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GARP 2016-FRR Exam Dumps Questions and Answers

Exam Code: 2016-FRR
Vendor: GARP
Last Update: Dec 22, 2024
Questions: 342 With Expert Explanation
10  Customers Passed GARP 2016-FRR
91%  Average Success In Real Exam
88%  Questions came word by word from this dump
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All Financial Risk and Regulation Related Certification Exams

Other GARP Certification Exams

Financial Risk and Regulation (FRR) Series Questions and Answers

Questions 1

Which one of the following four statements about planning for the operational risk framework is INCORRECT?

Options:

A.

Planning for the operational risk framework involves setting clear goals, realistic milestones and achievable deliverables that add value.

B.

An operational risk framework is a complex and evolving challenge, and to keep its development under control it is important to apply strong project management skills to the design and implementation of each new element.

C.

Planning for the operational risk framework suggests that short-term planning and focus on immediate benefits is strongly preferred to the long-term planning approach.

D.

Once the elements of an operational risk framework are up and running, they need to be monitored to ensure they maintain their integrity and do not deteriorate over time.

Questions 2

The probability of default on a bond is 3%, and in the case of default, investors expect to lose 70% of their investment. The bond's risk premium is 1.9%. The expected loss and the credit spread of the bond are, respectively:

Options:

A.

1.6% and 2.5%.

B.

2.1% and 3%.

C.

1.6% and 3.5%.

D.

2.1% and 4%.

Questions 3

James Johnson bought a coupon bond yielding 4.7% for $1,000. Assuming that the price drops to $976 when yield increases to 4.71%, what is the PVBP of the bond.

Options:

A.

$26.

B.

$76.

C.

$870.

D.

$976.

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