales and potentially market share rapidly. Profits are not a concern. You could also consider raising capital outside of the business from venture or angel firms, or selling it to someone else.
A special opportunity or special circumstance fund could allow you to start a holding corporation that will purchase low-priced earnings assets. This would provide a decent return on your investment.
WSO advises that you focus on business ideas with high margins and low competition to increase your value and profitability.
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