PRM Study Plan
PRM Study Plan:- The Professional Risk Manager (PRM™) designation is the global standard for the world’s top financial risk professionals. Endorsed by leading businesses and leading graduate programs, it counts candidates from more than any other program for risk managers.
The exam tests a candidate’s knowledge and understanding of the key building blocks essential to being a successful financial risk manager.
The Professional Risk Managers’ International Association (PRMIA) offers PRM certification, aimed at enhancing the risk assessment and mitigating capabilities of professionals. It is a highly acknowledged credential for risk management professionals, designed to help professionals develop a detailed understanding of financial risk management.
This certification is more focused on study of quantitative aspect of financial risk modeling which plays a critical role in predictive financial analysis which helps gain an understanding of emerging risk areas and helps take suitable mitigating measures.
PRM Study Plan
Each exam provides plenty of time to answer the questions. Most likely, you will be able to complete the exam within 70% of the allotted time. So, you will have enough time to review the questions.The best way to study is to spend maximum time is reading the material (about 70%), and the remaining time (30%), for solving the practice tests and revising the material.The preparation time for each exam is different.
The best way to approach the paper is to not spend too much time on any question in the first run. Look at a question, and try to answer it. If you can answer it within reasonable time, say 2-3 minute, well and good. If you think you will take longer, just skip that question and move on to the next question. This way you would have gone through all the questions in half the time. In the remaining time you can come back to these unsolved questions and attempt them.
Exam I and Exam III are lengthiest as they have more topics. Both these exams will require approximately 150 to 200 hours of study time.
For exam IV, how much time you will spend completely depends on your educational background. If you have a math background, it may take very less time (less than 100 hours). Without math background, you will have to build your knowledge from scratch and it can take longer.
Exam IV is the easiest and the study material is very concise. In my view, you won’t need more than 30 hours of study time for this.
Another important point is that there is no negative marking for wrong answers. So, don’t leave any question unanswered, even if you are not sure of the answer.
PRM Study Plan- PRM Handbook Series Details
|Exam||Exam Name||PRM Handbook Volume/Resources|
|I||Finance Theory, Financial Instruments & Markets||Volume I: Book 1 Financial Theory and ApplicationVolume I: Book 2 Financial InstrumentsVolume I: Book 3 Financial Markets|
|II||Mathematical Foundations of Risk Measurement||Volume II: Mathematical Foundations of Risk Measurement|
|III||Risk Management Practices||Volume III: Book 1 Risk Management Frameworks and Operational RiskVolume III: Book 2 Credit Risk and Counterparty Credit RiskVolume III: Book 3 Market Risk, Asset Liability Management and Funds Transfer Pricing|
|IV||Case Studies, PRMIA Standards of Best Practice, Conduct and Ethics, Bylaws||Case Studies, PRMIA Standards of Best Practice, Conduct and Ethics, Bylaws|
PRM Study Plan
If you had appeared or taken one or more 2015 edition PRM exams, you need to take care of additional maintenance for PRM designation. As these requirements has been made essential to ensure the commitment towards risk knowledge base current. Listed below are the things which the PRM holder needs to take care of:
- Need to hold a PRMIA Sustaining Membership every year from the day you obtain you PRM designation.
- Complete 20 Continuing Risk Learning Credits (CRL) each calendar starting with the calendar year after you obtain your PRM Designation.
CRL credits can be obtained by attending webinars, training courses, event presentations and articles.
- If being PRM holder you fail to submit 20 CRL credits or maintain a sustaining membership, then your PRM Designation will be lapse.
- In case the PRM Designation lapses for more than 3 years in a row, than you will need to re-write PRM Exam III and also pay a $400 as a penalty fee to regain your PRM Designation.
PRM Study Plan