Test your basic knowledge |

FRM Foundations Of Risk Management Quantitative Methods

Instructions:
  • Answer 50 questions in 15 minutes.
  • If you are not ready to take this test, you can study here.
  • Match each statement with the correct term.
  • Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.
1. Implications of homoscedasticity






2. Block maxima






3. Standard error for Monte Carlo replications






4. POT






5. Control variates technique






6. Variance of X+Y






7. GARCH






8. SER






9. T distribution






10. Two requirements of OVB






11. Empirical frequency






12. Covariance






13. Extending the HS approach for computing value of a portfolio


14. LFHS






15. Standard normal distribution






16. Historical std dev






17. Square root rule






18. Unbiased






19. Economical(elegant)






20. Continuously compounded return equation






21. Single variable (univariate) probability






22. Standard error






23. Binomial distribution equations for mean variance and std dev






24. Hazard rate of exponentially distributed random variable






25. Confidence interval for sample mean






26. Unconditional vs conditional distributions






27. Variance of X+b






28. Inverse transform method






29. Variance of sample mean






30. Homoskedastic






31. i.i.d.






32. Monte Carlo Simulations






33. Cholesky factorization (decomposition)






34. What does the OLS minimize?






35. Poisson distribution equations for mean variance and std deviation






36. Reliability






37. Type I error






38. Antithetic variable technique






39. Non - parametric vs parametric calculation of VaR






40. Poisson Distribution






41. Efficiency






42. Extreme Value Theory






43. Marginal unconditional probability function






44. Cross - sectional






45. Heteroskedastic






46. Sample mean






47. R^2






48. WLS






49. Variance of X+Y assuming dependence






50. Maximum likelihood method