Trader Interview Questions

Trader Interview Questions

In a trader interview, the interviewer likely wants to see that you are knowledgeable about financial markets and have strong opinions about them. Further, you can expect hypothetical questions that test your sales skills and showcase your personality. Speak persuasively and with conviction about the latest news in stocks.

Top Trader Interview Questions & How To Answer

Question 1

Question #1: Pitch me a stock that you would buy or sell now.

How to answer
How to answer: This is an opportunity to demonstrate your sales skills and tell a convincing story about a stock. Choose a company you know well, and be prepared for follow-up questions. Defend your case without wavering.
Question 2

Question #2: What is the riskiest decision you have ever made?

How to answer
How to answer: While trading is a role that requires risk taking, you can use this question to prove that you are thoughtful and well-researched when evaluating risk. Talk through your reasoning, why you determined this was an appropriate risk to take, and what the outcome was. The interviewer might also want to see you confidently stand by your decisions.
Question 3

Question #3. Tell me about something that happened recently in the financial markets and your opinion of it.

How to answer
How to answer: This question is twofold. A successful answer would first prove that you have a genuine interest in stocks and keep up to date with market news, which changes daily. Stay informed by reading reputable financial newspapers regularly. Second, this question allows you to share your unique point of view. Try to show the interviewer that you see value where others may not.

8,649 trader interview questions shared by candidates

You have are offered a contract on a piece of land which is worth 1000000 70% of the time, 500000 20% percent of the time and 150000 10% of the time. The contract says you can pay x dollars for someone to determine the land's value from where you can decide whether or not to pay 300000 for the land. What is x? I.e. how much is this contract worth?
avatar

Assistant Trader

Interviewed at Susquehanna International Group

3.8
Mar 9, 2013

You have are offered a contract on a piece of land which is worth 1000000 70% of the time, 500000 20% percent of the time and 150000 10% of the time. The contract says you can pay x dollars for someone to determine the land's value from where you can decide whether or not to pay 300000 for the land. What is x? I.e. how much is this contract worth?

Expected value of heads and tails of two coin flips -> E(t(10-t) = 10E(t) - E(t^2) = 50 - (25 + 10/4) = 22.5 What is the set of numbers between 2 and 30, without the same common factor (e.g. 26 and 24 share 2, so they cannot be in the same set) that will you give you a max sum? Using the same rules, what is the highest possible number you can have in a set of 1000?
avatar

Trader Intern

Interviewed at Jane Street

4.4
Apr 24, 2014

Expected value of heads and tails of two coin flips -> E(t(10-t) = 10E(t) - E(t^2) = 50 - (25 + 10/4) = 22.5 What is the set of numbers between 2 and 30, without the same common factor (e.g. 26 and 24 share 2, so they cannot be in the same set) that will you give you a max sum? Using the same rules, what is the highest possible number you can have in a set of 1000?

Toss 4 coins - probability of more than 2 heads - expected winnings if $1 for each heads - expected winnings if can re-toss 1 coin if chosen 1 20 sided die - player A and B both choose a number. Whoever's number closest to value of the die wins the amount on the die. - optimal strategy? do you want to go first? - what is the expected winnings?
avatar

Assistant Trader

Interviewed at Jane Street

4.4
Feb 11, 2015

Toss 4 coins - probability of more than 2 heads - expected winnings if $1 for each heads - expected winnings if can re-toss 1 coin if chosen 1 20 sided die - player A and B both choose a number. Whoever's number closest to value of the die wins the amount on the die. - optimal strategy? do you want to go first? - what is the expected winnings?

You have a 3x3x3 cube painted yellow on the outside. The cube is then split up into 1x1x1 cubes. You pick one of these cubes at random and notice that the side you are looking at is painted. Without knowing if any of the other sides are painted, what is the probability that this was a corner cube?
avatar

Assistant Trader

Interviewed at Jane Street

4.4
Feb 25, 2015

You have a 3x3x3 cube painted yellow on the outside. The cube is then split up into 1x1x1 cubes. You pick one of these cubes at random and notice that the side you are looking at is painted. Without knowing if any of the other sides are painted, what is the probability that this was a corner cube?

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