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PRMIA 8004 Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Case Study Application | - Integrated risk assessment scenarios - Governance and ethics decision analysis |
| Governance, Standards and Regulatory Frameworks | - Risk governance principles in financial institutions - Regulatory expectations and compliance structures |
| Best Practices in Risk Management | - Enterprise risk management frameworks - Operational and financial risk controls |
| Ethics and Professional Standards | - Professional conduct and ethical responsibilities - Industry codes of ethics and decision-making standards |
PRMIA PRM Certification - Exam IV: Case Studies; Standards: Governance, Best Practices and Ethics Sample Questions:
1. For the sentence
"The organization should have at its disposal employees who have adequate _________, ________ and _______ to perform the tasks assigned to them", Choose the correct combination of words from the following options:
A) experience, skills, previous successes
B) track record, expertise, skills
C) knowledge, skills, expertise
D) risk appetite, knowledge, expertise
2. With respect to the Purpose of Professional Standards, in the event of any difference in standards between local laws/rules and those of PRMIA, members must
A) refer the matter to their supervisor
B) comply with the higher standard under all circumstances
C) use their best judgment
D) abide by the applicable laws, rules, and regulations of PRMIA and any government and/or regulatory bodies
3. As a PRMIA member, you have certain responsibilities. Among these are the requirement(s) to:
A) Vote in Board elections
B) Attend at least one PRMIA chapter meeting per year
C) Adhere to the PRMIA Standards of Best Practice, Conduct and Ethics
D) All of the above
4. Metallgesellschaft's retail contracts were
A) fully hedged using exchange-traded futures of the same maturities as the retail contracts
B) hedged using exchange-traded futures with shorter maturities than the retail contracts
C) unhedged
D) hedged using exchange-traded futures with longer maturities than the retail contracts
5. What is (are) the lesson(s) of the Barings' failure?
A) Incentive plans have risk management implications
B) Front and back offices need to be independent
C) All of the above
D) Large profits can be an indicator of risk
Solutions:
| Question # 1 Answer: C | Question # 2 Answer: B | Question # 3 Answer: C | Question # 4 Answer: B | Question # 5 Answer: C |
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