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PRMIA 8009 Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| PRMIA Standards of Best Practice, Conduct and Ethics | 30% | - Whistleblowing and Reporting Violations - Ethical Decision-Making Framework - Code of Conduct and Professional Responsibilities - Conflict of Interest and Disclosure |
| Risk Management Best Practices | 20% | - Compliance and Regulatory Alignment - Enterprise Risk Management Framework - Internal Controls and Risk Limits |
| Corporate Governance Principles | 25% | - PRMIA Governance Principles - Risk Governance Structure - Board and Senior Management Oversight - Transparency and Accountability |
| Risk Management Case Studies | 25% | - Metallgesellschaft - China Aviation Oil - Orange County - Baring Bank - Northern Rock - Long-Term Capital Management (LTCM) |
The PRMIA 8009 Exam, Question by Question
The 8009 exam is how PRMIA decides who earns the PRM™ (Professional Risk Manager) certification, which sits at the Professional level. It measures practical command of the PRMIA Exam IV: Case Studies: Standards: Governance, Best Practices and Ethics - 2015 Edition objectives — the skills you'd actually use on the job — which is why it carries weight with employers in a competitive market. It's also part of a wider certification family that includes PRM™ Certification, so the effort you invest here keeps paying off as you advance. Candidates do best when they treat the exam as a skills check, not a memory test.
PRMIA organizes the PRMIA Exam IV: Case Studies: Standards: Governance, Best Practices and Ethics - 2015 Edition syllabus into 4 domains, opening with PRMIA Standards of Best Practice, Conduct and Ethics (30%), Risk Management Case Studies (25%), and Risk Management Best Practices (20%). Those weightings are a gift: they tell you where the points concentrate, so you can front-load the domains that decide your score. The full breakdown lives in the exam topics section above — build your study plan around it.
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PRMIA Exam IV: Case Studies: Standards: Governance, Best Practices and Ethics - 2015 Edition Sample Questions:
According to the Group of 30 Report, deriving aggregate potential credit exposure for a counterparty by adding up the potential exposure of multiple transactions:
- A. Overstates exposure in most cases
- B. Can easily reflect the impact of netting
- C. Gives an accurate result in most cases
- D. Captures portfolio effects but not tenor differences
Correct Answer: A 🗳️
PRMIA is incorporated as:
- A. A for-profit corporation
- B. A charitable trust
- C. A non-profit corporation
- D. A non profit corporation with for profit subsidiaries
Correct Answer: C 🗳️
PwC concluded that the accounting policy adopted by China Aviation Oil was incorrect because it
- A. only took into account the time value of the option (which includes recognizing the time left to maturity of the option, the volatility of the spot price of the underlying commodity, interest rates and other factors)
- B. used neither the intrinsic value nor the time value
- C. only regarded the intrinsic value (i.e. the difference between the strike price and the forward price of the underlying commodity) as the fair value of its options
- D. took into account both the intrinsic value and the time value
Correct Answer: C 🗳️
What was the main risk scenario on the Metallgesellschaft trading strategy?
- A. Realized losses on short-term contracts against unrealized gains on the long-run contract
- B. The short-term price of the underlying being higher than the long-run contract
- C. The initial price of the underlying being higher than the final price
- D. The final price of the underlying being higher than the initial price
Correct Answer: A 🗳️
Metallgesellschaft's retail contracts were
- A. hedged using exchange-traded futures with longer maturities than the retail contracts
- B. hedged using exchange-traded futures with shorter maturities than the retail contracts
- C. unhedged
- D. fully hedged using exchange-traded futures of the same maturities as the retail contracts
Correct Answer: B 🗳️
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