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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. Econometrics






2. Priori (classical) probability






3. Mean reversion






4. Tractable






5. Marginal unconditional probability function






6. Stochastic error term






7. Least squares estimator(m)






8. Two ways to calculate historical volatility






9. Deterministic Simulation






10. Exponential distribution






11. Test for unbiasedness






12. Variance(discrete)






13. Variance of sample mean






14. Control variates technique






15. Bernouli Distribution






16. Type I error






17. Covariance






18. Discrete random variable






19. Result of combination of two normal with same means






20. Logistic distribution






21. Confidence interval (from t)






22. GPD






23. Continuous representation of the GBM






24. Variance of X+b






25. Unbiased






26. Binomial distribution equations for mean variance and std dev






27. SER






28. Confidence interval for sample mean






29. Sample mean






30. Single variable (univariate) probability






31. Multivariate probability






32. Test for statistical independence






33. R^2






34. Discrete representation of the GBM






35. Standard error for Monte Carlo replications






36. Mean reversion in variance






37. Two requirements of OVB






38. Implications of homoscedasticity






39. Perfect multicollinearity






40. Square root rule






41. Antithetic variable technique






42. Unstable return distribution






43. Direction of OVB






44. Time series data






45. F distribution






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






47. Skewness






48. Standard normal distribution






49. Sample correlation






50. Central Limit Theorem