Feb 13

About the PRM

by David Harper, CFA, FRM, CIPM

Exams |

The Professional Risk Manager (PRM) is a certification for risk professionals. Professionals who want to earn a risk-based certification should choose between the PRM and GARP's FRM (here is a helpful side-by-side comparison). The PRM is administered by PRMIA (pronounced PREE-mee-ah) which has fewer members than GARP but also a shorter history.

The learning objectives are similar. Both exams emphasize quantitative methods, financial instruments including credit derivatives, risk management practices including operational risk, and case studies. The curriculum is based on the Professional Risk Manager's Handbook. The PRM Handbook is a tour-de-force. About forty experts contribute chapters into an anthology of risk.  The handbook is especially strong at introducing quantitative concepts.

The PRM exam itself is computer-based and administered at a local testing facility. The exam consists of four modules. Candidates can take all of the exams in one sitting or they can sit in sequence:

Exam Contents Time
 Exam I Finance Theory, Instruments and & Markets 90 minutes
 Exam II Mathematical Foundations of Risk Measurement 120 minutes
 Exam III Risk Management Practices 90 minutes
 Exam IV Case Studies, Standards, Ethics, Bylaws 60 minutes


The program gives partial credit for certain "cross-over" candidates who hold charters in related fields; e.g., CFA charterholders and actuarial fellows only need to pass Exams III and IV.

Comments

  1. Asha Chander 03 Jul 2007

    hey i am looking for brochures or any information about the exam thank you

  2. Durga pattanayak 08 Aug 2007

    I am an IT consultant with 8 years of experience. I have mostly worked with banking and Financial clients.
    I want to have a professional qualiification in Risk management.

  3. sait yılmazer 18 Dec 2007

    Thank you

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