Navigating the quant trading new grad / intern hiring process

Summary

In this video, Coding Jesus offers insights into the new grad and intern hiring process for software engineering, Quant Trader, and Quant Researcher roles in the US. He covers initial online assessments, behavioral interviews focusing on EQ and fit with the firm, and the importance of preparing for technical rounds. Tips include practicing coding problems, understanding firm culture, and showcasing personal stories and motivations. The video also advises on how to answer behavioral questions effectively using the STAR method and emphasizes the significance of demonstrating coachability, initiative, and perseverance.

Takeaways

• 😀 The video discusses the hiring process for new grads and interns, particularly in the US, focusing on software engineering, Quant Trader, and Quant researcher roles.
• 📝 The initial hiring stage often involves an online assessment with timed coding questions or a single non-timed problem to solve and return.
• ⏱ For software engineering positions, candidates should aim to solve medium-level problems in under 20 minutes and easy problems in under 10 minutes.
• 📊 The Quant Trader and researcher assessments usually involve numerical sequences, statistics, and probability questions, with preparation involving focused problem-solving in these areas.
• 🧩 Some assessments may also include IQ-type questions, even if not formal IQ tests, to evaluate logical reasoning and pattern recognition.
• 🤝 Following the online assessment, there's typically an HR call focusing on behavioral questions to assess EQ and cultural fit within the firm.
• 🔑 Three essential questions to prepare for in the HR interview are: 'Tell me about yourself', 'Why do you want to work here?', and 'Why are you interested in quantitative trading?'
• 📈 It's crucial to craft a compelling story for 'Tell me about yourself', linking your educational background and interests to your pursuit of a career in finance.
• 🏢 When explaining why you want to work at a particular firm, focus on the firm's culture, something you've learned about them, and how they've reacted to industry events.
• 💡 For the 'Why Quant trading?' question, consider discussing the cutting-edge technology used, the performance-driven nature of the role, and the intersection of markets and technology.
• 👨‍🏫 The technical interview may revisit problems from the online assessment, asking for explanations and solutions, or present new problems to solve.
• 🌟 Demonstrating qualities like coachability, initiative, and perseverance, especially for junior or intern roles, is as important as technical skills.

Q & A

What is the initial part of the new grad and intern hiring process discussed in the video?

The initial part of the hiring process involves an online assessment that may include timed coding questions or a single non-timed problem to solve and send back to the company.

What is the suggested time frame for solving medium and easy problems during online assessments for software engineering roles?

For software engineering roles, the suggestion is to solve a medium problem in under 20 minutes and an easy problem in under 10 minutes.

How does the online assessment for a Quant Trader or Quant Researcher differ from that of a Software Engineer?

The online assessment for a Quant Trader or Quant Researcher focuses on numerical sequences, statistics, probability, etc., and may include problems related to these concepts.

What type of questions might be included in the online assessment to test IQ-like skills?

The online assessment might include questions that present a sequence of pictures to identify the next logical picture or shapes to determine which piece fits into a given shape.

What is the purpose of the HR call in the hiring process?

The HR call is meant to assess behavioral aspects, such as EQ (Emotional Quotient), and the candidate's fit with the firm.

What are the three key questions that a candidate should prepare for during the HR call?

The three key questions are: 'Tell me about yourself', 'Why do you want to work here?', and 'Why are you interested in quantitative trading?'

What should a candidate's response to 'Tell me about yourself' include?

The response should be a concise story of at most a minute and 15 seconds, focusing on how the candidate got interested in finance and why they are pursuing it as a career.

What are some topics a candidate might discuss when answering 'Why do you want to work for this company?'

Topics might include the firm culture, something learned about the firm online, and how the firm has reacted to industry events.

What is the STAR-based approach for answering behavioral questions in interviews?

The STAR-based approach stands for Situation, Task, Action, and Result, which helps structure the response to behavioral questions.

What are some technical topics that might be discussed in the technical assessment for junior or intern roles?

Topics might include data structures, algorithms, time and space complexity, and specific technical problems from the online assessment.

What skills are recruiters looking for in addition to technical skills for junior or intern roles?

In addition to technical skills, recruiters are looking for qualities like coachability, initiative, and perseverance.

What advice does the video give for the final round of interviews for junior or new grads?

The advice includes being prepared to discuss option trading, financial market experience, handling stress, and staying updated with financial news.

How does the video suggest handling the 'Tell me about a time when...' type of questions?

The video suggests using the STAR-based approach to structure the response, focusing on personal actions and the outcomes, whether positive or lessons learned.

What is the importance of asking questions at the end of the interview according to the video?

Asking questions at the end of the interview shows engagement and interest, but it's important to be mindful of the interviewer's time and not ask too many.

Outlines

00:00

😀 New Grad and Intern Hiring Process Overview

Coding Jesus introduces the video's focus on the hiring process for new graduates and interns, particularly in the US, for software engineering, Quant Trader, and Quant Researcher roles. He emphasizes the importance of understanding the process, which typically begins with an online assessment involving timed coding questions. For software engineering, he suggests practicing to solve medium-level problems within 20 minutes and easy ones within 10. For Trader and Researcher roles, the assessment focuses on numerical sequences, statistics, and probability. He also mentions the inclusion of IQ-like questions and advises viewers on how to prepare for these assessments.

05:02

😉 HR Call and Behavioral Interview Tips

The second paragraph delves into the HR call stage of the hiring process, which involves behavioral questions aimed at assessing a candidate's EQ and cultural fit within the firm. Coding Jesus stresses the importance of preparing for common questions such as reasons for interest in the company and the Quant trading field. He provides guidelines for crafting a compelling 'tell me about yourself' story and suggests focusing on firm culture, specific news events, and personal alignment with the firm's values when explaining why the candidate wants to work there.

10:03

💡 Technical and Behavioral Assessments for Juniors and Interns

In this paragraph, Coding Jesus discusses the technical assessment phase of the hiring process for junior and intern candidates. He explains that this stage may involve revisiting and explaining solutions to previous online assessment questions or tackling new problems. For Trader and Researcher roles, this could include discussing pet projects and financial market knowledge. He also highlights the importance of demonstrating soft skills like coachability, initiative, and perseverance, and advises using the STAR method (Situation, Task, Action, Result) to answer behavioral questions effectively.

🔎 Final Interview Insights and Personal Advice Offering

The final paragraph provides insights into the final interview round for junior and new graduate roles, which is similar for both Researchers and Traders, with a focus on in-depth technical knowledge and market understanding. Coding Jesus advises candidates to stay updated with financial news and to be prepared to discuss their trading experiences and market insights. He also mentions the importance of asking insightful questions at the end of the interview and offers personal advice through his Patreon and Discord channels for those seeking more tailored guidance.

Keywords

💡New Grad and Intern Hiring Process

This term refers to the recruitment process for recent graduates and interns at major firms, particularly in the US. The video discusses the stages and expectations of this process, which is central to the video's theme of preparing for a career in software engineering, quantitative trading, or research. The script mentions that the process is starting or in full swing, indicating its relevance to the audience.

💡Online Assessment

An online assessment is a timed or non-timed test that candidates must complete as part of the hiring process. In the script, it is described as the first part of the process, which includes coding questions of varying difficulty. The online assessment is crucial for demonstrating technical skills and is a key component of the hiring process discussed in the video.

💡Software Engineering

Software Engineering is a field focused on the design, development, and maintenance of software applications. The video script emphasizes the specific hiring process and expectations for software engineers, including the types of problems they might encounter during the online assessment and the importance of technical proficiency.

💡Quant Trader

A Quant Trader uses quantitative methods and algorithms to make trading decisions in financial markets. The script discusses the hiring process for Quant Traders, which parallels that of software engineers but with a focus on numerical sequences, statistics, and probability, highlighting the unique skill set required for this role.

💡Quant Researcher

A Quant Researcher is involved in the research and development of quantitative trading strategies and models. The video script mentions that the hiring process for Quant Researchers is similar to that of software engineers and traders, with an emphasis on problem-solving skills and understanding of quantitative concepts.

💡Behavioral Questions

Behavioral questions are those that assess a candidate's emotional intelligence (EQ) and cultural fit within a firm. The script explains that these questions are asked during an HR call to evaluate how candidates communicate and their potential interactions with colleagues, which is vital for understanding their suitability for the role.

💡Technical Round

A technical round is a stage in the hiring process where candidates are tested on their technical knowledge and problem-solving abilities. The script describes how this round involves whiteboard interviews or discussions about previous problems, which are critical for evaluating a candidate's technical skills in software engineering or quantitative fields.

💡Pet Projects

Pet Projects refer to personal projects that candidates have undertaken outside of formal education or employment. In the context of the video, discussing pet projects can showcase a candidate's passion, initiative, and practical experience in their field, such as building a black-shoe option pricer mentioned in the script.

💡STAR Method

The STAR method is a structured approach to answering behavioral interview questions, standing for Situation, Task, Action, and Result. The script advises using this method to effectively communicate one's experiences and skills, particularly when discussing leadership or conflict resolution scenarios.

💡Option Pricing

Option Pricing is a financial concept discussed in the script, particularly relevant for Quant Traders and Researchers. It involves determining the value of options, which are financial derivatives that give the holder the right, but not the obligation, to buy or sell an underlying asset at a set price before a certain date. The script mentions an 'option pricer' as an example of a pet project.

💡Volatility Surface

A Volatility Surface is a tool used in finance to represent the implied volatility of options across different strikes and maturities. In the script, it is mentioned as a concept that a candidate might be familiar with, indicating a deep understanding of financial markets and the quantitative analysis involved in trading.

Highlights

Discussion on the new grad and intern hiring process in the US for major firms.

Online assessment as the initial step for software engineering, quant trading, and research roles.

Online assessment may include timed coding questions or non-timed problem-solving.

Practicing for online assessments: medium problems under 20 minutes, easy under 10 minutes.

Quant trader and researcher assessments focus on numerical sequences, statistics, and probability.

Online platforms for interview preparation in quantitative trading.

Sample problem: Probability of getting four heads in six coin flips.

Inclusion of IQ-type questions in some online assessments.

HR call focusing on behavioral questions to assess EQ and company fit.

Importance of EQ in software engineering roles beyond technical skills.

Three key behavioral questions to prepare for: tell me about yourself, why work here, and interest in quantitative trading.

Guidelines for crafting a compelling 'tell me about yourself' story.

How to discuss firm culture, industry knowledge, and personal alignment with the company.

Technical assessment for junior and intern levels, including revisiting online assessment problems.

STAR method for answering behavioral questions: Situation, Task, Action, Result.

Importance of showcasing personal actions and learnings in behavioral interviews.

Final interview round similarities between junior, researcher, and trader roles.

Customization of the interview process by different firms and the importance of adaptability.

How to engage with the presenter for more personalized advice through Patreon and Discord.

Transcripts

what's up guys coding Jesus here guys in

today's video I would like to discuss

the new grad and intern hiring process

which is really either starting or in

full swing currently at least in the US

at all major firms so if you're

interested in what that process looks

like what you can expect Etc then I

really recommend you watch this video

cuz not only am I going to be talking

about the software engineering

perspective but also the equivalent

Quant Trader and Quant resear researcher

variants of that process okay so let's

start off with the software engineer and

this initial part of the process is

going to be very similar for all three

rules the first part of the process what

you can expect is going to be an online

assessment that online assessment may

vary by firm but what it usually

includes is some sort of timed

assessment where you have two questions

lead code like questions you might have

one easy two mediums you might have just

two mediums you might have two easys you

might have one hard problem another

variant of this is to just give you a

single problem in a non-timed fashion

and just say solve it and you know send

us back the solution whenever you're

done all right so there's a couple

different variations here my general

Insight here is in order to practice for

these online assessments from the

software engineering perspective you

should be able to do a medium and under

20 minutes and a easy in under 10

minutes all right that's my suggestion

now what is the equivalent Trader or

researcher variance the trader and

researcher online assessment is actually

quite similar there might be a bit of

nuance between them but in general they

focus on numerical sequences statistics

probability Etc how do you best prepare

for that you best prepare for that by

doing problems focused around those

Concepts there's a bunch of different

platforms online that can provide you

with that sort of interview preparation

for quantitative trading and let me give

you an example problem let's say you

have you know six coins and you flip

each coin successively Flip Flip Flip

Flip Flip right you do that six times

what is the probability that amongst

those six coin flips four of those end

up being heads right that might be a

problem that you might need to to face

just a sample some of these online

assessments also include IQ type like

questions so they're not per se giving

you an IQ test I know that there's

probably some like legality as to

whether or not IQ tests are even legal

in certain States but they will give you

like a quasi IQ not really IQ test so

they will give you a sequence of various

pictures and they will say well what's

the next logical picture or they will

give you some sort of shape and they

will show you at a various angles and

they will say which piece fits in this

shape so you'll need to answer that okay

the next stage is usually some sort of

call with HR that call involves

questions that are behavioral in nature

and it's just trying to assess your EQ

and the sort of fit you have with the

firm what do I mean by EQ well a lot of

software Engineers you know they might

be strong technically but they might

just be really awkward and not able to

speak to people or communicate ideas

properly this is where some people that

are really strong in the tech technal

side but not so great on the behavioral

side are going to struggle so they'll

ask you questions for example like how

did you how do you know about our firm

they'll ask you questions like why are

you interested in this company why you

interested in Quant trading Etc this

will apply for all rules so Trader

researcher software engineer if there's

three questions that I will tell you

that you need to prepare for this round

at all costs it's going to be these

three questions tell me about yourself

why do you want to work here and why you

interested in quantitative Trading it

doesn't mean they're asking you what's

your background in quantitative trading

they're asking you why are you

interested in this space now let me give

you a couple of guidelines for this in

order to Ace this part okay tell me

about yourself should be a story and it

should be a story of at most a minute

and 15 seconds when I say story I'm not

telling you know recite your life

tragedy in the history and uh you know

you were had struggling with addiction

and battling with no don't do that what

the story should be about is how you got

interested in the world of

finance and why you are looking to

pursue it as a career so you might want

to start off speaking about what school

you went to what program you were in why

you decided to learn that how learning

about you know Finance or computer

science or philosophy in school LED you

to quantitative trading and how that

ultimately ultimately LED you to the

interviewer that's sitting right in

front of you okay so that's something

you're going to want to

do another thing another guideline

you're going to want for the next

question which is tell me why you want

to work for example at this company is

you want to bring up two to three things

these two to three things each should be

related to one of the following topics

one is the firm culture another is

something that you've learned online

about the firm and another thing might

be about

the uh industry and how the firm has

reacted to set XYZ event these are just

examples you don't have to act follow

these word for word these are just

examples now let me give you an instance

of one of each so for example you might

have spoken to person XYZ at the firm

over a cup of coffee and while speaking

to them you learned how great the firm

is and y y y and how cool everybody is

okay that's a cultural point that you'd

want to talk about that's specific to

that firm another thing that I mentioned

is the news right so you read about XYZ

event and how this firm was involved and

you thought that was really cool or how

they handled whatever volatility and etc

etc the third thing you can do to talk

about firm firm specific reason why you

want to work here is go over their

website watch their videos look at one

of their videos where they say for

example um you know there might be a

talk about why this person loves working

in the software engineering role or why

they love working as a Trader or why

they love working as a

researcher take the content of what they

said and say well you know I was

watching this video online about how Bob

talked about his transition from a

Trader to a software engineer and I

thought that was very inspirational

because in school I did a transition

from an economics to a computer science

degree and understanding that you guys

value that intellectual diversity and

being able to to uh mold myself as my

career progresses is something that I

think is very important at a firm right

I think that's a really good answer and

I just spitballed that off the top of my

head so that's another example of how

you can approach that the third question

that you're going to need to answer is

why do you want to work in Quant trading

now I'm going to give you guys a couple

of good kind of topics to talk about and

I hope you guys don't all become like

Android clones of each other that just

regurgitate this in the interview

because if everybody's saying the exact

same answer recruiters are going to be

like what's going on like why is

everybody a saying the same thing okay

these are just ideas don't go ahead and

copy this and I mean you can C you get

the point okay what I'm getting at here

is uh here's a couple of topics one

topic might be for example that in the

world of quantitative trading you're

working on the tip of the sphere of

technology so you're always going to be

working with the latest technology which

is something that might excite you as a

candidate right that's something you

might want to be able to speak about

maybe if you're coming to this from the

trader perspective you say well I like

the idea of owning my own portfolio and

being extremely performance-driven so I

like the idea of eating what I kill and

I thrive in environments where I'm under

stress and I'm under pressure all right

so that might be something that you

might want to speak about another thing

you might want to speak about maybe is

say for example I'm very interested in

the cross-section of markets and

Technology I you know growing up I was

always interested in the stock market I

started my own Investment Portfolio at

the age of 18 where I was able to

deposit my first paycheck into my RSP or

Roth IRA or 401k or whatever and over

time as I started reading more in the

financial times and the Wall Street

Journal I started better understanding

the interaction between Tech and finance

and how technology can really augment my

ability to perform in the financial

markets okay so that's something you

also might want to mention as well just

something cool like that I'm just

spitballing ideas here that's a

behavioral round once you pass that

essentially the HR has said like you're

a normal person you're not some like

weirdo you you know how to talk properly

you're able to string sentences together

because at this point you've already

passed kind of the the basic technical

assessment now the actual technical

assessment comes into play at the more

senior level you're probably doing a

round on computer architecture you're

probably doing a round on concurrency

but on the Junior and intern level the

next round is going to be a technical

round that might involve one of two

things or both of these things they

might involve new questions or

explaining your approach to the current

questions in the online assessment so

let's talk about that one first so what

you might have is you might have some

sort of whiteboard like interview with

the team in person they might fly you

out to the site to speak to the people

on on that team in person and they might

go over the technical problem that you

had in your online assessment and ask

you why did you do this why do you do

that what's the time complexity of this

uh what's the space complexity of that

right so they're kind of testing your

data structures and algorithms and

seeing how you think through problems

they might also ask you questions that

are new so here's a new easy problem or

a new medium problem let's walk through

it together how do you go about soling

solving this right so that's something

that they might do on the trader side

they might ask you more related to your

pet projects so talk to me about your

trading experience why did you decide to

build this black shs option pricer how

did you use it why did you decide to

build this uh volatility surface how do

you go about using that volatility

surface to actually generate meaningful

insights about the market and make

trades that generate profit right so

they might go through something like

that with you if you also are familiar

with you know shelder nber's option

pricing and volatility book they might

ask you like tell when is the options

Vega the highest when it's in the money

out of the money at the money Etc so

they might ask you those sorts of trivia

like questions they'll probably also ask

you things like tell me about a time

where you took leadership tell me about

a time where you persevered so they're

not only looking for those technical

skills especially on the Junior and

intern level they're looking for

important skills related to things like

coachability initiative and perseverance

I think that's going to be probably one

of the most three most important skills

you're going to need on the qualitative

side as a junior or intern so they're

going to ask you you know tell me about

a time where you worked with a difficult

manager or you had a conflict that you

needed to resolve the way you answer

these sorts of problems or these sorts

of questions is with the star-based

approach what's a star-based approach

situation task action result okay tell

me about the situation High Level under

30 seconds don't go rambling giving them

some sort of Shakespearean tale then go

into the task what were you specifically

tasked with doing so they have the

context they have your task now they you

tell them what your action was so what

action did you take to remedy the

situation and what was the result the

result doesn't always need to be good it

doesn't need to be like we made billions

of dollars because of my you know

heroism it doesn't need to be some sort

of Grand Story okay it could be as

simple as the result was actually not

great but I learned something from it

right that might be an interesting kind

of like way to Fram this sort this sort

of answer and it will show that you're

genuine and you're honest but don't go

and and say something didn't work out if

it did right so if it did work out great

say why it worked out and say you know

and emphasize what you did to allow it

to work out okay because they're

interviewing you they're not

interviewing your team so when you're

talking about that action component

don't say my team did this they're not

interviewing your team they're

interviewing you so you would say like

the action that I took is XY Z okay at

the end of the interview uh what they'll

probably ask you if you have any more

questions uh if you do have questions

great uh ask them I usually recommend

people ask two questions don't go too

much

into you know asking like a bajillion

questions at the end of the day you need

to be cognizant of people's time and

that's the general interview process

that process that final round interview

for the junior or new grad is very

similar on the researcher and Trader

side except instead of asking you about

new questions rela you leite code like

questions like I said they might be

asking you about option trading about

your experience in financial markets

about times where you handled stress

about clubs that you've attended that

are trading related about your own

individual returns about news in the

financial market so making sure you're

keeping up with what's going on in the

world right so they're looking for that

inquisitive that passionate person to

work

alongside now obviously I need to caveat

this because there's going to be

somebody in the comment section that's

going to be saying well this firm does

it this way well great that firm can do

it that way the bulk or the majority of

firms follow a certain process and this

is generalized advice to help you

succeed in that General process some

firms might have two technical rounds at

the end instead of one other firms might

have three I don't know it depends on

kind of the way they operate and so

that's the general advice that I'd give

somebody now if you're looking for more

personal advice you guys can follow me

on my patreon and join my Discord we

have monthly calls you can really ask

any questions if you'd like to speak to

me oneon-one you can do so in my

calendly link in the description box

below and if you'd like to follow me on

Instagram guys I don't answer any Quant

related questions on Instagram has

nothing to do with Quant but if you'd

like to follow my life behind the scenes

you can do so at the coding Jesus