400+ Analyst Interview Questions and Answers for Freshers

Object-oriented language is a programming paradigm that uses objects to represent data and methods.

• Objects contain data and methods that operate on that data.

• Encapsulation, inheritance, and polymorphism are key concepts in object-oriented programming.

• Examples of object-oriented languages include Java, C++, and Python.

The validity of the second data set can be verified by comparing it with the first data set.

• Compare the variables in both data sets to ensure they are the same.

• Check if the number of policies in the second data set matches the number stated.

• Perform statistical analysis on both data sets to identify any discrepancies or inconsistencies.

• Validate the accuracy of the second data set by cross-referencing it with external sources or known benchmarks.

Covariance measures the relationship between two variables. It measures sensitivity by indicating the direction of the relationship.

• Covariance is a statistical measure that shows how two variables are related to each other.

• It measures the direction of the relationship between two variables.

• A positive covariance indicates that the two variables move in the same direction.

• A negative covariance indicates that the two variables move in opposite directions.

• Volatility is a measure ...read more

The Securities and Exchange Commission (SEC) regulates markets in the US. Their responsibilities include enforcing federal securities laws, protecting investors, and maintaining fair and orderly markets.

• The SEC is responsible for overseeing securities exchanges such as the New York Stock Exchange (NYSE) and NASDAQ.

• They enforce laws such as the Securities Act of 1933 and the Securities Exchange Act of 1934.

• The SEC also regulates investment advisers, mutual funds, and other inv...read more

Find the magic number in a sorted array where value and index are same.

• Iterate through the array and check if the value and index are same

• If found, return the value

• If not found, return -1

The puzzle of 2 cans of 3Litre and 5 litre used to measure other values.

• Fill 3L can and pour into 5L can, repeat until 5L can is full to get 2L

• Empty 5L can and pour 2L from 3L can into 5L can

• Fill 3L can and pour into 5L can until full, leaving 1L in 3L can

• Total of 4L can be measured using these two cans

Azure resources can be created through Azure portal, Azure CLI, Azure PowerShell, ARM templates, and Azure Resource Manager.

• Azure portal: User-friendly interface for creating and managing Azure resources.

• Azure CLI: Command-line tool for managing Azure resources.

• Azure PowerShell: PowerShell cmdlets for Azure resource management.

• ARM templates: Infrastructure as code for defining Azure resources.

• Azure Resource Manager: Service for managing resources in Azure.

Beta is a measure of a stock's volatility. Value at risk is a statistical measure of potential losses. Formula for beta is Covariance(Stock, Market) / Variance(Market).

• Beta measures a stock's sensitivity to market movements.

• Value at risk is the maximum potential loss that an investment portfolio may suffer within a given time frame.

• Beta formula is calculated by dividing the covariance of the stock and market returns by the variance of the market returns.

• Beta values greater th...read more

Azure, AWS, and GCP are cloud computing platforms with differences in services, pricing, and market share.

• Azure is developed by Microsoft and is known for its strong integration with Windows-based systems.

• AWS is the oldest and most widely used cloud platform, offering a wide range of services and a pay-as-you-go pricing model.

• GCP, developed by Google, is known for its strong data analytics and machine learning capabilities.

• All three platforms offer similar services such as vi...read more

Capital market, money markets, money market instruments, derivatives and types of derivatives explained.

• Capital market refers to the market for long-term securities such as stocks and bonds.

• Money market refers to the market for short-term securities such as treasury bills and commercial paper.

• Money market instruments are short-term debt securities with high liquidity and low risk.

• Derivatives are financial instruments whose value is derived from an underlying asset or security...read more

The pseudocode will result in a compilation error due to incorrect printf format specifier.

• The printf function has two format specifiers but only one argument is provided.

• The first format specifier '%0' is incorrect and will result in a compilation error.

• The correct format specifier for printing an integer in hexadecimal format is '%x'.

Martingale is a betting strategy that doubles the bet after each loss. Markov process is a stochastic process with memorylessness.

• Martingale is a betting strategy where the gambler doubles their bet after each loss, with the hope of eventually winning and recouping all previous losses.

• Markov process is a stochastic process where the future state depends only on the present state, not on the past.

• Martingale is not a Markov process because it depends on the history of the bets ...read more

Assign tasks based on past performance by analyzing employee's strengths and weaknesses.

• Analyze employee's past performance data

• Identify their strengths and weaknesses

• Assign tasks that align with their strengths

• Provide training or support for areas of weakness

• Regularly review and adjust task assignments based on performance

• Consider employee preferences and career goals

ArrayList and Vector are both dynamic arrays, but Vector is synchronized and slower. Traversing a Vector is similar to an ArrayList.

• ArrayList is not synchronized, while Vector is synchronized.

• ArrayList is faster than Vector, but Vector is thread-safe.

• To traverse a Vector, we can use a for loop or an iterator, similar to an ArrayList.

• Example: Vector v = new Vector<>(); for(String s : v) { //do something }

To deny access to a user in Linux, you can use the 'usermod' command to lock the account. To check how many users are logged in, you can use the 'who' command.

• To deny access to a user, use 'usermod -L username' to lock the account

• To check how many users are logged in, use the 'who' command

• You can also use the 'w' command to see who is logged in and what they are doing

C language is important for its efficiency and low-level programming capabilities, with real-time applications in embedded systems and operating systems.

• C is a low-level language that allows for direct memory manipulation and efficient code execution.

• Real-time applications include embedded systems like microcontrollers and operating systems like Unix.

• C is also used in game development, system programming, and scientific computing.

• C's popularity has led to the creation of many...read more

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

• Call options are bought by investors who believe that the price of the underlying asset will rise in the future.

• The buyer of a call option pays a premium to the seller for the right to buy the asset at a predetermined price, known as the strike price.

• If the price of the asset rises above the strike pri...read more

A constructor is a special method that is used to initialize objects in a class.

• Constructors have the same name as the class they are in.

• They are called automatically when an object is created.

• They can take parameters to set initial values for object properties.

• Example: public class Car { public Car(String make, String model) { this.make = make; this.model = model; } }

• Example: Car myCar = new Car("Toyota", "Corolla");

Finding missing symbol/visual in a grid based on rule-based logic in 6 minutes.

• Analyze the given symbols and their placement in the grid

• Identify the pattern or rule that governs the placement of symbols

• Apply the rule to the empty space to find the missing symbol

• Time management is crucial

• Practice with similar puzzles to improve deductive logical thinking skills

A thief operating in shopping can earn anywhere from a few thousand to millions of dollars per year depending on their tactics and location.

• The thief's location and the type of stores they target will greatly impact their earnings

• Factors such as the thief's level of experience, skill, and risk-taking behavior will also play a role in their earnings

• Some thieves may work alone while others may operate in organized groups, which can also impact their earnings

• The thief's tactics ...read more

Use a loop to iterate through the array and keep track of the largest element.

• Initialize a variable to store the largest element as the first element of the array

• Loop through the array and compare each element to the current largest element

• If the current element is larger, update the largest element variable

• Return the largest element variable

Financial ratios are tools used to evaluate a company's financial performance and health.

• Financial ratios are calculated using data from a company's financial statements.

• They help investors and analysts assess a company's profitability, liquidity, efficiency, and solvency.

• A good number for a financial ratio can vary depending on the industry and company size.

• For example, a current ratio of 2 or higher is generally considered good, indicating a company has enough current asset...read more

Java is a versatile language with a vast community and excellent libraries.

• Java is platform-independent, making it easy to write code that can run on any device.

• It has a vast community of developers who contribute to its libraries and frameworks.

• Java is highly secure and provides excellent support for multithreading.

• It is an object-oriented language, making it easy to write modular and reusable code.

• Java is widely used in enterprise applications, such as banking and e-commerc...read more

Ranking of interest rates offered by Bonds, CDS and Loans.

• CDS usually offer the highest interest rates due to their higher risk

• Bonds offer lower interest rates than CDS but are less risky

• Loans typically offer the lowest interest rates as they are secured by collateral

• Interest rates can vary depending on the issuer's creditworthiness and market conditions

Derivatives are financial contracts that derive their value from an underlying asset. Corporate actions are events that affect a company's stock. NAV is the net asset value of a mutual fund. Money market deals with short-term borrowing and lending. Capital market deals with long-term borrowing and lending.

• Derivatives are contracts between two parties that derive their value from an underlying asset, such as stocks, bonds, or commodities.

• Corporate actions are events that affec...read more

Using only 3,3,8,8 and +,-,*,/ operators, make 24.

• There are multiple ways to solve this puzzle.

• One possible solution is: 8 / (3 - 8/3) = 24

• Another solution is: (8 * 3) - (8 / 3) = 24

• Remember to follow the order of operations (PEMDAS).

Capital market is a platform where companies and governments raise funds through financial instruments like stocks, bonds, and derivatives.

• Capital market is a market for long-term investments

• It includes stock markets, bond markets, and derivatives markets

• Companies and governments raise funds through issuing stocks and bonds

• Investors buy and sell these financial instruments to earn profits

• Examples of financial instruments are stocks, bonds, mutual funds, and options

• Capital mar...read more

KYC, reconciliation, investment banking, and derivatives are all important concepts in finance.

• KYC stands for Know Your Customer and refers to the process of verifying the identity of clients.

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

• Investment banking involves helping companies raise capital by underwriting and issuing securities.

• Derivatives are financial instruments that derive their value from an underlying asset or inde...read more

The price of a call option is calculated using the Black-Scholes model which takes into account the underlying asset price, strike price, time to expiration, risk-free interest rate, and volatility.

• Determine the current price of the underlying asset

• Determine the strike price of the option

• Determine the time to expiration of the option

• Determine the risk-free interest rate

• Determine the volatility of the underlying asset

• Plug these values into the Black-Scholes model to calculate ...read more

Answering a question about estimating quant score and overall score in finance.

• I estimate my quant score to be X based on my preparation and practice.

• Adding my quant score to the avg finance score may or may not result in the highest overall score, as it depends on the scores of other candidates.

• However, I am confident in my abilities and believe that I can perform well in both areas.

• I am open to discussing my preparation strategies and study habits further if needed.

Insurance companies work by providing financial protection to individuals or organizations against potential risks or losses.

• Insurance companies collect premiums from policyholders in exchange for coverage.

• They assess risks and determine the appropriate premiums to charge based on factors such as age, health, and occupation.

• Insurance companies invest the collected premiums to generate income and ensure they have sufficient funds to pay out claims.

• When a policyholder experienc...read more

India's GDP is $2.7 trillion with a growth rate of 4.2%.

• India's GDP is one of the largest in the world.

• As of 2020, India's GDP was $2.7 trillion.

• The growth rate of India's GDP in 2020 was 4.2%.

• India's GDP growth rate has been fluctuating over the years.

• The COVID-19 pandemic had a significant impact on India's GDP growth.

3rd normal form is a database normalization technique where every non-key attribute is dependent on the primary key.

• In 3NF, there should be no transitive dependencies between non-key attributes.

• It reduces data redundancy and improves data integrity.

• Example: A table with columns for customer ID, order ID, and product ID. The product name should not be stored in this table as it is dependent on the product ID, not the customer or order ID.

• Another example: A table with columns f...read more

To check if a number is divisible by both 5 and 7, we need to check if it is divisible by 35.

• Divide the number by 35 and check if the remainder is 0.

• Alternatively, check if the number is divisible by 5 and 7 separately.

• Example: 245 is divisible by both 5 and 7 as it is divisible by 35 (245/35 = 7 with remainder 0).

The expected number of coin tosses to get 3 consecutive heads is 14.

• The probability of getting a head in a single coin toss is 1/2.

• The probability of getting 3 consecutive heads is (1/2)^3 = 1/8.

• The expected number of tosses to get 3 consecutive heads is the reciprocal of the probability, which is 8.

• However, the first two tosses can be tails, so we need to add 2 more tosses, making the total expected number of tosses 14.

Visiting temples can provide spiritual and cultural experiences, as well as a sense of community and peace.

• Temples offer a space for prayer and meditation

• They can provide a sense of community and belonging

• Visiting temples can offer cultural and historical insights

• Many temples have beautiful architecture and artwork

• Temples can provide a peaceful and calming environment

• Some people believe that visiting temples can bring good luck or blessings

Deutsche Bank offers a unique combination of global reach, diverse expertise, and innovative technology.

• Deutsche Bank has a strong global presence with operations in over 60 countries.

• The bank has a diverse range of expertise across various sectors including investment banking, corporate banking, and asset management.

• Deutsche Bank is committed to innovation and has invested heavily in technology to improve its services and operations.

• Goldman Sachs and World Quant may have the...read more

Cash Flow Statement is a financial statement that shows the inflow and outflow of cash in a business over a period of time.

• It is prepared to provide information about the cash generated and used by a business.

• It is divided into three sections: operating activities, investing activities, and financing activities.

• Operating activities include cash inflows and outflows from day-to-day business operations.

• Investing activities include cash inflows and outflows from buying or sellin...read more

Technology, healthcare, renewable energy

• Technology sector is expected to grow due to increasing demand for digital transformation and automation

• Healthcare sector is expected to grow due to aging population and increasing demand for healthcare services

• Renewable energy sector is expected to grow due to increasing focus on sustainability and reducing carbon emissions

• Examples: Amazon, Teladoc Health, Tesla

• Examples: Apple, Microsoft, Zoom Video Communications

• Examples: NextEra Ener...read more

Primary research is original research conducted by the researcher, while secondary research is based on existing research.

• Primary research involves collecting new data through surveys, interviews, experiments, etc.

• Secondary research involves analyzing existing data from sources like books, journals, websites, etc.

• Primary research is more time-consuming and expensive than secondary research.

• Secondary research is useful for gaining background knowledge and identifying research ...read more

Payoff curves of a Call Option and Put Option

• A Call Option gives the holder the right to buy an underlying asset at a specified price (strike price) on or before a specified date (expiration date)

• The payoff of a Call Option is positive when the price of the underlying asset is higher than the strike price

• The payoff of a Call Option is limited to the premium paid for the option

• A Put Option gives the holder the right to sell an underlying asset at a specified price (strike pric...read more

Brownian motion is the random movement of particles in a fluid due to collisions with other particles.

• Brownian motion was first observed by Robert Brown in 1827.

• It is caused by the random motion of fluid molecules.

• The motion is characterized by its mean squared displacement over time.

• Brownian motion is used to model a wide range of phenomena, from the diffusion of molecules in a cell to the movement of stock prices in financial markets.

Algorithm to find largest common subarray of two arrays of size n

• Create a 2D array to store the lengths of common subarrays

• Traverse both arrays and fill the 2D array with lengths of common subarrays

• Find the maximum length and its corresponding ending index in the 2D array

• Use the ending index to retrieve the largest common subarray from either of the arrays

Excel functions like Vlookup, Hlookup, Xlookup, IF/AND/OR are used for data lookup and logical operations.

• Vlookup: Searches for a value in the first column of a table and returns a value in the same row from a specified column.

• Hlookup: Similar to Vlookup but searches for a value in the first row of a table.

• Xlookup: A more versatile version of Vlookup and Hlookup that can search both vertically and horizontally.

• IF: Returns one value if a condition is true and another value if ...read more

A portfolio is a collection of investments. Risk can be measured through standard deviation, beta, or value at risk.

• A portfolio is a combination of different investments such as stocks, bonds, and mutual funds.

• The purpose of a portfolio is to diversify investments and reduce risk.

• Risk can be measured through standard deviation, which measures the volatility of returns.

• Beta measures the sensitivity of a portfolio to market movements.

• Value at risk (VaR) measures the maximum pot...read more

The estimated number of packed drinking water bottles sold in Delhi is difficult to determine without proper data analysis.

• The number of packed drinking water bottles sold in Delhi can vary depending on various factors such as season, population, and demand.

• One way to estimate the number of packed drinking water bottles sold in Delhi is to analyze the sales data of major water bottle brands in the city.

• Another way to estimate the number of packed drinking water bottles sold i...read more

CLI stands for Command Line Interface. Yes, we can create a Load balancer using CLI.

• CLI is a text-based interface used to interact with a computer system.

• It allows users to input commands to perform tasks without the need for a graphical user interface.

• Load balancers can be created using CLI commands in cloud platforms like AWS or Azure.

• For example, in AWS, you can use the AWS CLI to create a load balancer using the 'create-load-balancer' command.