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GARP 2016-FRR Exam Dumps - Actual Questions Answers

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  • Last Update: Mar 24, 2025
  • Questions: 387 questions with Expert Explanation
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2016-FRR Questions and Answers

Question # 1

To quantify the aggregate average loss for the credi t subportfolios, a credit portfolio manager should use the following metric:

A.

Credit VaR

B.

Expected loss

C.

Unexpected loss

D.

Factor sensitivity

Question # 2

When looking at the distribution of portfolio credit losses, the shape of the loss distribution is ___ , as the likelihood of total losses, the sum of expected and unexpected credit losses, is ___ than the likelihood of no credit losses.

A.

Symmetric; less

B.

Symmetric; greater

C.

Asymmetric; less

D.

Asymmetric; greater

Question # 3

An asset manager for a large mutual fund is considering forward exchange positions traded in a clearinghouse system and needs to mitigate the risks created as a result of this operation. Which of the following risks will be created as a result of the forward exchange transaction?

A.

Exchange rate risk

B.

Exchange rate and interest rate risk

C.

Credit risk

D.

Exchange rate and credit risk

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GARP 2016-FRR Exam Dumps FAQs

1. What is the GARP 2016-FRR Financial Risk and Regulation Exam?

The GARP 2016-FRR Financial Risk and Regulation Exam is a comprehensive test that assesses your knowledge of financial risk and regulation concepts. It is designed for professionals who work in the field of finance, risk management, and compliance.

2. Who is eligible to take the GARP 2016-FRR Financial Risk and Regulation Exam?

The GARP 2016-FRR Financial Risk and Regulation Exam is ideal for professionals who have three to five years of experience in the financial sector, particularly in risk, auditing, accounting, consulting, compliance, IT, and insurance.

3. What topics are covered in the GARP 2016-FRR Financial Risk and Regulation Exam?

The GARP 2016-FRR Financial Risk and Regulation exam focused on four key areas:

  • Credit Risk: Assessing and managing risks associated with lending and borrowing.
  • Market Risk: Understanding and mitigating risks arising from market fluctuations.
  • Operational Risk: Identifying and controlling risks related to internal processes and systems.
  • Asset and Liability Management (ALM): Balancing risks and returns by aligning assets and liabilities effectively.

4. What is the format of the GARP 2016-FRR Financial Risk and Regulation Exam?

The GARP 2016-FRR Financial Risk and Regulation Exam is a computer-based test that consists of 100 multiple-choice questions. You will have four hours to complete the exam.

5. What is the passing score for the GARP 2016-FRR Financial Risk and Regulation Exam?

The passing score for the GARP 2016-FRR Financial Risk and Regulation Exam is 60%.

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