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"Exam IV: Case Studies: Standards: Governance, Best Practices and Ethics - 2015 Edition", also known as 8009 exam, is a PRMIA Certification. With the complete collection of questions and answers, BraindumpsPass has assembled to take you through 112 Q&As to your 8009 Exam preparation. In the 8009 exam resources, you will cover every field and category in PRM Certification helping to ready you for your successful PRMIA Certification.
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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Risk Management Case Studies | 25% | - Orange County - China Aviation Oil - Long-Term Capital Management (LTCM) - Northern Rock - Baring Bank - Metallgesellschaft |
| Topic 2: Risk Management Best Practices | 20% | - Compliance and Regulatory Alignment - Internal Controls and Risk Limits - Enterprise Risk Management Framework |
| Topic 3: Corporate Governance Principles | 25% | - Board and Senior Management Oversight - PRMIA Governance Principles - Transparency and Accountability - Risk Governance Structure |
| Topic 4: PRMIA Standards of Best Practice, Conduct and Ethics | 30% | - Conflict of Interest and Disclosure - Whistleblowing and Reporting Violations - Code of Conduct and Professional Responsibilities - Ethical Decision-Making Framework |
1. Mary Jones wants the Bylaws of PRMIA to be changed so that people can't join PRMIA unless they meet a set of criteria she has devised with her colleagues. She can do this by getting which of the following approvals:
A) The Board of Directors and a majority of the Members
B) The Board of Directors alone
C) 34 of all Members
D) The Board of Directors, but only if the Blue Ribbon Panel affirms the change
2. The hedging strategy employed by MG Refining & Marketing has been called:
A) A differential hedge
B) A stacked hedge
C) Nothing because MG Refining & Marketing did not hedge its position
D) Dynamic hedging
3. Bankgesellschaft Berlin's failures can be best characterised as
A) both A and B
B) credit risk caused by overexposure to the property market
C) credit risk caused by a diversified portfolio of poor-quality loans
D) none of the above
4. Which items below were at the core of the problems at Bankgesellschaft Berlin?
A) Over exposure to the property market
B) Rash guarantees given to investors in property linked funds
C) Political corruption and poor management
D) All of the above
5. According to the G-30 Study, the risk management infrastructure's funding must be
A) determined at the Board level with inputs from business unit leaders
B) determined by business-unit leaders
C) determined at the Board level without influence by business unit leaders
D) determined by the regulators
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: B | Question # 3 Answer: B | Question # 4 Answer: D | Question # 5 Answer: C |
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