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Does anyone else have any other financial certification? How does the FRM compare, difficulty wise?

nikic

Active Member
Thread starter #1
I wondering about those who also have taken other financial certifications, such as the CFA, CPA, CAIA, Actuarial papers or even the PRM. How does the FRM compare difficulty wise?

Thanks!
 

bradnhopkins

New Member
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#2
I sat for the CFA L1 in 2008 (did not pass, but ended going up a different career route anyways), and I think the FRM is easier in some ways and harder than others. The CFA L1 exam has a huge focus on quantitative questions, whereas from what I can tell so far the FRM is more qualitative/conceptual (or at least the material from books 1 and 3 seem more conceptual).

Then there are areas where the CFA and FRM have zero overlap. For instance the CFA L1 covers a lot of financial statement analysis and IFRS rules/regulations whereas the FRM doesn't materially touch on it. And then the FRM has a huge focus on econometrics (my best guess is that the material at the very least approximates a masters level econometrics course) whereas linear regression is only briefly covered for the CFA L1.
 
#4
A colleague of mine is currently in the middle of passing PRM.
While the concepts intersect with FRM, the certification approaches are quite different. Not taking into consideration 2 parts in FRM vs 4 parts in PRM, the latter requires way more calculations, AFAICR: matrices, differential and integral equations. If you're good at rather basic calculus, PRM is going to be easier to pass. It costs a bit more though, and apparently less popular than FRM.

Oh, and the PRM preparation materials are distributed in the protected *.pdf files, so that you're unable either to copy anything from them, or make readable screenshots... There IS a workaround for it, but it's rather off-topic in these forums, I guess.

And another colleague of mine is preparing for CFA L3. The overall CFA intersection with the FRM materials is within the 15% level, as he says. He passed both FRM parts with 1111, 21112 quartiles, if it matters (quite a whiz fellow, I'd say :) ).
 
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