Risk Management Institute
Financial Risk Manager (FRM®) Certification Training Program 2014 January Intake
4 January to 10 May 2014
This program helps to prepare professionals in the financial industry for the rigorous examinations of the FRM® certification program. This certification is globally recognized and is administered by the Global Association of Risk Professionals (GARP).
The Global Association of Risk Professionals (GARP) is a not-for-profit organization and the only globally recognized membership association for risk managers. GARP's goal is to help create a culture of risk awareness within organizations, from entry level to board level.
In the areas of financial and energy risk management, GARP sets the global standard in professional designation with the FRM (Financial Risk Manager) and ERP (Energy Risk Professional) certifications. Through our educational programs, specialized content, in-person or online events, and chapter program, GARP promotes best practices in risk management and supports ongoing professional and career development for risk managers.
FINANCIAL RISK MANAGER (FRM®) CERTIFICATION
With seismic changes continuing to occur in the financial services industry worldwide, professionals who manage risk, money and investments are recognizing the need to objectively demonstrate a globally standardized level of up-to-date industry knowledge.
Requiring the successful completion of a rigorous two-part, practice-oriented examination, the Financial Risk Manager (FRM) designation provides a bedrock foundation in a profession and industry that is rapidly evolving. Since the FRM Program's inception in 1997, Certified FRMs have achieved positions such as Chief Risk Officer, Senior Risk Analyst, Head of Operational Risk, and Director of Investment Risk Management, to name a few.
The global FRM community is growing dramatically, with Certified FRMs represented at nearly every major banking institution, government regulator, consulting firm and financial services institution around the world.
WHO SHOULD ATTEND
This program targets candidates of the FRM® Examination in general but also benefits participants who are looking for a systematic learning journey of the financial risk management topics. They can be:
- A financial risk professional with work experience in risk management or related field including auditing, trading, portfolio management, academic/industry research, risk consulting and/or risk technology
- An individual with a sufficient amount of working experience in a business field other than risk management, but is interested in switching career paths to risk management
- A recent graduate with little work experience
Our courses closely map to the comprehensive FRM curriculum and participants can choose from the complete course or individual modules that best fit their needs and schedule.
The FRM Exam is a pencil and paper multiple choice exam given in two parts. It is offered exclusively in English, twice a year in May and November, in person at approximately 90 Exam sites around the world. It consists of two parts.
Part I: 100 multiple-choice questions (4 hours)
Part I curriculum covers the tools used to assess financial risk: quantitative analysis, fundamental risk management concepts, financial markets and products, and valuation and risk models.
Part II: 80 multiple-choice questions (4 hours)
Part II focuses on the application of the tools acquired in Part I through a deeper dive into market, credit, operational and integrated risk management, investment management as well as current market issues.
Different topics and mark distributions are shown below
|Part I Mark Distribution||Part II Mark Distribution|
Accordingly, RMI provides our FRM Certification Training Programs in two parts (four modules). While Module 1 and 2 target Part I of the exam, Module 3 and 4 are mapped to Part II of the exam.
Module 1: Foundation of Risk Management & Quantitative Analysis
(4, 11, 18 and 25 January)
Module 1 covers 50 percent of the topics included in the Part I of the FRM examination. It covers two broad topics:
- The role of risk management
- Basic risk types, measurement and management tools
- Creating value with risk management
- Modern Portfolio Theory (MPT)
- Standard and non-standard forms of the Capital Asset Pricing Model (CAPM)
- Single and multi-index models and the Arbitrage Pricing Theory (APT)
- Risk-adjusted performance measurement
- Enterprise Risk Management
- Financial disasters and risk management failures
- Case studies
- Ethics and the GARP Code of Conduct
Quantitative analysis tools like statistical inference, regression analysis, hypothesis testing and Value-at-Risk (VaR)
- Discrete and continuous probability distributions
- Population and sample statistics
- Statistical inference and hypothesis testing
- Estimating the parameters of distributions
- Graphical representation of statistical relationships
- Linear regression with single and multiple regressors
- Monte Carlo Methods
- Estimating correlation and volatility using EWMA and GARCH models
- Volatility term structures
- Quantifying volatility in VaR models
Module 2: Financial Markets and Products & Valuation and Risk Models
(8, 15, 22 February, 1, 8 and 15 March)
Module 2 covers the remaining 50 percent of the topics included in Part I of the FRM examination. It covers two areas:
- Mechanics of OTC and exchange markets
- Forwards, futures, swaps and options
- Interest rates and measures of interest rate sensitivity
- Derivatives on fixed income securities, interest rates, foreign exchange and equities
- Financial Markets and Products: continued
- Commodity derivatives
- Foreign exchange risk
- Corporate bonds
Valuation and Risk Models.
- Value-at-Risk (VaR)
- Option valuation
- Fixed income valuation
- Country and sovereign risk models and management
- Expected and unexpected losses
- Operational risk
- Stress testing and scenario analysis
Module 3: Market Risk and Credit Risk: Measurement and Management
(22, 29 March, 5, 11 and 12 April)
Module 3 covers 50 percent of the topics included in Part II of the FRM examination. Specifically, it covers two topics:
- Fixed income securities
- Mortgages and mortgage-backed securities (MBS)
- VaR and other risk measures
- Volatility: smiles and term structures
- Exotic options
Credit Risk Measurement and Management
- Subprime mortgages and securitization
- Counterparty risk and OTC derivatives
- Credit risk concentration
- Credit derivatives
- Structured finance and securitization
- Default risk
- Expected and unexpected losses
- Credit VaR
Module 4: Operational Risk, Risk Management and Investment Management and Current Issues in Financial Markets
(25, 26 April, 3 and 10 May)
Module 4 covers the remaining 50 percent of the topics included in Part II of the FRM examination.
- Calculating and applying risk-adjusted return on capital (RAROC)
- Understanding, managing, and mitigating liquidity risk
- Understanding and managing model risk
- Evaluating the performance of risk management systems
- Validating VaR models
- Enterprise risk management (ERM)
- Economic capital
- Failure mechanics of dealer banks
- Regulation and the Basel Accords
- Operational loss data
Risk Management and Investment Management
- Risk Management and Investment Management
- Portfolio construction
- Portfolio-based performance analysis
- Tests of the Capital Asset Pricing Model (CAPM)
- Portfolio and component VaR
- Risk budgeting
- Risk monitoring and performance measurement
- Hedge funds
- Private equity
Current Issues in Financial Markets
- Causes, consequences, and lessons learned from the current crisis
- Impact of financial development on risk
- Sovereign risk
- Trading Fraud
- Systemic Risk Management
- Active Risk Management
To meet the needs of the working professionals, the classes will be held on Saturday mornings (9.00am to 12.30pm) except Friday evening (7.00pm to 10.30pm)
Venue will be 21 Heng Mui Keng Terrace, I3 Building, Level 4, Executive Seminar Room, Singapore 119613.
Early Bird Special
29 Nov 2013
13 Dec 2013
Foundation of Risk Management & Quantitative Analysis
Financial Markets and Products & Valuation and Risk Models
Market Risk and Credit Risk: Measurement and Management
Operational Risk, Risk Management and Investment Management
Complete Course (Save 5%)
Fees quoted are GST inclusive
This programme is approved for listing on the Financial Training Scheme (FTS) Programme Directory and is eligible for FTS claims subject to all eligibility criteria being met.
The FTS is available to eligible entities, at a 50% funding level of programme fees subject to all eligibility criteria being met. FTS claims may only be made for programmes listed on the FTS Programme Directory with the specified validity period. Please refer to www.ibf.org.sg for more information.
Crossed cheques are to be made payable to: "National University of Singapore"
Please send the completed registration form together with your payment to:
Ms Jaslin Chong
NUS Risk Management Institute
National University of Singapore
21 Heng Mui Keng Terrace
I3 Building #04-03
Tel: 6516 8497 Fax: 6874 5430
(Cancellations are non-refundable although participants can be substituted.)