Derivatives Analyst Interview Questions

662 derivatives analyst interview questions shared by candidates

1. What is static member function. 2.What is stack and heap. 3.int a=0, double b=0.0, in an infinite for loop, a+=1, b+=1.0, how will a and b behave. 4. If we use Monte Carlo to price arithmetic Asian option, what would be a good control variant to reduce variance.(not Geometric Asian Option) 5. If time to maturity or volatility is very large, what is the price of an European option. 6. How to transform uniform distribution [0,1] to normal distribution. 7.What is the probability of a Brownian motion to hit -a before hitting b. 8. There are two circles centered at (0,0), one with radium 1, another with radium 2. A two dimensional brownian motion starts at (1.5,0), what is the probability of hitting the inner circle before hitting the outer circle.(two brownian motions are independent)
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OTC Derivative Internship

Interviewed at Bloomberg

4
Mar 14, 2015

1. What is static member function. 2.What is stack and heap. 3.int a=0, double b=0.0, in an infinite for loop, a+=1, b+=1.0, how will a and b behave. 4. If we use Monte Carlo to price arithmetic Asian option, what would be a good control variant to reduce variance.(not Geometric Asian Option) 5. If time to maturity or volatility is very large, what is the price of an European option. 6. How to transform uniform distribution [0,1] to normal distribution. 7.What is the probability of a Brownian motion to hit -a before hitting b. 8. There are two circles centered at (0,0), one with radium 1, another with radium 2. A two dimensional brownian motion starts at (1.5,0), what is the probability of hitting the inner circle before hitting the outer circle.(two brownian motions are independent)

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