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"PRM Certification - Exam III: Risk Management Frameworks, Operational Risk, Credit Risk, Counterparty Risk, Market Risk, ALM, FTP - 2015 Edition", also known as 8008 exam, is a PRMIA Certification. With the complete collection of questions and answers, Pass4sureCert has assembled to take you through 359 Q&As to your 8008 Exam preparation. In the 8008 exam resources, you will cover every field and category in PRM Certification Certification helping to ready you for your successful PRMIA Certification.
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| Section | Weight | Objectives |
|---|---|---|
| Risk Management Frameworks | 20% | - Risk Governance & Culture - Enterprise Risk Management Principles - Regulatory Frameworks & Basel Accords - Risk Measurement Methodologies |
| Counterparty Risk | 15% | - Counterparty Credit Risk Fundamentals - Potential Future Exposure - Netting, Collateral & Margining - Credit Value Adjustment (CVA) & Wrong-way Risk |
| Market Risk | 15% | - Market Risk Factors & Drivers - Regulatory Capital for Market Risk - Interest Rate, Equity, FX & Commodity Risk - Value-at-Risk (VaR) & Stress Testing |
| ALM & FTP | 10% | - Liquidity Risk Management - Funds Transfer Pricing Methodology & Application - Interest Rate Risk in the Banking Book - Asset-Liability Management Principles |
| Operational Risk | 20% | - Control & Mitigation Techniques - Capital Requirements & Advanced Measurement Approaches - Definition & Scope - Risk Identification & Assessment |
| Credit Risk | 20% | - Exposure & Probability of Default - Credit Risk Concepts - Credit Risk Modeling & Capital Calculation - Loss Given Default & Credit Valuation Adjustment |
The standalone economic capital estimates for the three uncorrelated business units of a bank are $100, $200 and $150 respectively. What is the combined economic capital for the bank?
Correct Answer: D 🗳️
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Economic capital under the Earnings Volatility approach is calculated as:
Correct Answer: C 🗳️
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When considering a request for a loan from a retail customer, which of the following factors is relevant for a bank to consider:
Correct Answer: D 🗳️
Explanation: Only visible for Pass4sureCert members. You can sign-up / login (it's free).
Which of the following is not true about the ISDA master agreement (ISDA MA):
Correct Answer: C 🗳️
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Financial institutions need to take volatility clustering into account:
I. To avoid taking on an undesirable level of risk
II. To know the right level of capital they need to hold
III. To meet regulatory requirements
IV. To account for mean reversion in returns
Correct Answer: D 🗳️
Explanation: Only visible for Pass4sureCert members. You can sign-up / login (it's free).

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