Free PRMIA 8010 Exam Questions
Absolute Free 8010 Exam Practice for Comprehensive Preparation
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PRMIA 8010 Exam Questions
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Provided By: PRMIA
- Exam: Operational Risk Manager (ORM)
- Certification: PRM
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Total Questions: 242
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Updated On: Sep 22, 2026
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Rated: 4.9 |
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Online Users: 484
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Question 1
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Which of the following is a cause ofmodel risk in risk management?
Answer: D
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Which of the following is a cause ofmodel risk in risk management?
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Question 2
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For a hypotherical UoM, the number of losses in two non-overlapping datasets is 24 and 32 respectively. The
Pareto tail parameters for the two datasets calculated using the maximum likelihood estimation method are 2
and 3. What is an estimate of the tail parameter of the combined dataset?
Answer: A
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For a hypotherical UoM, the number of losses in two non-overlapping datasets is 24 and 32 respectively. The
Pareto tail parameters for the two datasets calculated using the maximum likelihood estimation method are 2
and 3. What is an estimate of the tail parameter of the combined dataset?
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Question 3
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Whichof the following statements are true in relation to Historical Simulation VaR?I. Historical Simulation VaR assumes returns are normally distributed but have fat tailsII. It uses full revaluation, as opposed to delta or delta-gamma approximationsIII. Acorrelation matrix is constructed using historical scenariosIV. It particularly suits new products that may not have a long time series of historical data available
Answer: A
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Question 4
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Which of the following decisions need to be made as part of laying down a system for calculating VaR:I. The confidence level and horizonII. Whether portfolio valuation is based upon a delta-gamma approximation or a full revaluationIII. Whether the VaR is to be disclosed in the quarterly financial statementsIV. Whether a 10 day VaR will be calculated based on 10-day return periods, or for 1-day and scaled to 10days
Answer: C
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Question 5
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A bullet bond and an amortizing loan are issued at the same time with the same maturity and with the same
principal. Which of these would have a greater credit exposure halfway through their life?
Answer: D
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A bullet bond and an amortizing loan are issued at the same time with the same maturity and with the same
principal. Which of these would have a greater credit exposure halfway through their life?