10+ State Street Corporation Senior Associate Interview Questions and Answers

Capital market is a platform for buying and selling long-term securities, while bond market is a subset of capital market where fixed-income securities are traded.

• Capital market deals with long-term securities such as stocks, bonds, and mutual funds

• It provides a platform for companies to raise capital by issuing securities to investors

• Bond market is a subset of capital market where fixed-income securities such as corporate bonds, government bonds, and municipal bonds are trad...read more

NAV stands for Net Asset Value, it is a measure of the value of a mutual fund's assets minus its liabilities.

• NAV is calculated by subtracting the total liabilities of a mutual fund from the total value of its assets.

• The formula for calculating NAV is (Total Assets - Total Liabilities) / Total Number of Outstanding Shares.

• For example, if a mutual fund has $100 million in assets, $10 million in liabilities, and 1 million outstanding shares, the NAV would be ($100M - $10M) / 1M ...read more

Trade settlement is the process of transferring securities and funds between parties involved in a trade.

• Trade settlement involves confirming the trade details, transferring securities from seller to buyer, and transferring funds from buyer to seller.

• The settlement process typically includes trade matching, clearing, and settlement.

• Examples of trade settlement systems include the Depository Trust & Clearing Corporation (DTCC) in the US and Euroclear in Europe.

Derivatives are financial instruments whose value is derived from an underlying asset or group of assets.

• Derivatives can be used for hedging, speculation, or arbitrage.

• Common types of derivatives include options, futures, forwards, and swaps.

• Derivatives allow investors to take on leverage and potentially amplify returns.

• Example: A call option on a stock gives the holder the right to buy the stock at a specified price within a certain time frame.

Capital markets refer to financial markets where long-term debt or equity-backed securities are bought and sold.

• Capital markets are where companies and governments raise long-term funds through the issuance of stocks and bonds.

• Investors buy these securities in the hope of earning a return on their investment.

• Examples of capital markets include stock exchanges like the New York Stock Exchange (NYSE) and bond markets.

• Capital markets play a crucial role in the economy by facilit...read more

A fund accountant is responsible for maintaining financial records, preparing financial statements, and ensuring compliance with regulations.

• Preparing financial statements for clients

• Maintaining accurate records of all financial transactions

• Ensuring compliance with regulatory requirements

• Calculating net asset values (NAV) for funds

• Reconciling cash accounts and preparing cash flow statements

Use sorting or heap data structure to find the kth largest element in the array.

• Sort the array in descending order and return the element at index k-1.

• Use a max heap to store the elements and pop k-1 elements to find the kth largest element.

Yes, I have experience in trading different types of assets including stocks, bonds, and commodities.

• I have traded stocks on various exchanges including NYSE and NASDAQ

• I have experience in trading government and corporate bonds

• I have traded commodities such as gold, silver, and oil

• I am familiar with different trading strategies and tools such as technical analysis and options trading

P&L lines refer to the revenue and expenses of a business, which are used to calculate the profit or loss.

• P&L lines are also known as income statements.

• They show the revenue generated by a business and the expenses incurred to generate that revenue.

• The difference between the revenue and expenses is the profit or loss.

• P&L lines are important for businesses to track their financial performance and make informed decisions.

• Examples of revenue include sales, interest income, and r...read more