FLIP NATIONAL FINCAT 2015

FINCAT for Postgraduates - Test Structure

The FLIPs FINCAT is the only test which evaluates candidates, across two sections:

Finance Aptitude

Career
awareness

20%

25%

Psychometric Test
Finance
concepts

25%

25%
Business
awareness

Sales
Orientation

Drive &
Persistence

25%

30%
Applied
analytical
ability

25%

25%

Customer
Servicing
Orientation

Process
Orientation

I. Finance Aptitude
This section will have 40 questions (45 mins) that will test the candidate on the following aspects
1. Banking and Finance Concepts - It will test basic banking & finance concepts, needed for a
BFS career.
Sample Questions
i.

The correlation between ICICI Bank and Hero MotoCorp stock is -0.80. What does this imply?
a. This implies that if the ICICI Banks stock goes up, there is an 80% chance of the Hero
MotoCorps stock going up.
b. b. This implies that if the ICICI Banks stock goes up by INR 10, there is an 80% chance of
the Hero MotoCorp stock going down.
c. This implies that if the ICICI Banks stock goes up by INR 10, the Hero MotoCorp
stock will go down by INR 8.
d. This implies that if the ICICI Banks stock goes up by INR 10, the Hero MotoCorp stock will
go up by INR 8.

ii. A bank expects interest rates to go up. They should:

a. Look for deposits and loans of longer maturity
b. Look for deposits and loans of shorter maturity
c. Look for deposits of longer maturity and loans of shorter maturity
d. Look for deposits of shorter maturity and loans of longer maturity

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FLIP NATIONAL FINCAT 2015

2. Applied Analytical Ability It will test a candidates ability, to apply finance concepts in real
life situations.
Sample Questions
i. You wish to buy a car worth INR 4,00,000, 2 years from now. If the interest rate is 8.5%, how
much do you need to invest now, to generate a savings of 4 lakhs, after 2 years?
a) INR 3,00,000
b) INR 3,39,782
c) INR 3,68,664
d) INR 2,17,000
ii. Three companies have applied for a loan against property. Which of them has the highest
liquidity?
Current Ratio

Return on Sales

Ajanta Ltd

15%

Banka Ltd

1.1

12%

Clamante Ltd

0.9

20%

a) Ajanta Ltd. as its current ratio is higher than Banka Ltd and Clamante Ltd
b) Clamante Ltd. as its current ratio is lower than Ajanta Ltd and Banka Ltd
c) Cannot say, as the Current ratio is not an accurate indicator of liquidity.
d) Clamante Ltd. as it return on sales is higher than Ajanta Ltd and Banka Ltd
3. Banking & Finance Awareness This section will test candidates has, on key happenings in
the world of business
Sample Questions
i. Which of the following news headlines are likely to impact inflation in India?
a) Chinese Economy Crashes To 2-Year Low; China Stocks Plunge
b) Greece made preparations to exit Eurozone
c) Iran deal to keep crude oil prices in $55-58/bbl range
d) Both and c
ii. Which of the following statements are true?
a. Repo rate is a rate fixed by RBI while Base rate is fixed by each individual bank
b. Repo rate and Base rate have no correlation to each other
c. Repo rate can keep changing while Base rate cannot
d. Banks typically lend to good corporates at below base rate

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FLIP NATIONAL FINCAT 2015

4. Practical Career Expectations It will check candidates level of understanding/awareness of
BFS roles and career path
Sample Questions
i. As a Branch Relationship Manager, which of the following clients will you manage?
a) A salaried employee
b) A businesswoman who owns a pharmacy store
c) A company with a turnover of INR 50 crore
d) Both a and b
ii. Refer to previous question. Which of the following will be your KRAs?
1. Cross sell investment products to existing Branch customers
2. Source new customers for CASA accounts
3. Carry out credit analysis of retail loans
4. Source new and expand existing High Net Worth customer relationships
a) Only 2
b) 1 and 2
c) 1, 2 and 4
d) 1, 3 & 4

II. BFS Career Fitment

This will be a psychometric test (about 30 mins). This section will test the candidate on following
competencies:
1. Sales Orientation This competency will evaluate whether the candidate possesses selling skills
such as effective probing, solution offering, negotiation and closing sales.
Candidates scoring high in this competency are more suitable for customer facing roles, with a
revenue target responsibility. In Banking & Financial Services, these roles are typically:
Branch Banking
Branch Sales
Officer,
Graduate

MBA

Customer
Acquisition
Officer/Manager
Branch
Relationship
Manager
Trade Sales Officer

Consumer
Lending
Sales Officer
(Auto Loans,
Personal Loans,
Home loans,
etc)

Sales Manager

Wealth
Management

Financial
Advisor

Relationship
Manager/
Financial
Advisor

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SME
Banking/Lending

SME Relationship
Manager

FLIP NATIONAL FINCAT 2015

2. Process Orientation It will test the candidates on skills such as learning agility, attention to
detail and whether they are able to plan and prioritize.
Candidates scoring high in this competency are more suitable for operations and analyst roles. In
Banking & Financial Services, these roles are typically:

Branch
Banking

Consumer
Lending

Wealth
Management

Graduate

Operations

Credit
Officer,
Credit
Processing
Assistant

MBA

Operations
Manager

Credit
Manager

Research
Analyst

SME
Banking/Lending

Investment
Banking

Treasury and
capital Markets

Research
analysts

Risk Managers,
Research
analysts

Credit Officer

Credit
Manager/Credit
Analyst

3. Customer Servicing Orientation It will test whether the candidate can understand
customers needs and is able to maintain a long term relationship with the customer.
Candidates scoring high in this competency are more suitable for customer relationship roles, with a
revenue target responsibility. In Banking & Financial Services, these roles are typically:

Branch Banking

Graduate

Customer
Service Officer
Branch
Relationship
Manager

MBA

Personal Banker
Sales
Personal Banker
- teller

Consumer
Lending

Wealth Mgt

SME
Banking/Lending

Financial Advisor,
Service Delivery Officer

Sales
Manager

Relationship
Manager/Financial
Advisor

SME Relationship
Manager

Service Delivery Officer

4. Drive & Persistence It will test whether the candidate is performance oriented i.e.
energetic, dependable, self-motivated and doesnt give up. Drive and Persistence is MUST for a
candidate to perform well in any role.

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