Morgan Stanley SHL Test: How to Prepare + Sample Questions

Morgan Stanley is a multinational investment bank that provides financial services to corporations, governments, and individuals worldwide.

With offices in 41 countries and more than 90,000 employees, Morgan Stanley offers a wide range of career opportunities for not only experienced professionals but also students and graduates.

Some of the many roles available at Morgan Stanley include analyst, operations manager, and HR business partner.

The Morgan Stanley brand is respected around the globe, so the organisation boasts a rigorous recruitment process to attract the best and brightest talent.

One of the recruitment stages is the Morgan Stanley SHL Test. In this guide, you will learn what the test includes and how to prepare effectively.

What Is the Morgan Stanley SHL Test?

The Morgan Stanley SHL Test is one of the early stages of the company’s recruitment process.

Once you have submitted your application to Morgan Stanley, you will be sent a link with an invitation to complete a series of online assessments.

These form the Morgan Stanley SHL Test, so called because it is administered by assessment provider Saville and Holdsworth Limited (SHL). If you are sent an invitation, you will typically have a maximum of three days to complete the online assessments.

Morgan Stanley uses the SHL tests to screen candidates and shortlist the best applicants from a pool of thousands.

There are three main aptitude tests that Morgan Stanley uses to screen candidates. These are:

• Numerical Reasoning
• Verbal Reasoning
• Logical or Inductive Reasoning

Depending on the role you apply for, you may also be required to take a Situational Judgment Test.

The purpose of these tests is to evaluate your cognitive ability, problem-solving skills, and situational judgment.

Morgan Stanley uses your results to deduce whether you are a good fit for the company.

The SHL Test is a requirement for the vast majority of job postings, whether they are temporary internships, entry-level opportunities for students and graduates, or positions for experienced hires.

What to Expect in the Morgan Stanley SHL Assessment

Understanding the typical components of the Morgan Stanley SHL assessment can help you prepare effectively and achieve a high score.

The assessment is likely to consist of three or four components:

Numerical Reasoning

To be an outstanding employee who helps Morgan Stanley provide financial services to individuals and organisations across the world, you must be able to work with numbers.

The Numerical Reasoning questions test how well you can use quantitative data to apply logic.

You will typically only have six minutes to answer 18 questions relating to graphs and tables.

To answer the questions correctly, you will need to analyze data and calculate ratios and percentages.

This section measures your critical thinking, math skills, and ability to interpret and evaluate data.

Verbal Reasoning 

The Verbal Reasoning test will assess how well you can understand and use written information.

You will be provided with several written passages that you must read carefully. You will then be asked a series of multiple-choice questions about the text. There are usually 18 questions in this section, with a time limit of 20 seconds for each. 

You must work quickly to absorb the several pages of written information and choose the correct statement.

To pass the Verbal Reasoning test, you must analyse the written data and answer ‘True,’ ‘False,’ or ‘Cannot say’ to each statement based on the information you have read.

The purpose of this section is to measure your logical thinking skills and reading comprehension, which is the ability to understand written information.

Logical or Inductive Reasoning

The Morgan Stanley Logical or Inductive Reasoning Test may also be referred to as the Morgan Stanley Switch Challenge. Its purpose is to evaluate your problem-solving skills and ability to use information to apply logic.

Typically lasting for around six minutes, this test is a gamified assessment. To play the game, you will need to identify sequences, patterns, or trends between symbols.

Situational Judgment Tests (SJTs)

The main parts of the assessment process are the above reasoning tests, but you may also be asked to complete a Situational Judgment Test.

The Morgan Stanley Situational Judgment Test is designed to evaluate your decision-making skills. It also identifies your personal strengths.

This untimed test will present you with a real-time messaging exchange simulation between your line manager and other colleagues. Your manager may ask for your ideas for innovation or opinions on a problem. Your task is to decide how you would respond in that situation and advise your colleagues on the best course of action.

To impress the recruiters, you should approach this test by imagining you already work at Morgan Stanley. Think about its missions and the work it does to decide on the best response you could give. 

Some of the competencies you should aim to demonstrate include:

• Teamwork
• Communication skills
• Project management
• Proactivity
• Strategic thinking
• Stakeholder management

Morgan Stanley SHL Test Example Questions

Numerical Reasoning

Question 1:

A company’s profit increased from £1.2 million to £1.5 million over one year. What is the percentage increase in profit?

a) 20%
b) 25%
c) 30%
d) 35%

The correct answer is: b) 25%

Percentage increase = ((1.5m - 1.2m) ÷ 1.2m) × 100
= (0.3m ÷ 1.2m) × 100
= 25%

Question 2:

A product’s price is reduced by 15%, bringing the price down to £85. What was the original price?

a) £95
b) £98
c) £100
d) £105

The correct answer is: c) £100

If £85 is 85% of the original price:
85 ÷ 0.85 = £100

Verbal Reasoning

Question 1:

Read the statement and answer the question:

"The majority of employees in the finance department have completed their advanced data analysis course."

Which of the following statements is true based on the information?

a) All employees in the finance department are data analysts.
b) Some employees in the finance department may not have completed the course.
c) No employees outside the finance department have completed the course.
d) The course is mandatory for all employees.

The correct answer is: b) Some employees in the finance department may not have completed the course.

The statement says "the majority," which means more than half but not necessarily all.

Question 2:

Choose the statement that best strengthens the following argument:

"Implementing flexible working hours increases employee productivity."

a) Employees enjoy working from home.
b) Many companies are introducing flexible working hours.
c) A recent survey showed that teams with flexible hours completed 15% more projects on time.
d) Some employees prefer to work fixed hours.

The correct answer is: c) A recent survey showed that teams with flexible hours completed 15% more projects on time.

This directly supports the claim by providing evidence of increased productivity.

Logical (Inductive) Reasoning

Question 1:

Identify the next shape in the sequence:

◆, ◼, ◆, ◼, ◆, ?

a) ◆
b) ◼
c) ●
d) ▲

The correct answer is: b) ◼

The sequence alternates between ◆ and ◼. After ◆, the next shape is ◼.

Question 2:

Which number completes the pattern?

3, 6, 12, 24, ?

a) 36
b) 42
c) 48
d) 50

The correct answer is: c) 48

Each number is multiplied by 2:
3 × 2 = 6
6 × 2 = 12
12 × 2 = 24
24 × 2 = 48

How to Prepare for the Morgan Stanley SHL Test

The SHL Test is an early stage of the Morgan Stanley recruitment process. If you are to progress to screening calls, telephone interviews, and assessment centers, you must pass these assessments.

The key to achieving a high score is effective preparation. By following these tips, you can take the test feeling confident in your abilities.

Practice SHL-Style Questions

Practicing using SHL-style questions will allow you to become familiar with the test format and question type.

With this understanding, you can save time familiarizing yourself with the structure and instead begin answering questions right away.

You can find verified resources in the style of SHL tests online – JobTestPrep is one example. They include questions on the topics covered in the Numerical, Verbal, and Logical Reasoning tests.

Using official-style practice tests will also allow you to review the correct answers and explanations. This feedback will help you learn how to use logic to arrive at the correct conclusion.

Improve Core Skills

One of the best ways to prepare for the Morgan Stanley SHL assessment is to brush up on your numeracy and literacy skills. It can be helpful to first identify your weakest areas to focus on.

To prepare for the Verbal Reasoning Test, work on your reading comprehension by answering questions about an unseen passage of text. You can also work on reading texts more quickly, but be careful not to sacrifice accuracy for speed.

For the Numerical Reasoning Test, study concepts such as ratios, fractions, percentages, and conversions.

Strengthening your pattern-spotting skills and critical thinking will help you to spot sequences and themes in the logical reasoning test.

If you will be taking the Situational Judgment Test, you can prepare by researching Morgan Stanley’s missions to ensure your answers are aligned with the company. You can also formulate responses that demonstrate your strengths, such as teamwork, communication, and project management.

Simulate Test Conditions

The three SHL reasoning tests have a strict time limit, so it is a good idea to practice against the clock. Answering the questions quickly and accurately on the real test will enable you to achieve a high score and move to the next stage of the recruitment process.

For the Numerical Reasoning and Verbal Reasoning tests, you will need to answer 18 questions in just six minutes. If you are to achieve a good score, there is no time to waste.

For the first few practice sessions, just focus on getting the right answers. You can then work on getting to the right conclusion more quickly.

Alternatively, if you find you are rushing too much and not considering the answers, you will need to slow down. Finding the balance between being fast and correct will take some practice but will help when it comes to taking the real test.

Frequently Asked Questions

What is included in the Morgan Stanley SHL Test?

The test typically includes numerical, verbal, and logical reasoning assessments.

Is the SHL test difficult?

Yes, it’s designed to be competitive and time-pressured, especially for top-tier firms like Morgan Stanley.

How is the test scored?

It’s usually benchmarked against a norm group, so your score is relative to others.

Can I retake the SHL test for Morgan Stanley? 

Generally, you can’t retake it within the same recruitment cycle, so preparation is key.

Where can I practice for the SHL test?

JobTestPrep offers Morgan Stanley-specific SHL practice tests.

Final Thoughts

The SHL test is an important part of Morgan Stanley’s hiring process. It is administered at the start of the application cycle to shortlist the best candidates most suited to the organisation.

If you want to pass the assessments and move on to the next stage, you must prepare. By ensuring you understand the test format and practicing using sample questions, you can give yourself the best chance of success.

The SHL tests are a great opportunity to demonstrate your cognitive strengths. This stage of the recruitment process is your chance to show why you are the perfect fit for Morgan Stanley.