Wells Fargo Assistant Manager Operations Interview Questions and Answers

Time weighted return is a measure of the compound rate of growth in a portfolio over a specific period of time.

• Time weighted return accounts for the impact of external cash flows on the performance of the portfolio.

• It is calculated by taking the geometric mean of the periodic returns.

• Time weighted return is useful for evaluating the performance of investment managers.

• Example: If an investment portfolio has a time weigh...read more

Sharpe ratio is a measure of risk-adjusted return, indicating how much excess return an investment generates per unit of risk.

• Sharpe ratio is calculated by subtracting the risk-free rate of return from the investment's return, and then dividing by the standard deviation of the investment's return.

• A higher Sharpe ratio indicates better risk-adjusted performance.

• For example, if Investment A has an annual return of 10% wi...read more

Reconciliation is the process of comparing two sets of records to ensure they are in agreement.

• Reconciliation involves verifying and adjusting financial transactions to ensure accuracy.

• It is commonly used in accounting to match transactions in bank statements with internal records.

• Reconciliation helps identify discrepancies and errors that need to be resolved.

• Examples include reconciling cash receipts with sales record...read more