Heard on the Street: Quantitative Questions from Wall Street Job Interviews

Product Information

The revised 22nd edition contains 239 quantitative questions collected from actual job interviews in investment banking, investment management, and options trading. City officials and FEMA contractors have settled on the boundaries, which are consistent with the outline shown to the City Council, according to the Oct. Instead, Jane Street almost resembles an anarchist commune, informally led by a group of 30 or 40 senior executives. While its third-quarter report showed that pre-tax profits were 7% higher than analysts were expecting, due in part to strong revenue in the card business, it missed the mark on net interest margins—the difference between interest charged on loans and interest paid to savers. Some analysts and investors have long fretted what would happen if an accident were to befall one of the bigger players.

Today, Jane Street’s source code is 25m lines long, about half as much as the Large Hadron Collider uses. Jane Street is this big, important and growing player that no one’s really heard of,” says Steve Zamsky, previously head of corporate credit trading at Morgan Stanley and now a fund manager at Smith Capital. Nonetheless, the events of 2020 highlight just how big and influential the growing bond ETF universe is, and how vitally important firms like Jane Street are to their functioning. Equity ETFs are often supported by a plethora of market-makers and APs, but bond ETFs are more specialised, with a narrower club dominating activity. Nonetheless, a smattering of studies in the wake of the tumult have guardedly concluded that bond ETFs proved resilient and may even have helped investors manage the coronavirus shock.

We focus on natural progressions of our business that are close to things that we are already doing,’ says Jeff Nanney, who leads its Asian operations © Grischa Rüschendorf/rupho. Some analysts warned of a potential “ liquidity doom loop”, arguing that massive ETF selling was hammering the underlying bond market, which could have culminated in market meltdowns had not the Fed intervened so aggressively.

When ETFs fall below the value of their assets, they instead redeem shares for a proportional slice of the underlying portfolio and then sell them. When there is a demand imbalance, specialised market-makers that have the right to create or redeem ETF shares step in.The Financial Times and its journalism are subject to a self-regulation regime under the FT Editorial Code of Practice.