frm level2 practice exam 2016

1、2016FRMPartIIPracticeExam®FinancialRiskManagerExamination(FRM)PartIIPracticeExam©2016GlobalAssociationofRiskProfessionals.Allrightsreserved.ItisillegaltoreproducethismaterialinanyformatwithoutpriorwrittenapprovalofGARP,GlobalAssociationofRiskProfessionals,Inc.1TableofContentsIntroductionto2016FRMPartIIPracticeExam............................................12016FRMPartIIPracticeExam-CandidateAnswerSheet...........................32016FRMPartIIPracticeExam–Questions..............................。

2、....................42016FRMPartIIPracticeExam–AnswerKey.............................................342016FRMPartIIPracticeExam–Answers&Explanations.........................35FinancialRiskManagerExamination(FRM)PartIIPracticeExam©2016GlobalAssociationofRiskProfessionals.Allrightsreserved.ItisillegaltoreproducethismaterialinanyformatwithoutpriorwrittenapprovalofGARP,GlobalAssociationofRiskProfessionals,Inc.1IntroductionTheFRMExamisapractice-orientedexamination.Itsquestionsarederivedfromacombinat。

3、ionoftheory,assetforthinthecorereadings,and“real-world”workexperience.Candidatesareexpectedtounderstandriskmanagementconceptsandapproachesandhowtheywouldapplytoariskmanager’sday-to-dayactivities.TheFRMExamisalsoacomprehensiveexamination,testingariskprofessionalonanumberofriskmanagementconceptsandapproaches.Itisveryrarethatariskmanagerwillbefacedwithanissuethatcanimmediatelybeslottedintoonecategory.Intherealworld,ariskmanagermustbeabletoidentifyanynumberofrisk-relatedissuesandbeabletodealwiththem。

4、effectively.The2016FRMPartIandPartIIPracticeExamshavebeendevelopedtoaidcandidatesintheirpreparationfortheFRMExaminMayandNovember2016.ThesePracticeExamsarebasedonasampleofquestionsfrompriorFRMExamsandaresuggestiveofthequestionsthatwillbeinthe2016FRMExam.The2016FRMPartIPracticeExamcontains100multiple-choicequestionsandthe2016FRMPartIIPracticeExamcontains80multiple-choicequestions,thesamenumberofquestionsthattheactual2016FRMExamPartIand2016FRMExamPartIIwillcontain.Assuch,thePracticeExamsweredesigne。

5、dtoallowcandidatestocalibratetheirpreparednessbothintermsofmaterialandtime.The2016FRMPracticeExamsdonotnecessarilycoveralltopicstobetestedinthe2016FRMExamasanytestsamplesfromtheuniverseoftestablepossibleknowledgepoints.However,thequestionsselectedforinclusioninthePracticeExamswerechosentobebroadlyreflectiveofthematerialassignedfor2016aswellastorepresentthestyleofquestionthattheFRMCommitteeconsidersappropriatebasedonassignedmaterial.Foracompletelistofcurrenttopics,corereadings,andkeylearningobjec。

6、tivescandidatesshouldrefertothe2016FRMExamStudyGuideand2016FRMLearningObjectives.CorereadingswereselectedbytheFRMCommitteetoassistcandidatesintheirreviewofthesubjectscoveredbytheExam.QuestionsfortheFRMExamarederivedfromthecorereadings.ItisstronglysuggestedthatcandidatesstudythesereadingsindepthpriortosittingfortheExam.SuggestedUseofPracticeExamsTomaximizetheeffectivenessofthepracticeexams,candidatesareencouragedtofollowtheserecommendations:1.Planadateandtimetotakethepracticeexam.Setdatesappropri。

7、atelytogivesufficientstudy/reviewtimeforthepracticeexampriortotheactualexam.2.Simulatethetestenvironmentascloselyaspossible.•Takethepracticeexaminaquietplace.•Haveonlythepracticeexam,candidateanswersheet,calculator,andwritinginstruments(pencils,erasers)available.•Minimizepossibledistractionsfromotherpeople,cellphones,televisions,etc.;putawayanystudymaterialbeforebeginningthepracticeexam.•Allocate4hourstocompleteFRMPartIPracticeExamand4hourstocompleteFRMPartIIPracticeExamandkeeptrackofyourtime.Th。

8、eactualFRMExamPartIandFRMExamPartIIare4hourseach.FinancialRiskManagerExamination(FRM)PartIIPracticeExam©2016GlobalAssociationofRiskProfessionals.Allrightsreserved.ItisillegaltoreproducethismaterialinanyformatwithoutpriorwrittenapprovalofGARP,GlobalAssociationofRiskProfessionals,Inc.2•Completetheentireexamandanswerallquestions.Pointsareawardedforcorrectanswers.ThereisnopenaltyontheFRMExamforanincorrectanswer.•FollowtheFRMcalculatorpolicy.Candidatesareonlyallowedtobringcertaintypesofcalculatorsint。

9、otheexamroom.TheonlycalculatorsauthorizedforuseontheFRMExamin2016arelistedbelow,therewillbenoexceptionstothispolicy.Youwillnotbeallowedintotheexamroomwithapersonalcalculatorotherthanthefollowing:TexasInstrumentsBAIIPlus(includingtheBAIIPlusProfessional),HewlettPackard12C(includingtheHP12CPlatinumandtheAnniversaryEdition),HewlettPackard10BII,HewlettPackard10BII+andHewlettPackard20B.3.AftercompletingtheFRMPracticeExams•Calculateyourscorebycomparingyouranswersheetwiththepracticeexamanswerkey.•Useth。

10、epracticeexamAnswersandExplanationstobetterunderstandthecorrectandincorrectanswersandtoidentifytopicsthatrequireadditionalreview.Consultreferencedcorereadingstopreparefortheexam.•Remember:pass/failstatusfortheactualexamisbasedonthedistributionofscoresfromallcandidates,souseyourscoresonlytogaugeyourownprogressandlevelofpreparedness.FinancialRiskManagerExamination(FRM)PartIIPracticeExam©2016GlobalAssociationofRiskProfessionals.Allrightsreserved.Itisillegaltoreproducethismaterialinanyformatwithoutpr。