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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 variance






2. Heteroskedastic






3. Result of combination of two normal with same means






4. Statistical (or empirical) model






5. Standard variable for non - normal distributions






6. Sample correlation






7. Variance of X+Y assuming dependence






8. Sample covariance






9. Econometrics






10. Implied standard deviation for options






11. Variance(discrete)






12. Inverse transform method






13. R^2






14. Priori (classical) probability






15. Unstable return distribution






16. i.i.d.






17. GPD






18. Variance of X - Y assuming dependence






19. Bootstrap method






20. Kurtosis






21. P - value






22. Beta distribution






23. Conditional probability functions






24. Standard error






25. Antithetic variable technique






26. Logistic distribution






27. What does the OLS minimize?






28. SER






29. Panel data (longitudinal or micropanel)






30. Difference between population and sample variance






31. Variance of sample mean






32. Reliability






33. Economical(elegant)






34. Type II Error






35. Time series data






36. Joint probability functions






37. Binomial distribution






38. Discrete representation of the GBM






39. Test for unbiasedness






40. Block maxima






41. Variance of aX + bY






42. Variance of X+b






43. Sample mean






44. Continuous random variable






45. Potential reasons for fat tails in return distributions






46. Homoskedastic only F - stat






47. Maximum likelihood method






48. Variance - covariance approach for VaR of a portfolio






49. Mean reversion in asset dynamics






50. ESS