IIM Kozhikode PGP-BL 05 Batch Interview Experience

Background:

GMAT: 670
Highest Education: MS in Mechanical and Aerospace Engineering, Syracuse University, New York.
Work Exp: 4 years (International) as Lean Six Sigma consultant in Pennsylvania, USA. 2+ years experience as self-employed Equity Analyst/Investor in India.
Results: Converted the interview to Admit. Accepted.
Location: Mumbai.


About 15 other students were there with me in the same slot. I travelled from Ahmedabad for it. My slot was between 1:0-4:00 PM. Average interview lasted about 15-25 minutes. And from reviews that I heard, everyone was getting grilled. And I was grilled as well.

Here's how it went.

Interviewer 1 = Economics Professor
Interviewer 2 = Marketing Professor.

1: Why does your email say "first_name.holmes"?
Me: Well, I made this account when I was in 7th standard (around 20 years ago). I was stupid back then.

1: Well, we are not supposed to be using it anymore though, right?
Me: I agree. However, it does provide a good talking point with interviewers and helps me relax.

1: So, you work for yourself. You're your own boss. So people like you never sit for placements in college, right?
Me: Well, I want to sit in the placements. Money isn't a primary thing for me, but I still want to learn from hedge funds and private equity on how they do stuff. I want to learn their processes. etc. etc. etc. And of course, I want to learn from people like you, who are so good at things I don't know anything about like Marketing.

1: But, what's your selling point? Why would a company hire you? You have no finance experience!
Me: True. But, I gave 4 years of experience working in a finance department of a company, plus I am a CFA Level 1. I have fundamental models skills that no other younger people of my age have. Most investors in India look at charts and candlesticks t find out patterns. I work differently. I do fundamental analysis starting from macro economy, to sector analysis and finally industry and company analysis. Create free cash flow models and discount them to find undervalued companies. this is something that most people don't do. I have research papers in financial and economics journals. Plus, I have been beating the market by 12% for my clients over last 2 years.

1: But, who would recommend you? Sure, your parents at home will write a letter for you. who else? your clients? Because you made them money?
Me: (sarcastically) Right, and who likes the money, right? (He started laughing at it, apparently pleased with my sarcasm)

1: So, your resume talks a lot about time-series analysis, statistics etc. Can I ask you something from there?
Me: Sure, go ahead. I will try to answer it with best of my abilities.

1: We use p-value in statistics. How do you explain p-values?
Me: Explained it in 2-3 minutes with an example of performing a statistical test of returns between cryptocurrency and Sensex daily returns.

1: Yes, you explained it nicely, but it still doesn't answer my question. What do you "mean" by p-value? I am looking for "physical" meaning of it.
Me: I would not know it, sir. In my field of work (finance), application is more important than understanding physical meaning.

1: Ok. Do you know multivariate regression?
Me: Is it the same thing as "Multiple Regression"?

1: No. It's different.
Me: I explained it as much as I could. (He wasn't satisfied with my answer)

1: Ok. In your 'alternate resume' says you retired at age of 28. How did you do it?
Me: Explained how I invested and found arbitrages and made huge profits during COVID-19. Explained them my method of analysis. Told them how the virus called 'IDEA' took over me and I liquidated all my assets to take one position of my conviction. Told them I sold my car to raise money for investment.

1: How much money did you make?
Me: I can't disclose the numbers, sorry. But, it's enough for me to never work a single day in my life ever again.

1: In percentages?
Me: It's easily over 10,000% over last 4 years.

1: Your resume mentions Excel VBA. Do you still use it?
Me: No, I moved to Python.

1: What libraries do you use in Python?
Me: The usual data analytics ones. Numpy, Pandas, Federal Reserve libraries, Sci-kit learn for Machine Learning

1: What Machine Learning algorithms do you use?
Me: Classifications mostly. Principal component. Random Forest, Artificial neural network, etc.

1: How do you use a classification model in Finance?
Me: You know the Modigliani-Miller theorem on Capital Structure irrelevance? It, in nutshell, says 'Board can't use capital structure to create value of shareholders'. I am basically trying to prove it using Principal Components between Debt to Equity and ROE... (then he cut me short there)

1: You mention about Markowitz Portfolio Optimization. What is it?
Me: Explained it with drawing a graph on a paper how it works.

1: So, it's basically a Support Vector Machine.
Me: I would not know sir. I know what SVM is but I have never used it personally.

1: Let's say I have Rs. 100 and I put it in 10 stocks, vs I use your Markowitz algorithm, can you guarantee that it will produce better returns?
Me: (I cut him short here and said) No. First of all, nobody should be using "guarantee" and "return" words in a same sentence when it comes to Finance. And then explained why it won't guarantee anything.

He cut me short and said I am satisfied with you. Then asked Professor 2 (second interviewer of Marketing) to ask questions.

2: Nikhil, your experience is too good. Others in the batch might not be as good as you. They might find you 'weird'.
(to which first interviewer jumped in)
1: Others might even find you intimidating...

Me: Now, you guys are just making fun of me.

1: Not at all. Even I am scared of you right now. You even intimidate us with 15-30 years of experience.

2: How would you handle a situation like that? Would you be able to adjust with them?

Me: I gave them an example of how I adjusted between 3000 white Americans as an only Indian in a small town of Pennsylvania. If I can adjust there, I can adjust among 50 people of India that look and think like me.

At that point, they were happy and satisfied with my interview. They offered me a cookie, but I denied and asked if I could take a water bottle instead.

This was one of the most brutal interview I ever faced. I felt like the interview went well (given their "intimidated" comment), but I have never been able to distinguish between sarcasm and real thing. So, I was not sure if I made it or not until the result came.

I got selected and accepted.