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PRMIA 8010 Exam Dumps - Actual Questions Answers

Operational Risk Manager (ORM) Exam

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  • Last Update: Nov 18, 2024
  • Questions: 240 questions
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PRMIA 8010 Last Week Results!

32

Customers Passed
PRMIA 8010

95%

Average Score In Real
Exam At Testing Centre

92%

Questions came word by
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8010 Questions and Answers

Question # 1

Which of the following statements is true:

I. Recovery rate assumptions can be easily made fairly accurately given past data available from credit rating agencies.

II. Recovery rate assumptions are difficult to make given the effect of the business cycle, nature of the industry and multiple other factors difficult to model.

III. The standard deviation of observed recovery rates is generally very high, making any estimate likely to differ significantly from realized recovery rates.

IV. Estimation errors for recovery rates are not a concern as they are not directionally biased and will cancel each other out over time.

A.

II and IV

B.

I, II and IV

C.

III and IV

D.

II and III

Question # 2

Which of the following credit risk models includes a consideration of macro economic variables such asunemployment, balance of payments etc to assess credit risk?

A.

KMV's EDF based approach

B.

The CreditMetrics approach

C.

The actuarial approach

D.

CreditPortfolio View

Question # 3

What percentage of average annual gross income is to be held as capital for operational risk under the basic indicator approach specified under Basel II?

A.

0.125

B.

0.08

C.

0.12

D.

0.15

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