đź“– Financial Risk Management
About FRM Course
The Financial Risk Manager (FRM®) plays a crucial role in identifying and mitigating risks that can impact an organization’s financial health, ensuring stability and growth. Employed across industries such as banking, insurance, and trading, FRM® professionals specialize in areas like Credit Risk, Market Risk, Liquidity Risk, Regulatory Risk, Cyber RisK.
The FRM® course equips individuals with the expertise to assess risks through analysis of financial markets and global trends, while developing strategies to reduce potential threats. With its comprehensive curriculum, the FRM® program provides in-depth knowledge essential for managing all aspects of risk, making it the leading certification for risk management professionals.
2 Parts
Duration 1-2 Years
Professional Growth
Recognized Globally
Advantages Of FRM Course
Global Credibility
It is like having a golden ticket for any risk management job around the world.
Expert-Level Knowledge
You will gain specialized knowledge that many industries need. This is especially true in banking, insurance, and investment.
Career Boost
Generally, holders of the FRM qualification progress career-wise at faster rates and usually command higher salaries.
Networking Opportunies for a Faster Career Growth
FRM® holders join GARP, gaining access to a global network for collaboration, growth, and events.
Global Credentials
The FRM Charter is considered to be Masters degree equivalent from the leading universities of the world. According to NARIC, UK the FRM is considered the finest cradle among post graduate degrees in risk management awarded by the top universities of the world
Eligibility Criteria for FRM
There aren’t any strict prerequisites to joining the FRM program! While it does help to have a background in finance, economics, or mathematics. Anyone interested in risk management can enroll.
You can appear in the Part 1 exam as early as in the 1st year of your college. However to obtain a certificate you need to complete both parts of the exam within 4 years of applying for Part 1. Along with having a minimum of two years of relevant work experience to earn the much-sought-after FRM title.
Note : The contents presented here are referenced from the Global Association of Risk Professionals (GARP) website. For the most up-to-date information and content, candidates are advised to refer to the official GARP website, www.garp.org
Roadmap for FRM
Eligibility Criteria
Education
No specific qualification required. Open to all candidates.
Experience
2 years of risk-related work experience or can be completed post-exam.
Exam Levels
Part I and Part II must be completed for certification.
Age
No age restrictions.
Registration
Complete registration with GARP and pay the fees.
FRM Exam Part I
| Subject Area | Percentage (%) |
|---|---|
| Foundations of Risk Management | 20% |
| Quantitative Analysis | 20% |
| Financial Markets and Products | 30% |
| Valuation and Risk Models | 30% |
FRM Exam Part II
| Subject Area | Percentage (%) |
|---|---|
| Market Risk Measurement and Management | 20% |
| Credit Risk Measurement and Management | 20% |
| Operational Risk and Resilience | 20% |
| Liquidity and Treasury Risk Measurement and Management | 15% |
| Risk Management and Investment Management | 15% |
| Current Issues in Financial Markets | 10% |
| Category | Level I Details | Level II Details |
|---|---|---|
| Mode of Exam | Computer-based Test (CBT) | Computer-based Test (CBT) |
| Duration | 4 hours (2 sessions of 2 hours each) | 4 hours (2 sessions of 2 hours each) |
| Question Format | 100 multiple-choice questions | 80 multiple-choice questions (Item sets & case studies) |
| Passing Score | Scaled scoring, no fixed passing score | Scaled scoring, no fixed passing score |
| Study Materials | Official GARP Curriculum, third-party materials (e.g., Kaplan Schweser, Wiley) | Official GARP Curriculum, third-party materials (e.g., Kaplan Schweser, Wiley) |
| Prerequisites | No formal prerequisites (basic finance/math helpful) | Must pass Level I before taking Level II |
| Key Focus | Basic knowledge and understanding of risk management principles, financial instruments, quantitative methods. | Advanced application of knowledge, with emphasis on risk management techniques, case studies, and real-world applications. |
Start your FRM prep now!
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