Financial Risk Management (FRM) Course in the UK
Financial Risk Management is the practice of optimizing the way financial risk is taken within a business in an attempt to increase its economic value. The FRM (Financial Risk Manager) certification program was designed to develop professionals with an exceptional grasp of financial risk management, a skill which has proven to be an area of expertise in high demand globally. The FRM designation has proven to form the basis of many a professional’s ability to achieve upwardly mobile careers with no upper ceiling in terms of financial remuneration and prestige.
FRM Qualification Benefits
Becoming a Financial Risk manager by successfully completing the FRM certification program will increase your career opportunities, enhance your income potential and increase your practical understanding of the latest financial risk concepts. You will also become internationally recognised as a leader in financial risk management as you expand your international networking capacity to more than 26,000 in 90 countries.
FRM Course Structure
The Financial Risk Managers qualification comprises of two sequential parts where Part 1 must be completed before moving on to Part 2. The weight of each subject in terms of examination results range between 10% and 30%:
Foundations of Risk Management – 20%
Quantitative Analysis – 20%
Financial Markets and Products – 30%
Valuation and Risk Models – 30%
Market Risk Measurement and Measurement – 25%
Credit Risk Measurement and Measurement – 25%
Operational and Integrated Risk Management – 25%
Risk Management and Investment Management – 15%
Current Issues in Financial Markets – 10%
FRM Course Requirements
Candidates are assumed as having a basic understanding of finance to be able to digest the course components although no specific qualifications are required. Before gaining the FRM certification candidates will need to complete 2 years of relevant industry experience as well as passing the necessary exams.
Part 1 exams are 4 hours long with a 30 minute break in between and comprises of 100 multiple choice questions regarding risk management basics. Part 2 exams are also 4 hours long but have 80 multiple choice questions and a 1 hour break in between. Part 2 examines the candidate’s knowledge of the practical implementation involved with measuring and managing credit, market, operational and firm wide risks.