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. SER






2. Variance of sample mean






3. Multivariate probability






4. Unconditional vs conditional distributions






5. Variance of X+Y assuming dependence






6. Persistence






7. Sample mean






8. ESS






9. Discrete random variable






10. Two ways to calculate historical volatility






11. Shortcomings of implied volatility






12. Variance of X+b






13. Simulation models






14. Economical(elegant)






15. Time series data






16. Beta distribution






17. Exact significance level






18. Variance of aX






19. Variance of X+Y






20. Inverse transform method






21. Reliability






22. Standard error for Monte Carlo replications






23. Variance of aX + bY






24. Hazard rate of exponentially distributed random variable






25. Panel data (longitudinal or micropanel)






26. Priori (classical) probability






27. Confidence interval (from t)






28. Heteroskedastic






29. Statistical (or empirical) model






30. Stochastic error term






31. Perfect multicollinearity






32. Unbiased






33. GARCH






34. Implied standard deviation for options






35. Two requirements of OVB






36. T distribution






37. Binomial distribution equations for mean variance and std dev






38. Deterministic Simulation






39. Pooled data






40. BLUE






41. Efficiency






42. Key properties of linear regression






43. Sample correlation






44. Test for unbiasedness






45. Sample covariance






46. Unstable return distribution






47. Homoskedastic






48. Adjusted R^2






49. Standard variable for non - normal distributions






50. Covariance calculations using weight sums (lambda)