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Free GARP RAI Exam Questions

Absolute Free RAI Exam Practice for Comprehensive Preparation 

  • GARP RAI Exam Questions
  • Provided By: GARP
  • Exam: Risk and AI (RAI)
  • Certification: GARP Certification
  • Total Questions: 330
  • Updated On: Nov 24, 2025
  • Rated: 4.9 |
  • Online Users: 660
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  • Question 1
    • A portfolio manager is using a multi-arm bandit model to decide daily between several stocks for short-term investments. Each stock has a different historical return profile. In this scenario, what would be the "reward" in MAB terminology?

      Answer: B
  • Question 2
    • How might AI exacerbate global inequality at a societal level?

      Answer: C
  • Question 3
    • A financial institution uses a neural network model with thousands of parameters to predict loan defaults. On the training dataset, the model has a nearly zero residual sum of squares (RSS). However, it performs poorly on new data. What does this indicate?

      Answer: C
  • Question 4
    • Which term best describes a dataset that includes a mix of organized, structured financial data and unstructured text data from customer reviews?

      Answer: C
  • Question 5
    • A bank is validating a model for credit risk analysis. What should be the primary focus of the validation process to ensure its effectiveness?

      Answer: A
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