Eviden Junior Associate Interview Questions and Answers

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

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

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

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

• They are traded on exchanges or over-the-counter (OTC) markets.

• Derivatives are used in various indus...read more

Capital market is a financial market where long-term debt or equity-backed securities are bought and sold.

• Capital market facilitates the buying and selling of long-term financial instruments such as stocks, bonds, and other securities.

• It helps companies raise funds for expansion or other projects by issuing stocks or bonds to investors.

• Investors can buy and sell securities on stock exchanges like NYSE, NASDAQ, or throu...read more

Equity shares represent ownership in a company, while preference shares have fixed dividends but no voting rights.

• Equity shares represent ownership in a company and holders have voting rights in company decisions.

• Preference shares have fixed dividends that must be paid before equity shareholders receive dividends.

• Preference shareholders do not usually have voting rights in company decisions.

• Equity shareholders have the...read more

Capital market is where individuals and institutions trade financial securities.

• Capital market is a place where companies and governments can raise long-term funds by issuing stocks and bonds.

• Investors can buy and sell these securities through stock exchanges like NYSE or NASDAQ.

• The prices of securities in the capital market are determined by supply and demand.

• Capital market plays a crucial role in the economy by facil...read more