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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. Variance of weighted scheme






2. WLS






3. Law of Large Numbers






4. R^2






5. Mean(expected value)






6. Poisson Distribution






7. Direction of OVB






8. Sample covariance






9. Square root rule






10. Type II Error






11. Historical std dev






12. Implications of homoscedasticity






13. Statistical (or empirical) model






14. Two ways to calculate historical volatility






15. Panel data (longitudinal or micropanel)






16. Block maxima






17. Implied standard deviation for options






18. Monte Carlo Simulations






19. Adjusted R^2






20. i.i.d.






21. Multivariate probability






22. Test for unbiasedness






23. LFHS






24. Exact significance level






25. Limitations of R^2 (what an increase doesn't necessarily imply)


26. Control variates technique






27. Binomial distribution equations for mean variance and std dev






28. Gamma distribution






29. EWMA






30. Result of combination of two normal with same means






31. Hazard rate of exponentially distributed random variable






32. Reliability






33. Variance(discrete)






34. Confidence interval for sample mean






35. POT






36. F distribution






37. Simplified standard (un - weighted) variance






38. Logistic distribution






39. LAD






40. Four sampling distributions


41. Hybrid method for conditional volatility






42. Conditional probability functions






43. Cross - sectional






44. Pooled data






45. Variance of X - Y assuming dependence






46. Unbiased






47. Tractable






48. Two requirements of OVB






49. Variance of aX






50. Chi - squared distribution