AbsolutData Interview Questions and Answers for Experienced

A bond is a debt instrument issued by a company or government to raise capital.

• Bonds have a fixed maturity date when the principal amount is repaid.

• Bonds pay periodic interest payments to bondholders.

• Bonds have a face value, which is the principal amount borrowed.

• Bonds can be traded on the secondary market.

• Bonds have different types such as government bonds, corporate bonds, and municipal bonds.

I want to switch to IVP for the opportunity to work with cutting-edge technology and contribute to innovative solutions.

• IVP offers a more challenging and dynamic work environment compared to my current role.

• I am excited about the opportunity to work with a team of talented professionals who are at the forefront of technology.

• IVP's focus on innovation and creativity aligns with my career goals and aspirations.

• I believe ...read more

A call option is a financial contract that gives the holder the right, but not the obligation, to buy an asset at a specified price within a specific time period.

• Call options are commonly used in stock trading and allow investors to profit from a rising stock price.

• The specified price at which the asset can be bought is known as the strike price.

• The expiration date is the deadline by which the option must be exercised.

• ...read more

A CLO is a type of structured credit product backed by a pool of loans, typically corporate loans, that are securitized.

• CLOs are created by pooling together various loans, primarily leveraged loans to corporations.

• Investors in CLOs receive payments based on the cash flows generated by the underlying loans.

• CLOs are divided into tranches, each with different risk levels and returns; for example, senior tranches are less ...read more

Valuing a partially drawn CLO involves assessing cash flows, credit quality, and market conditions.

• 1. Assess the underlying assets: Evaluate the credit quality and performance of the loans in the CLO portfolio.

• 2. Cash flow analysis: Project future cash flows based on the current draw and expected repayments.

• 3. Discount rate: Determine an appropriate discount rate reflecting the risk profile of the CLO.

• 4. Market compara...read more