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D.E. Shaw Quant Interview Questions with Sample Answers

Quantitative interviews at top firms like Citadel, D.E. Shaw, and Akuna Capital are renowned for their rigor and focus on problem-solving ability, probability, statistics, and algorithmic thinking. In this article, we will delve into some real quant interview questions from these top-tier firms. We will not only solve them but also provide a thorough explanation of all concepts and techniques involved, ensuring you build a strong foundation for your next quantitative finance interview.

A and B toss a fair coin. A wins if we get the pattern HTH, and B wins if we get HTT. What is the probability that A wins?

We have two players, A and B, who repeatedly toss a fair coin. The first to see their pattern (A: HTH, B: HTT) in the series of coin tosses is the winner. We are to find \( P(A = \text{winner}) \).