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PRMIA 8007 Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Probability Theory | - Fundamental Probability Concepts
|
| Risk Measurement Applications | - Quantitative Risk Analysis
|
| Statistical Analysis | - Descriptive and Inferential Statistics
|
| Numerical Methods | - Quantitative Techniques
|
| Linear Algebra | - Matrix Methods
|
| Calculus | - Differential and Integral Calculus
|
| Regression and Time Series Analysis | - Modeling Techniques
|
PRMIA Exam II: Mathematical Foundations of Risk Measurement - 2015 Edition Sample Questions:
Evaluate the derivative of ln(1+ x2) at the point x = 1
- A. 0
- B. 1
- C. 2
- D. 0.5
Correct Answer: B 🗳️
The quarterly compounded rate of return is 6% per annum. What is the corresponding effective annual return?
- A. None of the above
- B. 1.50%
- C. 6.14%
- D. 6%
Correct Answer: C 🗳️
I have a portfolio of two stocks. The weights are 60% and 40% respectively, the volatilities are both 20%, while the correlation of returns is 50%. The volatility of my portfolio is
- A. 16%
- B. 24.4%
- C. 20%
- D. 17.4%
Correct Answer: D 🗳️
Which of the following statements is true for symmetric positive definite matrices?
- A. If a is its eigenvalue, then -a is also its eigenvalue
- B. Its eigenvalues are all positive
- C. One of its eigenvalues equals 0
- D. If a is its eigenvalue, then is also its eigenvalue
Correct Answer: B 🗳️
Which statement regarding the matrix below is true?
- A. It is positive definite
- B. It is positive semi-definite
- C. It is not positive definite
- D. It is negative definite
Correct Answer: C 🗳️



