Where do you see yourself in 5 years?

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So this question sort of stumps me on interviews, because 5 years ago, if you asked me, I would have said I'd be an actuary. And after an internship, that went out the window.

Essentially the way I answer that is to say that it's hard to predict the next day, let alone the next 3-5-10 years. I'd imagine I'd be a quant/trader (or whatever the position I'm interviewing for is), but I'm wondering what exactly is the proper way to answer this question. I feel that if you answer with such confidence, you might be called out for BSing, but if you answer the way I did, you might be seen as evasive.

What's the proper way to answer this question?
 
I agree with your evasive conclusion and would think the way to go would be to confidently say something like "In 5 years I would like to..." but I would definitely go with confidence (but not arrogance) over an "I don't know" kind of answer.

In your answer you want to portray interest in the job area you are applying for and the company. This could mean a more senior position in that area or something related in another area of the company.
 
The obvious WRONG answer would be "At another firm, doing something more interesting while making more money".
Given that a large number of people working in finance change employers frequently, 5 years is eternity. It's like asking a kid what he wants to be when he grows up.
Keep that in mind, people asking and answering this question are mostly skeptical of whatever comes out anyway.
 
There is a risk of trying to say things to satisfy the interviewer. He knows you aren't being genuine and you know it too.
It's pretty hilarious to keep a straight face, look into his eyes and say "I'll be your boss". I can only imagine what his reaction would be.

I was asked this same question few times and I gave same the textbook answer. If I have to do it the next time, I would tell the guy that in the next 5 years, I would find out what I enjoy doing and what makes me special. Then I will explore that. If being his boss is a required step, I'll be more than happy to oblige.
 
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