PWM Flashcards
What would you do if you saw someone cheating on a test?
- Obviously, an unfortunate situation to be in, never want to cause someone else distress
- However, I would feel like I have to report them to the professor as them cheating could affect the exam grade curve and hence could affect people who did the exam honestly
A team member isn’t contributing. You confront them. They still don’t contribute. What next?
Ask them if there are any resources or something that may help them. I would also check if they are having any personal issues, and would advise them to go and speak to management about them. If nothing changes, and its from a lack of effort, report to supervisor.
How do you handle a client who goes against the company policy?
I would make sure that the client is aware of company policy, as it could be a mistake from them. I would flag to supervisor as the policy breach could get the company in trouble, whilst emphasising the reason that the client gave, which would hopefully be just a mistake on their part
Walk me through your CV.
- Undergrad at University of York in Economics and Finance. Graduated top of class and won head of department prize. Now studying Masters in Finance at University of Warwick.
I have also recently attended the HEC Paris summer school for Investment banking and international finance.
- I have some previous experience in accounting and wealth management, but my main experience is from my entrepreneurial activities such as running my trading and investing community, as well as building an algorithmic trading portfolio. During this time I worked with 2 of my friends to develop trading strategies based off of technical analysis, and then we performed analysis such as backtesting, monte carlo or walk forward to determine the strategies historical performance, and then combined these strategies into a portfolio. This has very much developed my teamwork, quantitative and analytical skills. Outside of this, I also have a background in volunteering, finance society participation and another entrepreneurial venture surrounding buying and selling clothes.
As for something a little more unique abou
Which was your preferred class at university?
Between finance and economics, id preferred my finance modules as I found them more applicable to real life and you can apply the concepts you learn. For a specific module, my favourite was probably mathematical economics, as it looks at game theory and peoples behaviour in game settings.
Tell me about yourself
- Undergrad at University of York in Economics and Finance. Graduated top of class and won head of department prize. Now studying Masters in Finance at University of Warwick
- During 1st year of undergrad got introduced to world of trading and investing through a friend
- During Covid pandemic in my 2nd year, had a lot of free time and nurtured my interest
- I actually managed a portfolio of quantitative strategies up to about 30k trading Dow Jones
- Encouraged me to do a masters in finance to really learn more about the finance world.
- Now want to work in Asset Management as I have a desire to learn how to invest and build portfolios from the best in the business.
- I am really interested in Football, support Man United and am a qualified FA referee.
Your professor accidentally sends you confidential information intended for another student. What do you do?
Avoid reading the contents of the email and email the professor informing him of the situation. I would then go and speak to student services to see if there is anything else I should do before deleting the email.
You are working on a secret project. Your previous manager asks about it. He says he wants information on the project to help with an important decision. What do you do?
I think it would depend on who set the ‘secret project’. If it was someone superior to my manager, I would recommend that the manager went and spoke to them and received approval. If someone less senior to my manager, definitely inform them.
What are your strengths?
- Main strength is intellectual curiosity - I always want to learn more. I read a lot of very different books; for example have read Stephen Hawkings ‘brief answers to the big questions’ as well as a lot of productivity books like ‘The compound effect’ or ‘Mindset’. I think this is why I am interested in finance, as you can always learn more in the field.
I would also say that I am a personable individual, I always like talking to people and learning about their background, experiences and beliefs and want to discuss a range of different things with them. To this end, I joined various finance societies at university, established my own trading and investing community, as well as participate in various group chats about things I am interested in.
I would also say I am analytical; I like gathering and finding out information, and feel like you should try and gather as much information as possible before making decisions. THis is why I like researching companies for discretionary investment ideas, as there are always ways to improve your valuation or assessment of a company.
What are your weaknesses?
I think my main weakness is that I occassionally get distracted. For example, I will be doing a task like focusing on Uni work, and then get side tracked reading something interesting on quora about space or something like that. However, I have attempted to mitigate this weakness by buying a productivity planner which sets out which tasks I need to complete over a day / week and this has helped tremendously.
I’d also say that I sometimes take on too much responsibility in group projects. I always want to achieve the best outcome, so will occasionally take on more than my fair share just so I know that the work has been done correctly.
I would say that I am occasionally lack focus public speaking if I have not sufficiently prepared before hand.
What motivates you in life?
I think there are a lot of factors but one of my main ones is probably that I push myself to be better every day and learn more and more. I always try to improve all areas of my life, by learning but then of course also havign social aspects as well. Ideally I can combine these and meet a lot of really interesting people, learn from them and enjoy the work I am doing. Another thing that motivates me is the opportunity to help people in some capacity. Whether that is by volunteering or mentoring now, or helping on life changing projects in the future.
What would make you satisfied?
Working in a team of like-minded individuals on meaningful projects that have a real impact on peoples lives. I find it much easier to work alongside people who are very invested in the project, and are driven and motivated people. I also feel like I need the work to be challenging, and sufficiently utilise my analytical and quantitative abilities, and combining this with the impact aspect I mentioned earlier is what would make me fully satisfied from a career perspective.
Why do you want to work for Wealth Management division
My motivations behind applying to the private wealth management dividsion come from my family background. Always grew up in a family that encouraged helping people; grandparents were in the police force, as well as mum working at charity shop. Ingrained in me to help people, for example volunteered for over 300 hours during A levels coaching football to younger year groups. I also have previous experience interning at a small independent wealth management firm, and found it very rewarding seeing the impact that pwm has on individuals and families. Also, I like the integration of the portfolio management and investment strategy aspect that an internship on the solutions team would provide. In my spare time, I have built a discretionary investment portfolio, as well as spent time developing quantitative trading strategies, and these are things that I have thoroughly enjoyed. I find that I have a quantitative mind, and really enjoy solving problems, so combining these attributes into a role where I can help others is something that I would thoroughly enjoy. This combination of employing both my analytical abilities and personable nature to have a real world impact on people and families is my ideal job, and this is exactly what I envisage working in private banking in the solutions team provides.
What skills do you think are required to do this job?
Based on my knowledge, I think you need strong communication and interpersonal skills to deal with the client facing side, as well as having strong quantitative and analytical skills to deal with the solution side.
Can you talk about a mistake you made in the past, and how you overcame it?
I have previously invested in Electronic Arts interactive around October 2018 when I was just starting investing. I made this decision because I liked playing fifa games with friends and thought that it was a good investment based off of thr high revenues they generate from the ultimate team game mode. However, the share price dropped sharply because of a delay to another game in EA’s portfolio, BATTLEFIELD WAS DELAYED CASUING OUTLOOKS TO BE WORSE. From this experience I learnt that you cant really focus on one catalyst and ignore everything else; you must weigh up both sides and look at all products from a company.
Who is the most famous and influential person you would like to meet and why?
George Soros / Christopher Nolan.
Can you tell me a time when you failed to meet a deadline?
I missed a deadline for one of my formative assessments for my microeconomics modules in year 2 of my undergrad. This was one of the reasons I bought a productivity planner which sets out which tasks I need to complete over a day / week and this has helped tremendously.
What’s more important: deadlines, or the quality of work?
Depends on the scenario, I dont think it is one way or the other. Personally, I would fflag the issue to my boss and get his feedback on whether the deadline is soft or hard, and then communicate the level as to which I would be able to complete the task in the given timeframe. In an ideal situation, I think sticking to the deadline whilst still producing a good piece of work if best. I dont think you should ever submit or make a decision based on a bad quality piece of work as this can lead to bad outcomes.
Can you give an example of a time you streamlined a process?
Testing different portfolio weightings in Python. Was calculating things like Drawdown, Rate of Return etc, and kept copying code. Realised I could create my own module that did these things and then could just call the module when I needed to. Made the process a lot quicker because instead of finding the code, all I had to do was call a module.
Which role do you usually play in a team?
Id like to say leader, but I think it depends on the people in the group. if there is someone with more experience than me with the work we are currently doing, then I would think it would be best for the group for them to take lead rather than myself. Outside of leadership, I would say I always bring creativity and attempt to find innovative solutions, and I can also play a supporting role if someone else on the team needs some assitance.
What would your team mates say about working with you?
Strengths - Intellectually curious, for example ill always be reading about a lot of different topics like space, psychology etc and want to talk about everything to people
Another word would probably be hard-working. Many of my friends and even girlfriend complains I work too much but I really enjoy it. I think this probably has positives and negatives to it rather than being a strength or weakness.
EIDT
Team player, always pull wait. willing to go extra mile. Also bring different perspectives; like to play devil advocate and look at the problem and question to make sure we are doing right thing
Would you rather be captain of a losing team or the regular member of a winning team?
Id probably lean towards regular member of a winning team. I think if you surround yourself with people better than you, it can motivate you to improve yourself and hence I would want to be in an environment where I can learn from better team members.
Why did you choose your college/university? Why did you choose that subject?
I actually got an offer from University of Oxford to read Economics and Management, but missed my offer because I underperformed during A levels. However, I ended up at the University of York and couldnt be happier. In terms of why Economics and Finance, I really enjoy learning about peoples behaviour and why things work how they are, which meant Economics was a natural choice. FInance has always been the industry i have wanted to work in, and so that was also a natural choice.
Give an example of a time you acted as a leader.
When attending the HEC Paris Investment Banking and International Finance summer school, we were assigned groups and we had to make a case study on how we would value a company. I was assigned to be group leader, where I had to do the introduction and conclusion and make sure the presentation was cohesive and well structured. Our presentation went really well and the summer school leader noted that everything linked together nicely
Give an example of a time you worked with a diverse team.
When attending the HEC Paris Investment Banking and International Finance summer school, we were assigned groups and we had to make a case study on how we would value a company. There were 19 different nationalities represented on the summer school, and in my group of 6 people there were 5 different nationalities. However, we all worked well together, and everyone was patient on the communication side of things and double-checked everything to make sure there was not any miscommunication.
Would you say you’re a perfectionist?
Not really; I think its near impossible to ever do a perfect job, there will always be improvements. I will always strive to do my best, but I believe trying to make something perfect is incredibly time-consuming. I think that I have a high attention to detail, but trying to move from a standard of very good to perfect is difficult, and the benefit from doing so is outweighed by the time lost.
Your friend is cheating in a test. He’s on his last warning. You’re the only one who knows he’s cheating. What do you do?
- Obviously, an unfortunate situation to be in, never want to cause someone else distress
- However, I would feel like I have to report them to the professor as them cheating could affect the exam grade curve and hence could affect people who did the exam honestly
Tell me something not on your CV.
I am a qualified FA referee and referee under 18 matches. I was actually commended for my performance a few years ago and got to referee a u15 mens cup final which was pretty cool!
Walk me through a DCF. What does a DCF do?
DCF - Using FCF and predicted growth rates to project cash flow into the future. You then discount these cash flows using the discount rate, usually expressed as WACC. You can then either do a perpetuity growth method and calculate a terminal value using a long term growth rate (usually around 2%), or calculate equity value using cash flows, cash and equivalents and debt and then multiplying this by a relevant ratio like price equity ratio to find a valuation of the intrinsic value.
Why is cash subtracted from Enterprise Value (EV)?
Enterprise value = Equity Value + debt - Cash. If you bought a company, you would take on the debt that the company has. You could use the current cash to pay off those debts, and hence they are subtracted.
Explain how you make decisions
First diagnose what issue I am trying to solve. Then look at the pros and cons of each solution. Get another opinion from someone I trust. Make a decision.
What do you look for when choosing which stocks to pick?
Top down approach; macro perspective –> Has industry got somewhere to grow, then try and find winners withing that industry. I like revolutionary / innovative businesses, always striving for spectacular or top end results. Strong financial position is key.
How would you invest 1m of a clients money?
Right now, my time horizon is longer-term and hence I can look to take on more risk than if my time horizon was shorter term. Therefore, I would place a strong portion, say 70%, of my portfolio in various index funds to provide a large portion of my portfolio in relatively high-risk investments. Also, spreading around a few index funds will provide diversification without moving from the equities asset class. I would probably allocate 40% to a Nasdaq index tracker, as the US economy has a strong performance and this should give me a relatively stable core position of my portfolio. I would then look to invest another 20% in 3 other index trackers, for example the FTSE100, DAX30 and a Bovespa index tracker which will give me a higher risk higher return access to an emerging market in Brazil. These investments should give me sufficient equity diversification, but introduce some exchange rate risk to the portfolio. Next I would gain some exposure to the Lyxor World Water ETF, say 10%, as I am bullish on this sector as we will require some innovation to solve the potential water scarcity crisis on the horizon and hence this sector should benefit. I would then invest 20% in corporate bonds index trackers, providing a more stable investment and a higher risk but higher return investment than government bonds. The last 10% would be spread around other asset classes, perhaps in REIT’s, cryptocurrency and gold.
Whats the riskiest asset class?
Depends on circumstances, and I think best way is to compare asset classes whilst looking at certain circumstances. Traditionally, equities riskier than bonds. However, if you compare equities to cryptocurrency, with he lack of regulation in that industry, crypto probably riskier than equities.
Whats a mutual fund
A mutual fund is an open-end professionally managed investment fund that pools money from many investors to purchase securities.
Mutual funds are the common name for open-end investment companies
Whats a bond
In simple terms, a bond is loan from an investor to a borrower such as a company or government. The borrower uses the money to fund its operations, and the investor receives interest on the investment. The market value of a bond can change over time.
Whats an equity
The term equity has a different definition depending on the context. When talking about the stock market, equities are simply shares in the ownership of a company. So when a company offers equities, it’s selling partial ownership in the company. On the other hand, when a company issues bonds, it’s taking loans from buyers.
Unlike debt securities, common stock, or equity, in a firm represents an ownership
share in the corporation. Equityholders are not promised any particular payment. They
receive any dividends the firm may pay and have prorated ownership in the real assets of
the firm. If the firm is successful, the value of equity will increase; if not, it will decrease.
The performance of equity investments, therefore, is tied directly to the success of the firm
and its real assets. For this reason, equity investments tend to be riskier than investments in
debt securities. Equity markets and equity valuation are the topics of Part Five.
Whats a hedge fund
A hedge fund is a pooled investment fund that trades in relatively liquid assets and is able to make extensive use of more complex trading, portfolio-construction and risk management techniques in an attempt to improve performance, such as short selling, leverage, and derivatives.
Like mutual funds, hedge funds also pool and invest the money of many clients. But
they are open only to institutional investors such as pension funds, endowment funds, or
wealthy individuals. They are more likely to pursue complex and higher-risk strategies.
They typically keep a portion of trading profits as part of their fees, whereas mutual funds
charge a fixed percentage of assets under management.
Unlike mutual funds, however, hedge
funds are commonly structured as private partnerships and thus subject to only minimal
SEC regulation.
Allocating money in a portfolio
Right now, my time horizon is longer-term and hence I can look to take on more risk than if my time horizon was shorter term. Therefore, I would place a strong portion, say 70%, of my portfolio in various index funds to provide a large portion of my portfolio in relatively high-risk investments. Also, spreading around a few index funds will provide diversification without moving from the equities asset class. I would probably allocate 40% to a Nasdaq index tracker, as the US economy has a strong performance and this should give me a relatively stable core position of my portfolio. I would then look to invest another 20% in 3 other index trackers, for example the FTSE100, DAX30 and a Bovespa index tracker which will give me a higher risk higher return access to an emerging market in Brazil. These investments should give me sufficient equity diversification, but introduce some exchange rate risk to the portfolio. Next I would gain some exposure to the Lyxor World Water ETF, say 10%, as I am bullish on this sector as we will require some innovation to solve the potential water scarcity crisis on the horizon and hence this sector should benefit. I would then invest 20% in corporate bonds index trackers, providing a more stable investment and a higher risk but higher return investment than government bonds. The last 10% would be spread around other asset classes, perhaps in REIT’s, cryptocurrency and gold.
Briefly walk me through a discounted cash flow analysis. (including WACC).
DCF - Using FCF and predicted growth rates to project cash flow into the future. You then discount these cash flows using the discount rate, usually expressed as WACC. You can then either do a perpetuity growth method and calculate a terminal value using a long term growth rate (usually around 2%), or calculate equity value using cash flows, cash and equivalents and debt and then multiplying this by a relevant ratio like price equity ratio to find a valuation of the intrinsic value.
Discuss a news story you have read about recently.
I think the recent news story that has really stuck with me is the current inflation levels in the United States. The current level is around 5.4%, which is a significant departure from the 2% target. However, the chair of the federal reserve Jerome Powell has expressed his belief that the current inflation level is only transitory, and hence inflation should reduce in the near future. However, with the continued supply constraints and other factors, it remains to be seen as to whether inflation is actually transitory, and the definition of ‘transitory’ itself is very unspecific in time frame. The thing that is critical about this story is that, If inflation continues to persist at these levels, the federal reserve may be forced to increase interest rates, which is likely to halt the fantastic bull run we are seeing in the US equity markets, as well as having ramifications for the wider markets such as the Foreign Exchange rates or even the bond market. An increase in US interest rates is likely to cause people to rebalance portfolios, and most if not all asset classes are likely to be impacted, something that is evidently quite significant.
What are today’s 10-year treasury bond returns?
Yield is 1.227%
Why Finance instead of consulting?
I find the finance industry very rewarding; you can never learn too much, and it satisfies my intellectual curiosity as there is always opportunity to learn more. I also like that in investment management you have responsibility and can implement decisions yoursel, as well as being surrounded by a lot of like minded invidivudals. FINANCE HAS A LITTLE OF EVERYTHIGN; ALWAYS STUFF TO LEARN
Current S&p500 price?
I dont know exactly, but around 4,500$ last time I checked. (4,506)
Current Nasdaq price?
I dont know exactly, but around 14,800 last time i checked (14,835)
Current Ftse100 price?
I dont know exactly, but around 7,100 last time i checked (7,095)
Current Ftse250 price?
I dont know exactly, but around 23,400 last time i checked (23,420)
Current DAX30 price?
I dont know exactly, but around 15,700 last time i checked (15,7300)
Current USOIL price?
I dont know exactly, but around 68.00 last time i checked (68.20)
Current gold price?
I dont know exactly, but XAUUSD is around 1,800 last time i checked (1820)
Current EURUSD price?
I dont know exactly, but around 1.17500 last time i checked (1.17600)
Current GBPUSD price?
I dont know exactly, but around 1.39 last time i checked (1.388)
Current EURGBP price?
I dont know exactly, but around 0.86 last time i checked (0.86)
Current USDJPY price?
I dont know exactly, but around 110.0 last time i checked (109.83)
Name a political event you’re tracking. How do you expect this to impact the markets?
Current US inflation levels of around 4% causing the FED potentially increasing interest rates sooner than forecast. Likely to lead to uncertainty and investors being unwilling to continue ploughing money into the stock market once this rates rise gerts closer, because higher rates increase the cost of borrowing, reducing consumer and institutional spending which decreases earnings and therefore share price of companiews.
Name a political event you’re tracking. How do you expect this to impact the markets?
Current US inflation levels of around 4% causing the FED potentially increasing interest rates sooner than forecast. Likely to lead to uncertainty and investors being unwilling to continue ploughing money into the stock market once this rates rise gerts closer, because higher rates increase the cost of borrowing, reducing consumer and institutional spending which decreases earnings and therefore share price of companiews.
What do you think of Bitcoin?
I think it is an interesting investment and the underlying technology behind it could have some profound uses. However, in my opinion, Bitcoin does not have an intrinsic value that reflects its current valuation, and hence I would not invest in it. I dont think it would be possible to use it as a transactional currency either, as one of they key reasons we have government controlled currencies is so they can stimulate the economy with monetary policy like QE if needed. I think its valaution maybe comes as a potential inflation hedge, and in that regard its pretty similar to gold, especially as there is a finite supply of it too.
Talk me through a time you were working in a team and you were faced with a confrontation
I was working with two others on YouTube channel. We were having a discussion about which content to make and there was some disagreement. However, I suggested we narrowed down to two options and then go away have a think and then vote on it; we ended up unanimously voting the right way and everyone agreed the right decision had been made. We ended up making both anyway!
What’s your greatest strength?
Main strength is intellectual curiosity - I always want to learn more. I read a lot of very different books; for example have read Stephen Hawkings ‘brief answers to the big questions’ as well as a lot of productivity books like ‘The compound effect’ or ‘Mindset’. I think this is my greatest strength because it means I always delve deeper and am not satisfied until I have found a good answer.
How would you integrate a new teammate?
I actually did this whilst at Marstons where I worked as bar staff. We had a new member join the team, and although I was not training this person, just being available for questions, being understanding of the situation of being new to the team and generally being supportive is usually the best way to integrate a new team member.
What’s a recent transaction that you’re interested in?
Etsy buying Depop for $1.62 billion. I was particularly interested in this transaction because I like Etsy’s long term prospects, as well as having used Depop a lot myself. Depop specialises in providing a marketplace for people to buy and sell used clothes, and its primary audience is the younger gen z generation as it is similar to a social media platform. This strongly complements Etsy’s initial offering, as it is an eCommerce marketplace for people crafters and artists to sell their handmade or bespoke goods. However, a previous negative was the lack of gen z exposure on Etsy, but this has now been reconciled with the purchase of depop.
What’s a time you saw something wrong in a team/project/activity you were doing? How did you react? What did you do?
Niche Programming langauge that did not have a lot of educational resources.
Name a political event you’re tracking. How do you expect this to impact the markets?
I think the recent news story that has really stuck with me is the current inflation levels in the United States. The current level is around 5.4%, which is a significant departure from the 2% target. However, the chair of the federal reserve Jerome Powell has expressed his belief that the current inflation level is only transitory, and hence inflation should reduce in the near future. However, with the continued supply constraints and other factors, it remains to be seen as to whether inflation is actually transitory, and the definition of ‘transitory’ itself is very unspecific in time frame. The thing that is critical about this story is that, If inflation continues to persist at these levels, the federal reserve may be forced to increase interest rates, which is likely to halt the fantastic bull run we are seeing in the US equity markets, as well as having ramifications for the wider markets such as the Foreign Exchange rates or even the bond market. An increase in US interest rates is likely to cause people to rebalance portfolios, and most if not all asset classes are likely to be impacted, something that is evidently quite significant.
Think of something you know that is complicated and explain to me
Time value of money
What does PWM division do?
Wealth management is an investment advisory service that combines other financial services to address the needs of affluent clients. A wealth management advisor is a high-level professional who manages an affluent client’s wealth holistically, typically for one set fee.
if you have 100b how will you invest?
Right now, my time horizon is longer-term and hence I can look to take on more risk than if my time horizon was shorter term. Therefore, I would place a strong portion, say 70%, of my portfolio in various index funds to provide a large portion of my portfolio in relatively high-risk investments. Also, spreading around a few index funds will provide diversification without moving from the equities asset class. I would probably allocate 40% to a Nasdaq index tracker, as the US economy has a strong performance and this should give me a relatively stable core position of my portfolio. I would then look to invest another 20% in 3 other index trackers, for example the FTSE100, DAX30 and a Bovespa index tracker which will give me a higher risk higher return access to an emerging market in Brazil. These investments should give me sufficient equity diversification, but introduce some exchange rate risk to the portfolio. Next I would gain some exposure to the Lyxor World Water ETF, say 10%, as I am bullish on this sector as we will require some innovation to solve the potential water scarcity crisis on the horizon and hence this sector should benefit. I would then invest 20% in corporate bonds index trackers, providing a more stable investment and a higher risk but higher return investment than government bonds. The last 10% would be spread around other asset classes, perhaps in REIT’s, cryptocurrency and gold.
Are you a leader or a team member and why?
Id like to say leader, but I think it depends on the people in the group. if there is someone with more experience than me with the work we are currently doing, then I would think it would be best for the group for them to take lead rather than myself. Outside of leadership, I would say I always bring creativity and attempt to find innovative solutions, and I can also play a supporting role if someone else on the team needs some assitance.
What do you do outside of the office?
Keen football fan - support Manchester United and am an FA qualified referee. Outside of this I like to build quantitative trading systems and come up with investment ideas for my portfolio.
How would you describe your work ethic?
I would describe my work ethic as being industrious - I finished top of my cohort at undergraduate level, despite also running a business, making a quantitative portfolio, balancing social life and even having a girlfriend.
What’s a time you saw something wrong in a team/project/activity you were doing? How did you react? What did you do?
Quant portfolio; trying to use a coding language that was very niche and not a lot of learning resources. Switched to Python as the support is obviously a lot more available, and has definitely made our lives easier.
Can you give a time when you have had to overcome something difficult?
I actually got an offer from University of Oxford to read Economics and Management, but missed my offer because I underperformed during A levels. Obviously this was quite disheartening, but I ended up at the University of York and wanted to do my best here. I ended up finishing with the highest overall degree % of any Economics graduate for 2021, rewarding my resilient attitude.
Think of something you know that is complicated and explain to me
Time value of money.
A concept that many people don’t understand is the time value of money. MAYBE LOOK AT COMPOUNDING
if you have 100b how will you invest?
Right now, my time horizon is longer-term and hence I can look to take on more risk than if my time horizon was shorter term. Therefore, I would place a strong portion, say 70%, of my portfolio in various index funds to provide a large portion of my portfolio in relatively high-risk investments. Also, spreading around a few index funds will provide diversification without moving from the equities asset class. I would probably allocate 40% to a Nasdaq index tracker, as the US economy has a strong performance and this should give me a relatively stable core position of my portfolio. I would then look to invest another 20% in 3 other index trackers, for example the FTSE100, DAX30 and a Bovespa index tracker which will give me a higher risk higher return access to an emerging market in Brazil. These investments should give me sufficient equity diversification, but introduce some exchange rate risk to the portfolio. Next I would gain some exposure to the Lyxor World Water ETF, say 10%, as I am bullish on this sector as we will require some innovation to solve the potential water scarcity crisis on the horizon and hence this sector should benefit. I would then invest 20% in corporate bonds index trackers, providing a more stable investment and a higher risk but higher return investment than government bonds. The last 10% would be spread around other asset classes, perhaps in REIT’s, cryptocurrency and gold.
Are you a leader or a team member and why?
Id like to say leader, but I think it depends on the people in the group. if there is someone with more experience than me with the work we are currently doing, then I would think it would be best for the group for them to take lead rather than myself. Outside of leadership, I would say I always bring creativity and attempt to find innovative solutions, and I can also play a supporting role if someone else on the team needs some assitance.
Which skills did you gain during your internship or past investment banking experience that will make you a good fit for this role?
Through my entrepreneurial efforts, I have experience building a quantitative portfolio utilising technical analysis strategies, as well as managing a small five figure discretionary investment portfolio. During the former, I had the opportunity to develop my quantitative and teamwork skills, as well as hands on portfolio building experience, resulting in a portfolio historical performance of 22% CAGR for 12 years with 14% maximal drawdown. During the latter, I have sharpened my attention to detail and developed my analytical skills by selecting 15 stocks for the ‘Active Investing’ portion of my Core-Satellite portfolio. Also, I have co-launched a YouTube channel that aims to educate others on the use of technical analysis for investing and trading, so far producing 70+ videos and reaching 409 subscribers. I think one of the main benefits of my entrepreneurial ventures has been developing problem solving and independence; you have to find your own way to do things, and keep yourself motivated.
What are the greatest challenges the financial sector will face in the next 5 years?
Disruption of indyusrty by AI; in aprticular for PWM< roboadvisory.
What would you do if you were unable to meet a deadline?
Personally, I would fflag the issue to my boss and get his feedback on whether the deadline is soft or hard, and then communicate the level as to which I would be able to complete the task in the given timeframe. In an ideal situation, I think sticking to the deadline whilst still producing a good piece of work if best. I dont think you should ever submit or make a decision based on a bad quality piece of work as this can lead to bad outcomes.
Can you give a time when you have had to overcome something difficult?
I actually got an offer from University of Oxford to read Economics and Management, but missed my offer because I underperformed during A levels. Obviously this was quite disheartening, but I ended up at the University of York and wanted to do my best here. I ended up finishing with the highest overall degree % of any Economics graduate for 2021, rewarding my resilient attitude.
what are the markets doing right now?
I think the recent news story that has really stuck with me is the current inflation levels in the United States. The current level is around 5.4%, which is a significant departure from the 2% target. However, the chair of the federal reserve Jerome Powell has expressed his belief that the current inflation level is only transitory, and hence inflation should reduce in the near future. However, with the continued supply constraints and other factors, it remains to be seen as to whether inflation is actually transitory, and the definition of ‘transitory’ itself is very unspecific in time frame. The thing that is critical about this story is that, If inflation continues to persist at these levels, the federal reserve may be forced to increase interest rates, which is likely to halt the fantastic bull run we are seeing in the US equity markets, as well as having ramifications for the wider markets such as the Foreign Exchange rates or even the bond market. An increase in US interest rates is likely to cause people to rebalance portfolios, and most if not all asset classes are likely to be impacted, something that is evidently quite significant.
Talk about a recent market news headline in detail
ddd
What Skills are required for the job?
Based on my knowledge of the asset management industry, I would say the main skills required are strong analystical skills, the ability to summarise effectively and be an excellent communicator.
Strong analytical skills are important because you need to filter through a lot of information quickly and make links between pieces of information.
The ability to summarise well is important as you need to extract the important pieces of information from a lot of information
And excellent communication skills are important as you need to be able to convey your ideas succinctly and in a compelling way.
What are the greatest challenges the financial sector will face in the next 5 years?
FinTech businesses integrating AI, for example roboadvisors may challenge the wealth management business. I know the roboadvisor business is growing massively, and is due to reach about 1 trn USD assets under management in 2021, but I dont foresee this to have a huge impact because I think the client interaction part is hugely important. I think the opening of accounts and user interfaces may be improved.
What would you do if you were unable to meet a deadline?
Depends on the scenario, I dont think it is one way or the other. Personally, I would fflag the issue to my boss and get his feedback on whether the deadline is soft or hard, and then communicate the level as to which I would be able to complete the task in the given timeframe. In an ideal situation, I think sticking to the deadline whilst still producing a good piece of work if best. I dont think you should ever submit or make a decision based on a bad quality piece of work as this can lead to bad outcomes.
Where do you see yourself in the future?
Hard to really say because depends on so many things. I may be completely wrong with this but based on my current interests I would hopefully be a portfolio manager or even co- portfolio as I like the idea of running a portfolio alongside someone so we can bounce ideas off of each other. I would also like to do an MBA at some point as I really enjoy learning. Obviously this is very speculative as its probably too early in my career to tell properly, but this would be an ideal scenario.
Why did you choose your degree?
I actually got an offer from University of Oxford to read Economics and Management, but missed my offer because I underperformed during A levels. However, I ended up at the University of York and couldnt be happier. In terms of why Economics and Finance, I really enjoy learning about peoples behaviour and why things work how they are, which meant Economics was a natural choice. FInance has always been the industry i have wanted to work in, and so that was also a natural choice.
Talk about a recent market news headline in detail
I think the recent news story that has really stuck with me is the current inflation levels in the United States. The current level is around 5.4%, which is a significant departure from the 2% target. However, the chair of the federal reserve Jerome Powell has expressed his belief that the current inflation level is only transitory, and hence inflation should reduce in the near future. However, with the continued supply constraints and other factors, it remains to be seen as to whether inflation is actually transitory, and the definition of ‘transitory’ itself is very unspecific in time frame. The thing that is critical about this story is that, If inflation continues to persist at these levels, the federal reserve may be forced to increase interest rates, which is likely to halt the fantastic bull run we are seeing in the US equity markets, as well as having ramifications for the wider markets such as the Foreign Exchange rates or even the bond market. An increase in US interest rates is likely to cause people to rebalance portfolios, and most if not all asset classes are likely to be impacted, something that is evidently quite significant.
What is your proudest accomplishment?
Probably that I finished top of my undergraduate cohort for the whole economics department, which is about 200 people, as I got the highest overall degree %. After underperforming during my A levels, and missing my offer to study at my first choice university, I was determined to make amends by graduating from university with a high first. By following a structured learning timetable, and making sure I properly understood all of the material, I finished my degree with the highest overall % of any Economics undergraduate, and to do this after such a setback from A levels is something I think I should be really proud of.
What are your weaknesses?
I think my main weakness is that I occassionally get distracted. For example, I will be doing a task like focusing on Uni work, and then get side tracked reading something interesting on quora about space or something like that. However, I have attempted to mitigate this weakness by buying a productivity planner which sets out which tasks I need to complete over a day / week and this has helped tremendously.
I’d also say that I sometimes take on too much responsibility in group projects. I always want to achieve the best outcome, so will occasionally take on more than my fair share just so I know that the work has been done correctly.
I would say that I am occasionally lack focus public speaking if I have not sufficiently prepared before hand.
Tell me about a Team Conflict?
I was working with two others on YouTube channel. We were having a discussion about which content to make and there was some disagreement. However, I suggested we narrowed down to two options and then go away have a think and then vote on it; we ended up unanimously voting the right way and everyone agreed the right decision had been made. We ended up making both anyway!
Tell me about a time when you were a leader?
When attending the HEC Paris Investment Banking and International Finance summer school, we were assigned groups and we had to make a case study on how we would value a company. I was assigned to be group leader, where I had to do the introduction and conclusion and make sure the presentation was cohesive and well structured. Our presentation went really well and the summer school leader noted that everything linked together nicely
Tell me a time you made a bad decision?
I have previously invested in Electronic Arts interactive around October 2018 when I was just starting investing. I made this decision because I liked playing fifa games with friends and thought that it was a good investment based off of thr high revenues they generate from the ultimate team game mode. However, the share price dropped sharply because of a delay to another game in EA’s portfolio. From this experience I learnt that you cant really focus on one catalyst and ignore everything else; you must weigh up both sides and look at all products from a company.
Tell me about a time when you worked hard to meet a deadline?
Exams. Plan timeframe. Work out deadline. Worked through the night. Didnt finish any exam before 2am, and actually stayed up all night on my last exam to get it done.
Tell me about a recent news story you have read?
Inflation
Where do you think the Stock market will go?
Of course this is just conjecture but if I had to make a prediction id think this. Inflation is high right now, around 4% in US and 2.5% in UK. The US inflation rate is off of target (around 2%) and the Fed have recently brought forward the guidance on when they expect to increase interest rates, so I think investors will now be cautious about investing in the stock market as when interest rates rise, businesses and consumers will cut back on spending because the cost of debt is higher, meaning earnings will fall and stock prices will drop.
Why this role? PWM
My motivations behind applying to the private wealth management dividsion come from my family background. Always grew up in a family that encouraged helping people; grandparents were in the police force, as well as mum working at charity shop. Ingrained in me to help people, for example volunteered for over 300 hours during A levels coaching football to younger year groups. I also have previous experience interning at a small independent wealth management firm, and found it very rewarding seeing the impact that pwm has on individuals and families. Also, I like the integration of the portfolio management and investment strategy aspect that an internship on the solutions team would provide. In my spare time, I have built a discretionary investment portfolio, as well as spent time developing quantitative trading strategies, and these are things that I have thoroughly enjoyed. I find that I have a quantitative mind, and really enjoy solving problems, so combining these attributes into a role where I can help others is something that I would thoroughly enjoy. This combination of employing both my analytical abilities and personable nature to have a real world impact on people and families is my ideal job, and this is exactly what I envisage working in private banking in the solutions team provides.
Tell me about a time you had to make a difficult decision?
I actually got an offer from University of Oxford to read Economics and Management, but missed my offer because I underperformed during A levels. Obviously this was quite disheartening, but I ended up at the University of York and wanted to do my best here. I ended up finishing with the highest overall degree % of any Economics graduate for 2021, rewarding my resilient attitude. ADAPT
Tell me about a Team Conflict?
I was working with two others on YouTube channel. We were having a discussion about which content to make and there was some disagreement. However, I suggested we narrowed down to two options and then go away have a think and then vote on it; we ended up unanimously voting the right way and everyone agreed the right decision had been made. We ended up making both anyway!
What would you do if you were unable to meet a deadline?
dd
Which is better: meeting a deadline or doing a perfect job?
Depends on the scenario, I dont think it is one way or the other. Personally, I would fflag the issue to my boss and get his feedback on whether the deadline is soft or hard, and then communicate the level as to which I would be able to complete the task in the given timeframe. In an ideal situation, I think sticking to the deadline whilst still producing a good piece of work if best. I dont think you should ever submit or make a decision based on a bad quality piece of work as this can lead to bad outcomes.
Tell me about a time when you worked hard to meet a deadline?
Exams. Plan timeframe. Work out deadline. Worked through the night. Didnt finish any exam before 2am, and actually stayed up all night on my last exam to get it done.
Tell me about a recent news story you have read?
I think the recent news story that has really stuck with me is the current inflation levels in the United States. The current level is around 5.4%, which is a significant departure from the 2% target. However, the chair of the federal reserve Jerome Powell has expressed his belief that the current inflation level is only transitory, and hence inflation should reduce in the near future. However, with the continued supply constraints and other factors, it remains to be seen as to whether inflation is actually transitory, and the definition of ‘transitory’ itself is very unspecific in time frame. The thing that is critical about this story is that, If inflation continues to persist at these levels, the federal reserve may be forced to increase interest rates, which is likely to halt the fantastic bull run we are seeing in the US equity markets, as well as having ramifications for the wider markets such as the Foreign Exchange rates or even the bond market. An increase in US interest rates is likely to cause people to rebalance portfolios, and most if not all asset classes are likely to be impacted, something that is evidently quite significant.
What interests you about current affairs now? Why?
Inflation and that it is apparently transitory; inflation is usually influenced by inflation expectations, so as to whether the transitory statement is true is up in the air.
Describe a time when you have been able to demonstrate flexibility?
CHanged from niche programming language to python when trying to implement trailing stop loss.
What are the greatest challenges the financial sector will face in the next 5 years?
FinTech businesses integrating AI, for example roboadvisors may challenge the wealth management business. I know the roboadvisor business is growing massively, and is due to reach about 1 trn USD assets under management in 2021, but I dont foresee this to have a huge impact because I think the client interaction part is hugely important. I think the opening of accounts and user interfaces may be improved.
Provide an example of a time when you assessed a problem and understood its root causes. How did you analyse the information?
Quant portfolio; trying to use a coding language that was very niche and not a lot of learning resources. Switched to Python as the support is obviously a lot more available, and has definitely made our lives easier.
What would you do if you were unable to meet a deadline?
Depends on the scenario, I dont think it is one way or the other. Personally, I would fflag the issue to my boss and get his feedback on whether the deadline is soft or hard, and then communicate the level as to which I would be able to complete the task in the given timeframe. In an ideal situation, I think sticking to the deadline whilst still producing a good piece of work if best. I dont think you should ever submit or make a decision based on a bad quality piece of work as this can lead to bad outcomes. ADAPT
How do you keep up with current industry?
Finimize, Bloomberg podcatss when I am exercising. Reading books then researching topics usually helps too, as well as actively participating in the industry.
Tell me about a time when you had to explain complicated things to someone with little knowledge
Explaining to a friend about holding a diversified portfolio rather than meme stocks.
Tell me about a time when you worked towards an important deadline
Exams. Plan timeframe. Work out deadline. Worked through the night. Didnt finish any exam before 2am, and actually stayed up all night on my last exam to get it done.
