Finance & Derivatives Questions for Prop Trading Interviews
A prop trading round does not test finance & derivatives the way a textbook does. This set is the overlap - the finance & derivatives questions that actually turn up in this format.
17 questions, all free to practise. The split is 4 easy, 13 medium.
- A hundred days of compoundingEasyBrainteasersFinance & DerivativesView →
- Net P&L of a two-leg book from DV01EasyFinance & DerivativesView →
- Settlement on a pay-fixed FRAEasyFinance & DerivativesView →
- Sharpe of two combined uncorrelated strategiesEasyStatisticsFinance & DerivativesView →
- Arbitraging a mispriced forward loanMediumFinance & DerivativesView →
- Diversified VaR of two positionsMediumStatisticsFinance & DerivativesView →
- Duration-plus-convexity price moveMediumFinance & DerivativesView →
- Forward vs. futures priceMediumFinance & DerivativesView →
- Joint default rangeMediumProbabilityFinance & DerivativesView →
- Macaulay duration of a coupon bondMediumFinance & DerivativesView →
- Par swap rate definitionMediumFinance & DerivativesView →
- Pricing a coupon bond off the spot curveMediumFinance & DerivativesView →
- Rehedging a book after a moveMediumFinance & DerivativesView →
- Short-straddle P&L when vol stays lowMediumFinance & DerivativesView →
- The profitable range of a short strangleMediumFinance & DerivativesView →
- Variance of a lognormalMediumRandom VariablesFinance & DerivativesView →
- When time decay reversesMediumFinance & DerivativesView →
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This set is a slice of two larger ones. If it is too narrow, start here instead:
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