However, there are no educational or professional prerequisites to apply for the Financial Risk Manager Exam. To become a Certified FRM, individuals must have professional experience of two years in risk-related full-time professional experience positions including portfolio management, risk consulting, and other fields. How much work experience is required before applying for the FRM Exam?.It is a great value addition to skills, credentials, and resume FRM holders can have positions such as Chief Risk Officer, Senior Risk Analyst, Head of Operational Risk, and Director, Investment Risk Management, to name a few. It is a valued designation by employers around the world. It provides a competitive edge as against other peers. There are various career prospects available as it is one of the most widely accepted designations in risk management industry. What are my career opportunities after becoming a Certified FRM?.However a survey in May 2012 FRM Exam Part I test takers indicates that, on average, individuals devoted about 240 hours to Exam preparation though it varied from less than 100 to more than 400 hours. This will vary with individual’s prior experience, concept familiarity, and academics background, Therefore, it is difficult to give out a specific number of hours to prepare for this exam. How much time is there to prepare for the FRM Exam?.Corporations (including non-financial corporations).
Industries Employing Certified FRM’sĬandidates for the FRM designation work in any number of industries, including: Provide effective financial services to clients. Identify the key skills of a successful wealth manager. Provide financial advice and service to clients. Note: Provide financial advice and service to clients. It provides with varied career options in Risk Management, Trading, Structuring, Modeling, etc. It provides you with a network to connect with the world’s prominent financial risk management professionals. It aids the candidates with specialized knowledge and skills in financial risk management. It gives the opportunity for individuals to accelerate their careers irrespective of their educational background. The FRM certification differentiates you from your peers, provides a competitive advantage to colleagues, clients, and prospective employers. The below diagram depicts the subjects that the candidates are supposed to prepare for in level II exam with their respective weight age. There are 80 multiple choice questions to be attempted within the duration of 4 Hours. This exam is available in the month of May and November each year.
The FRM Exam Part II focuses on the practical application of risk management tools covered in Part I to specific areas of risk management such as credit risk, market risk, and operational risk. The Financial Risk Manager Exam Part II is the second of two exams that a candidate has to clear to become a certified FRM. The below diagram depicts the subjects that the candidates are supposed to prepare for in level I exam with their respective weight age. There are 100 multiple choice questions to be attempted within the duration of 4 Hours. The Part I exam focuses on the essential tools and concepts required to assess financial risk. The candidates are expected to know about the risk management concepts and theories as they would apply to a risk manager’s daily work. FRM Part I ExamĬlearing the FRM Exam Part I is the first step for an individual to become a Certified Financial Risk Manager. In order to become a Certified Financial Risk Manager after passing the FRM Exam Part I & II, candidates must demonstrate a minimum of two years of risk-related full-time professional experience positions including portfolio management, risk consulting, and other fields. However, to become a Certified Financial Risk Manager, candidates must comply with the following outline of the program: It is practice-oriented examination offered in two parts questions are designed to relate theory to practical, real-world, problems. There are no educational or professional requirements to appear for the FRM Exam. With the rapid changes in the finance industry worldwide there is a need for professionals who manage risk, money, and investment to obtain globally standardized up-to-date knowledge and FRM aims to fill that gap. It is a globally recognized standard for those who manage risk. Financial Risk Manager (FRM) is a professional designation awarded by the Global Association of Risk Professionals (GARP) to the candidates who successfully complete this certification program.