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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. Sample correlation






2. Stochastic error term






3. Single variable (univariate) probability






4. Pooled data






5. Extreme Value Theory






6. Conditional probability functions






7. Continuously compounded return equation






8. Two requirements of OVB






9. Mean reversion






10. Continuous representation of the GBM






11. Standard variable for non - normal distributions






12. SER






13. GPD






14. Key properties of linear regression






15. Bootstrap method






16. Economical(elegant)






17. Normal distribution






18. Overall F - statistic






19. Significance =1






20. Central Limit Theorem






21. Logistic distribution






22. Confidence interval for sample mean






23. Mean(expected value)






24. SER






25. Simulation models






26. Variance of aX + bY






27. Least squares estimator(m)






28. Variance of sampling distribution of means when n<N






29. Multivariate probability






30. F distribution






31. Variance of aX






32. Joint probability functions






33. Historical std dev






34. Empirical frequency






35. Poisson distribution equations for mean variance and std deviation






36. Difference between population and sample variance






37. LFHS






38. Unbiased






39. Sample mean






40. Implications of homoscedasticity






41. Mean reversion in variance






42. Binomial distribution






43. Unstable return distribution






44. Central Limit Theorem(CLT)






45. Deterministic Simulation






46. Time series data






47. Econometrics






48. Discrete random variable






49. Bernouli Distribution






50. Variance - covariance approach for VaR of a portfolio