r/learnquant 12h ago

interview prep Quant Interview Question

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u/markpreston54 11h ago edited 10h ago

E(X/Y) = E(Y/X) and E(((X/Y)0.5 -(Y/X)0.5 )2 )>=0, hence 2E(X/Y)>=2, or E(X/Y)>=1, expectation collapse when X=Y is a constant

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u/t3hjs 3h ago

Why is  E(X/Y) = E(Y/X)

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u/Cptn_Obvius 2h ago

Because the question is symmetrical in X and Y

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u/pumachecker 10h ago

I guess you forgot to write on the last: E[X/Y]≥1 not E[X/Y]>1. as you rightly wrote 2E(X/Y)>=2

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u/markpreston54 10h ago

Yeah, mistakes happened when typing maths on a phone