PRMIA Certifications 8006 Dumps Questions Answers

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PRMIA Certifications 8006 Dumps Questions Answers

To identify, assess, and mitigate financial risks, banks, brokerages, insurers, and even some government agencies spend significant resources. For the professionals working in this field, the Professional Risk Manager certification (PRM) is one of the top certifications. 

Professional Risk Manager Designation

PRMIA’s PRM Designation is a series of evaluation exams, designed for the development of professional risk managers. Endorsed by leading university programs and industry firms, it is the global standard for risk management professionals.

Built by a broad coalition of industry leaders to reflect the mission objectives of the association and to establish the leading form of education, validation, and certification in the Risk Management profession, the PRM counts candidates from over 100 countries.

The learning objectives for the PRM designation are to demonstrate knowledge and understanding of:

  • The classic finance theory underpinning risk management
  • The foundations of risk measurement
  • The foundation of option theory
  • Financial instruments and their associated risks and uses
  • The daily form and function of trading markets
  • Risk management best practices
  • Lessons learned from failed systems and practices and major risk events
  • Best practices of governance, conduct and ethics
  • The foundations and complexities of asset-liability management
  • The foundations of liquidity risk
  • The complexities of structured products
  • Operational risk best practices
  • Counterparty risk management (cva, dva, xva) elements

PRM Exams

To meet the needs of busy professionals, the program provides for great flexibility, offering four separate exams, varying in length from one to two hours, which can be taken in any order over a period of up to two years. Passing all four exams leads to the award of the PRM designation.

Exam Exam Name Questions Time Allowed
I Finance Theory, Financial Instruments and Markets 36 2 hours
II Mathematical Foundations of Risk Measurement 24 2 hours
III Risk Management Practices 60 3 hours
IV Case Studies; Standards: Governance, Best Practices and Ethics 24 1 hour

 

Cross-Over Requirements for Other Designations

The program also recognizes the achievements of those who have other professional designations and gives partial credit towards completion of the requirements for the PRM designation. “Cross-over” candidates must pass the following exams:

CFA Charterholder Exams III and IV

PRMIA Associate PRM Exams I, II, and III

Program Design

Design Rationale

The Professional Risk Manager program has been designed for those:

  • seeking professional certification
  • looking to develop their skills or those of their staff
  • looking for skills assessment of current employees
  • looking for skills assessment of potential employees
  • looking to communicate their knowledge and understanding of risk management at a higher level to external and internal parties

The subject matter for the PRM program has been chosen based on relevance as well as the ready

availability of literature on the specific subjects.

Because we are a diverse association, with members from around the world, from a variety of disciplines

and varying areas of interest, the members of the Education Committee have taken the job of creating the framework to help us meet both the demands of current members as well as developing the flexibility to grow and change together with our industry. Specifically, the program has been designed with four of our mission objectives in mind:

  • To Be A Leader Of Industry Opinion And A Proponent For The Risk Management Profession
  • To Drive The Integration Of Practice And Theory
  • To Be Global In Our Focus, Promoting Cross-cultural Ethical Standards, Serving Emerging As Well As More Developed Markets
  • Transparent, Nonprofit, Independent, Member-Focused And Member-Driven

The subject matter of the PRM program is broken down broadly as:

Exam Topic Weighting
I Finance Theory, Financial Instruments, and Markets 30%
II Mathematical Foundations of Risk Measurement 20%
III Risk Management Practices 40%
IV Case Studies; Standards: Governance, Best Practices and Ethics 10%

 

Exam I — Finance Theory, Financial Instruments and Markets

(Approx. 650 pages of reference material contained in PRM Handbook Volume I 2015 Edition: Books 1, 2 & 3)

Finance Theory – 36%

  • Risk and Risk Aversion
  • Portfolio Mathematics
  • Capital Allocation
  • The Capital Asset Pricing Model (CAPM) and Multifactor Models
  • Basics of Capital Structure
  • The Term Structure of Interest Rates

Financial Instruments – 36%  

(Descriptive and Pricing Knowledge)

  • General Characteristics of Bonds
  • The Analysis of Bonds
  • Forward and Futures
  • Contracts
  • Swaps
  • Options
  • Credit Derivatives
  • Caps, Floors and Swaptions

Financial Markets – 28%

  • The Structure of Financial Markets
  • Money Markets
  • Bond Markets
  • Foreign Exchange Markets
  • Stock Markets
  • Derivatives Exchanges
  • The Structure of Commodities Markets
  • Energy Markets

Exam Preparation

Considering the pure professional nature of PRM Designation, a candidate is required to adopt a professional approach for the preparation of 8006 – Exam I: Finance Theory Financial Instruments Financial Markets – 2015 Edition. It involves a proper study plan made according to guidelines provided by PRMIA for PRM certification. Clarity is required about the basic concepts like exam objectives, course contents, exam format, and exam prerequisites or recommended skills. One of the most important training factors is the selection of training material. A right and professionally compiled training material can make your preparation easier and quicker while an incorrect training material can make it an uphill task leading to nowhere. Solution2Pass offers a comprehensive training material package for the preparation of PRIMA 8006 Exam Questions. The training bundle from Solution2Pass includes PDF and a Testing Engine. This training material by Solution2Pass is covered by a money-back guarantee assuring success in the first attempt. The training material by Solution2Pass.com is compiled by the senior professionals of the industry according to the course outlines specified by the PRMIA. The braindumps by Solution2Pass are very popular among the professionals taking the PRM 8006 exam. A regular study schedule and the right training material are the two most important factors that can lead you to sure success in PRM Designation exams. 

Conclusion

In today’s financial world, risk management is one of the most important concerns. Every financial institution like banks, brokerage houses, insurance companies, leasing companies, and financial agencies of the government requires an efficient risk management system. PRMIA’s Professional Risk Manager (PRM) is one of the most accredited professional certifications in this discipline. PRM offers great career opportunities for professionals seeking a career in Risk Management.