Valid 8011 Exam Braindumps Supply You Trustable Practice Engine - DumpsQuestion

Rated:

, 0 Comments

Total visits: 6

Posted on: 03/31/25

If you need the 8011 training material to improve the pass rate, our company will be your choice. 8011 training materials of our company have the information you want, we have the answers and questions. Our company is pass guarantee and money back guarantee. We also have free demo before purchasing. Compared with the paper one, you can receive the 8011 Training Materials for about 10 minutes, you don’t need to waste the time to wait.

The procedures of every step to buy our 8011 exam questions are simple and save the clients’ time. Because the most clients may be busy in their jobs or other significant things, the time they can spare to learn our 8011 study materials is limited and little. But if the clients buy our 8011 training quiz they can immediately use our exam products and save their time. It will only take 5 to 10 minutes for us to send the 8011 learning guide to you after purchase.

>> 8011 Guaranteed Passing <<

Credit and Counterparty Manager (CCRM) Certificate Exam study material & 8011 torrent pdf & Credit and Counterparty Manager (CCRM) Certificate Exam training dumps

The team of experts hired by 8011 exam torrent constantly updates and supplements the contents of our study materials according to the latest syllabus and the latest industry research results, and compiles the latest simulation exam question based on the research results of examination trends. We also have dedicated staffs to maintain updating 8011 Practice Test every day, and you can be sure that compared to other test materials on the market, 8011 quiz guide is the most advanced.

PRMIA Credit and Counterparty Manager (CCRM) Certificate Exam Sample Questions (Q90-Q95):

NEW QUESTION # 90
When estimating the risk of a portfolio of equities using the portfolio's beta, which of the following is NOT true:

A. use of the beta assumes that the portfolio is diversified enough so that the specific risks of the individual stocks offset each other
B. relies upon the single factor CAPM model
C. using the beta significantly eases the computational burden of calculating risk
D. explicitly considers specific risk inherent in the portfolio for risk calculations

Answer: D

Explanation:
Using the beta for VaR calculations is a significant simplification based on the CAPM and the assumption that any specific risks are diversified away. The one thing a risk model based on the CAPM does not consider is the specific risk of individual stocks, because, as mentioned, these are considered to be offsetting each other so that the portfolio only carries market risk reflected in the beta.
Therefore Choice 'c' is not true and therefore the correct answer.

NEW QUESTION # 91
Fill in the blank in the following sentence:
Principal component analysis (PCA) is a statistical tool to decompose a ____________ matrix into its principal components and is useful in risk management to reduce dimensions.

A. Correlation
B. Covariance
C. Positive semi-definite
D. Volatility

Answer: C

Explanation:
PCA is a statistical tool that decomposes a positive semi-definite matrix into its principal components. The first few principal components explain nearly all the variation and other components can then be ignored as they are too small in the larger picture. PCA in risk management is applied to a positive semi-definite correlation or covariance matrix to reveal the principal components that cause the variation. By allowing a focus on a few components, PCA reduces dimensionality.
While performing the math of PCA is unlikely to be asked in the PRMIA exam, you should remember that principal components have the additional property of being uncorrelated to each other which makes it useful as it is possible to vary one of the components without having to worry about the effect of that on the other components.

NEW QUESTION # 92
When compared to a medium severity medium frequency risk, the operational risk capital requirement for a high severity very low frequency risk is likely to be:

A. Unaffected by differences in frequency or severity
B. Higher
C. Zero
D. Lower

Answer: C

Explanation:
High frequency and low severity risks, for example the risks of fraud losses for a credit card issuer, may have high expected losses, but low unexpected losses. In other words, we can generally expect these losses to stay within a small expected and known range. The capital requirement will be the worst case losses at a given confidence level less expected losses, and in such cases this can be expected to be low.
On the other hand, medium severity medium frequency risks, such as the risks of unexpected legal claims, 'fat- finger' trading errors, will have low expected losses but a high level of unexpected losses. Thus the capital requirement for such risks will be high.
It is also worthwhile mentioning high severity and low frequency risks - for example a rogue trader circumventing all controls and bringing the bank down, or a terrorist strike or natural disaster creating other losses - will probably have zero expected losses & high unexpected losses but only at very high levels of confidence. In other words, operational risk capital is unlikely to provide for such events and these would lie in the part of the tail that is not covered by most levels of confidence when calculating operational risk capital.
Note that risk capital is required for only unexpected losses as expected losses are to be borne by P&L reserves. Therefore the operational risk capital requirements for a low severity high frequency risk is likely to be low when compared to other risks that are lower frequency but higher severity.
Thus Choice 'c' is the correct answer.

NEW QUESTION # 93
A stock that follows the Weiner process has its future price determined by:

A. its current price, expected return and standard deviation
B. its expected return and standard deviation
C. its expected return alone
D. its standard deviation and past technical movements

Answer: A

Explanation:
The change in the price of a security that follows a Weiner process is determined by its standard deviation and expected return. To get the price itself, we need to add this change in price to the current price. Therefore the future price in a Weiner process is determined by all three of current price, expected return and standard deviation.

NEW QUESTION # 94
For a FX forward contract, what would be the worst time for a counterparty to default (in terms of the maximum likely credit exposure)

A. Roughly three-quarters of the way towards maturity
B. Right after inception
C. At maturity
D. Indeterminate from the given information

Answer: C

Explanation:
With the passage of time, the range of possible values the FX contract can take increases. Therefore the maximum value of the contract, which is when the credit risk would be maximum, would be at maturity.
(Note that this is different than an interest rate swap whose value at maturity approaches zero.) Therefore Choice 'a' is the correct answer and the others are incorrect.

NEW QUESTION # 95
......

In a year after your payment, we will inform you that when the 8011 exam guide should be updated and send you the latest version. Our company has established a long-term partnership with those who have purchased our 8011 exam questions. We have made all efforts to update our products in order to help you deal with any change, making you confidently take part in the 8011 exam. Every day they are on duty to check for updates of 8011 Study Materials for providing timely application. We also welcome the suggestions from our customers, as long as our clients propose rationally. We will adopt and consider it into the renovation of the 8011 exam guide. Anyway, after your payment, you can enjoy the one-year free update service with our guarantee.

8011 Reliable Exam Price: https://www.dumpsquestion.com/8011-exam-dumps-collection.html

Moreover, you can check out our customer's reviews so you can get a better idea of the quality of the 8011 braindumps pdf that have created for you, PRMIA 8011 Guaranteed Passing Please use the form on that page, or email us, and include your full name and the e-mail address that you used when making your purchase, after the online payment is successful, you can receive mail from customer service in 5 to 10 minutes, and then immediately begin to learn 8011 training prep.

Because invariably, I come back after making a proof 8011 print and want to change it around again, Handling a ToolBar's ButtonClick Event, Moreover, you can check out our customer's reviews so you can get a better idea of the quality of the 8011 braindumps pdf that have created for you.

PRMIA 8011 Questions - Easy way to Prepare for Exam

Please use the form on that page, or email us, and 8011 Guaranteed Passing include your full name and the e-mail address that you used when making your purchase, after the online payment is successful, you can receive mail from customer service in 5 to 10 minutes, and then immediately begin to learn 8011 training prep.

With the high reputation in the field, we can guarantee the quality of the 8011 exam dumps, First, there are free demo of 8011 test questions for you to download before you buy, Second, you have right of free updating of 8011 valid dumps one-year after you buy, Third, we promise you to full refund if you failed with our 8011 test pass guide, Fourth, there are 24/7 customer assisting to support in case you may encounter some problems.

Tags: 8011 Guaranteed Passing, 8011 Reliable Exam Price, Latest 8011 Exam Pdf, Interactive 8011 Course, 8011 Latest Braindumps Pdf

Comments

There are still no comments posted ...

Rate and post your comment

Username:
Password:
Forgotten password?

Most Popular

Valid 8011 Exam Braindumps Supply You Trustable Practice Engine - DumpsQuestion

Credit and Counterparty Manager (CCRM) Certificate Exam study material & 8011 torrent pdf & Credit and Counterparty Manager (CCRM) Certificate Exam training dumps

PRMIA Credit and Counterparty Manager (CCRM) Certificate Exam Sample Questions (Q90-Q95):

PRMIA 8011 Questions - Easy way to Prepare for Exam

Login