[Nov-2023] Dumps Brief Outline Of The 8004 Exam – TrainingDump [Q34-Q55]

Q34. According to LTCM managers:

Q35. According to LTCM managers:

Q36. Which of the following was a key problem in the Barings Bank case?

Q37. The multi-dimensional risk problem at Northern Rock did not include which one of the combinations of the following?

Q38. According to the Group of 30 Report, important risks associated with dynamic hedging are:

Q39. PRMIA is incorporated as:

Q40. A risk assessment report generated by a PRMIA member creates an apparent conflict of interest between the PRMIA standards and those of the client organization.
Of the following, which is the correct hierarchy to follow to resolve the conflict?
I The decision of a superior within the organization
II PRMIA Standards
III Guidelines from the regulators in which the organization operates
IV The laws of the country

Q41. Finite insurance is reinsurance which

Q42. Which is NOT part of the guidance on Professional Conduct in the PRMIA Standards of
Best Practice, Conduct and Ethics (Code of Conduct)?

Q43. Zheng Zhu wants to open a new PRMIA Chapter in Wuhan, China. He can do this if:

Q44. When Fannie Mae and Freddie Mac were taken under US government conservatorship, which of the following was not included within their operating mandate?

Q45. Which of the following was NOT a factor in the National Australia Bank case?

Q46. The Fortress Re accounting risk transfer procedures

Q47. While doing a work assignment, a PRMIA member notices behaviour that is outside the ethical standards of their client organization and reports the matter to their immediate supervisor in the organization (if he or she wasn’t the one engaging in such behaviour). The matter is neither progressed nor actioned.
The PRMIA member should:

Q48. Bankgesellschaft Berlin’s failures can be best characterised as

Q49. What was the main risk scenario on the Metallgesellschaft trading strategy?

Q50. A risk manager is asked to analyze the credit risk of a convertible bond. The risk manager has never analyzed convertible bonds, but does have significant expertise in credit risk. The risk manager accepts the assignment, finds a paper on the subject through the PRMIA web site and copies the method used there. The risk manager completes the assignment and delivers a report to his or her direct supervisor and the supervisor is quite pleased.
According to the PRMIA Standards of Best Practice, Conduct and Ethics (Code of Conduct), this was acceptable behavior if the following conditions were met:
I.The risk manager disclosed the lack of knowledge about convertible bonds
II.The methodology employed is disclosed and explained
III.The report was just to be used for analysis and not in practice
IV.The risk manager was sure of his/her understanding of the paper found on the web

Q51. According to the Group of 30 Report, deriving aggregate potential credit exposure for a counterparty by adding up the potential exposure of multiple transactions:

Q52. National Australia Bank and Barings cases are similar in that:

Q53. 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:

Q54. Which of the following was a key problem in the Barings Bank case?

Q55. Which of the following CANNOT be counted as a reason why LTCM was given a rescue package and not left to default?