Question about Equity Derivatives

[Laura-Liu]

Hey guys, I am going to the interview for Equity Derivatives in just a few days. Have no idea what kind of tech questions (stochastic process, risk neutral pricing, etc) to expect and prepare. Any idea is highly welcomed! Thank you so much!!!

 

[Ken Abbott]

Know the basic products. Read up on the "flavor(s) of the week." Pick one and read a lot about it. Ask about others. You can interview them. (For example: "I know something about (product) where (description of product's attributes), but how does that apply to (other product)?

Be upfront about what you don't understand-don't fake it. Use the interview as an opportunity to learn.

 

[Laura-Liu]

Know the basic products. Read up on the "flavor(s) of the week." Pick one and read a lot about it. Ask about others. You can interview them. (For example: "I know something about (product) where (description of product's attributes), but how does that apply to (other product)?

Be upfront about what you don't understand-don't fake it. Use the interview as an opportunity to learn.

Hello Mr. Abbott,

Thank you so much for the detailed advice! It is very helpful!

By the way, the program is actually called Equity Derivatives and Quantitative Finance, and from the job description it says no prior finance experiences required (I know having the experiences is still a plus). In this case, should my focus on the preparation still be on knowing about various products, or the math part (like risk neutral pricing, etc) ?

I do have some basic knowledge in basic products (call option, futures, swaps), but I suppose it won't be enough...? Do you know if any book will be good to read to have a deeper understanding of those products?

Sorry for additional questions, and any help is greatly appreciated! Thank you!

 

[Ken Abbott]

Hello Mr. Abbott,

Thank you so much for the detailed advice! It is very helpful!

By the way, the program is actually called Equity Derivatives and Quantitative Finance, and from the job description it says no prior finance experiences required (I know having the experiences is still a plus). In this case, should my focus on the preparation still be on knowing about various products, or the math part (like risk neutral pricing, etc) ?

I do have some basic knowledge in basic products (call option, futures, swaps), but I suppose it won't be enough...? Do you know if any book will be good to read to have a deeper understanding of those products?

Sorry for additional questions, and any help is greatly appreciated! Thank you!

Find out how the group is organized. That will tell you how they think about their product set. Do the have a big converts business? If so, know the converts and reverse converts space. Do they do a lot of structured stuff? Or are they primarily a vanilla player? Which models to they use? How are those models reviewed?

 

[Laura-Liu]

Find out how the group is organized. That will tell you how they think about their product set. Do the have a big converts business? If so, know the converts and reverse converts space. Do they do a lot of structured stuff? Or are they primarily a vanilla player? Which models to they use? How are those models reviewed?

Thank you Mr. Abbott!