Hi guys, For the last topic of FRM where they are gonna test us on current issues that is happening on the risk management. What you guys reckon that they will test us on besides the obvious of the subprime mortgage and the counterparty risk. Do you think that there are any chances that they might test us on the kind of risks incurred on the magnitude of EU and the Feds regulating hedge funds and i-banks? If yes, to what aspects of risks that we are going to face? Appreciate the feedbacks
Nobody knows. They ask some very random questions. It would not be partcularly efficient to try to prepare for them.
No doubt. I reckon just random readings on current issues are the best prep for it
Do not they have any recommended readings Im seriously confused as in what is course of FRM so far I have seen Core Readings ( around 70-80 PDFs) 24 free readings on FRM site Handbook And then there is Schweser + Bionic Turtle As if this was not enough…people are mentioning a book by HULL ( I have yet to figure out the title) 
Fill in the form on the link below and GARP will send you complete list of readings (including the many chapters in Hull not included in Core Pack or Free Readings): http://www.garp.com/frmexam/studyguide.aspx FYI, here is Barnes and Noble link to Hull: http://search.barnesandnoble.com/Options-Futures-and-Other-Derivatives/John-C-Hull/e/9780136015864/?itm=1
@Alchemist: I was confused too. However, Im sure someone will jump in and correct me if I am still wrong (FYI, I have chosen to use Schweser only and maybe refer to the readings which I feel I am not grasping the concepts - kinda like goign to CFAI Curriculum for concepts). So, they have the Core Readings Pack on the GARP Site…the readings they show are for authors/publishers that they got permission to distribute the readings for. HULL is supposedly one publisher/author that did not give them rights hence the HULL book is mentioned separately which has quite a few readings - go through the posts or the Excel sheet and maybe the specific readings are mentioned there…I know I checked it was quite a few - refer to adavydovs post it has em I think) Now, in addition to the Core Readings Pack and HULL, there are some free readings that GARP has listed. Follow directions from posts above to get access to those readings…as someone mentioned these are 24. Practice Tests I think I saw on the GARP site will be provided free of cost. Also, going through all the FRM posts, I think Schweser also provides these. Last but not the least, there is a Handbook by Jorion…5th Ed I believe that some folks are planning on using - again some of the core readings have readings from Jorion but Im still not sure why people are buying the Handbook when the Core Readings Pack have the Jorion readings…but I dont care now since Ill be using Schweser. I do not know anything about Bionic Turtle. I hope this helped and Im hoping I have got this right and am not missing out on anything.
SalZ: The Jorion readings in the Core Readings are from a different Jorion book (Value-at-Risk) - not the Handbook. Total readings of 4300 pages can be broken down as follows: Jorion/FRM Handook ($120) + Hull book ($159 on B&N) = 1100 pages Freely Available Readings (free on GARP) = 1100 pages Core Reading (cost $400/$500 from GARP) = 2100 pages
SalZ: The Jorion readings in the Core Readings are from a different Jorion book (Value-at-Risk) - not the Handbook. Total readings of 4300 pages can be broken down as follows: Jorion/FRM Handbook ($120) + Hull book ($159 on B&N) = 1100 pages Freely Available Readings (free on GARP) = 1100 pages Core Reading (cost $400/$500 from GARP) = 2100 pages
@paca (and anyone else) - would you consider the Jorion/FRM Handbook to be part of a “required” syllabus? My understanding of the situation is that the Hull text + Free Available Readings + Core Reading constitutes the “required” portion of the syllabus; i.e., reading those would make up the entire syllabus for the FRM exam. I understood Schweser & Jorion/FRM to be more like study manuals/study guides that help you understand the syllabus, though produced by two independent companies/authors and may look at concepts a different way (plus, Schweser has question banks and more in-depth coverage, it appears). Please correct me if I am wrong - this is how I’m presenting the syllabus to my supervisor, and I’d like to know if I am mistaken. Thanks!
wat: I agree with your description. Was including Jorion/FRM Handbook since it is more of an “essential” study guide, whereas Schweser (or whomever) are clearly optional.
Thanks for the clarification. I think now I have closure as to what the required vs. optional syllabus is. Good Luck.
sorry people…i might just add to the confusion or my be able to clear it… @wat you are saying that schweser and FRM Hand Book are like i.e they contain the overview of the whole FRM syllabus…but there are some readings that are not there in the core reading but are included in the hand book…so it cant be the overview…??? i also want to know that is there overlap between the core reading and the handbook…are there any topics that are included in both??? as far as what i have gathered from the net and friends is that you have 2 options to prepare for the exams: 1. Core Reading + FRM Hand Book + Hull + Free Reading 2. Schweser ( if we assume that they follow the CFA pattern for the FRM material i am sure they will cover the free reading as well i.e just as in CFA all the LOS are covered, in FRM all the AIMS will be covered) so depending on what you are comfortable with you can either choose one of the option…or just as most of us do in CFA refer schweser and things that are not clear in schweser, refer the core reading for that. correct me if I am wrong as more of my time is consumed in getting the right study material rather then studying…
prolinjb et al: As usual things do not quite fall into neat buckets. Sounds like you (prolinjb) are further ahead than some of us, having compared the contents of the Handbook with the Core Readings… I was basing my analysis on the FRM Examination Study Guide (the one you have to sign up to have sent to you - it is not avaiable on line). On page 1 of the Study Guide, it says “Questions for the FRM examination are derived from the readings listed under each topic outline”. And, the FRM Handbook is not listed as a reading under any of the topic outlines. In the next paragraph, the Study Guide goes on to say the FRM Handbook “…covers most of the FRM examination topics…(and) was designed to help candidates review the material and in is not a textbook. Alone, the FRM Handbook is not sufficient to prepare a candidate to pass…” Hence my conclusion that the Handbook is not new material but a review tool. A separate area of some debate is whether the AIMs are truly an exhaustive coverage of possible questions. This is similar to the CFA LOS’ which are supposed to be exhaustive but sometimes the CFAI stretches the point (e.g. calculate a two bond hedge on L3 this year). Have heard that GARP sometimes does similar stretches from the AIMs on FRM exam.
I don’t know why is this confusion about study materials. GARP readings are as follow 1- Core readings which include all the followings a- some free readings (1077 pages) b- other readings you have to purchase (2146 pages) c- Hull (402 paes) which is not available for purchase from GARP. We have to buy the book. D- FRM Handbook ( 700 pages) and as per study guide this book is “designed to help candidates review the material and is not a textbook. Alone, the FRM Handbook is not sufficient to prepare a candidate to pass the examination” I personally don’t believe the Handbook is a necessary reading. Some fox here on the forum who passed the exam told they didn’t read it. Using Schweser or whatever other courses is up to you. Due to time constraints I would personlly use Schweser and refer to the GARP readings for points not clear to me.
don’t know why is this confusion about study materials. GARP readings are as follow 1- Core readings which include all the followings a- some free readings (1077 pages) b- other readings you have to purchase (2146 pages) c- Hull (402 paes) which is not available for purchase from GARP. We have to buy the book. 2- FRM Handbook ( 700 pages) and as per study guide this book is “designed to help candidates review the material and is not a textbook. Alone, the FRM Handbook is not sufficient to prepare a candidate to pass the examination” I personally don’t believe the Handbook is a necessary reading. Some fox here on the forum who passed the exam told they didn’t read it. Using Schweser or whatever other courses is up to you. Due to time constraints I would personlly use Schweser and refer to the GARP readings for points not clear to me.
Not sure if the GARP readings have questions at the end of each reading but Im glad Schweser has that and coupled with Spro it will be good to drill concepts. I also found this Blog which talks a bit about coverage by Kaplan/Schweser: When choosing FRM study products this year, it is important to consider the following questions. Will my study products effectively and efficiently cover the assigned concepts? Will my study products provide the appropriate level of application and retention? Will my study plan keep me motivated and on schedule during the months leading up to exam day? Will my study plan offer a sufficient level of support should I have FRM-related questions? If you decide to utilize any of the 2009 FRM Schweser Study Solutions, you can confidently answer “yes!” to all of these questions. The 2009 Schweser Study Notes are a 5-book set that contain over 1,600 pages of material and appropriately cover all of the 117 GARP assigned readings and associated AIM statements. The Schweser Notes are well over twice the size of the FRM Handbook, which is 752 pages in length. In addition, our Study Notes provide close to 600 Concept Checker questions which help candidates apply assigned concepts. Also included with the Notes are a number of past FRM exam questions which demonstrate how concepts have been tested on previous exams.
@prolinjb - I think both paca06 & Adam 2009 have summarized the readings correctly. (consistent with my understanding, anyway) To use Adam’s listing (since it’s split apart by letters), I believe (a), (b) and © are considered “Required”. (d), or the FRM Handbook by Jorion, appears to be a review material. I’m guessing here, but I would guess that anything in that handbook already appears in one of (a), (b) or ©, so there’s nothing new in the FRM Handbook. Please correct me if I’m wrong, because it seems that this is probably the largest source of confusion. Schweser is entirely optional - they are an independent company that develops its own study manual to help you pass the FRM exam. In no way is it required, and I’d be surprised if GARP actually took an official position with regards to Schweser being an “official” study aid.
I actually called Schweser to confirm if the FREE readings and the Emerging Issues are covered and one can feel confident about coverage. They gave me the usual spiel that Schweser is a supplement bla bla bla…the CSR didnt know about the specific questions re. Emerging Mkt Readings or the Free Readings and then I found the stuff I posted in the blog section. Im going with Schweser + refer to Handbook or Hull (which must be available in libraries) in case of conceptual clarifications. Besides, Schweser has the same format as CFA i.e. Concept Checkers, Self Tests, additional Exam Book and Spro. Cheers everyone.
Wat , I checked the contents of the Handbook and I found it covers most of the topics already covered in the GARP core readings. The study guide explicity says that the Handbook is to help the candidates to review the material and is not enough alone to help you pass. Moreover, all AIMS are linked to the core readings and not any of them is linked to the Handbook. Accordingly, there shouldn’t be something new in the handbook, however this will be my first question to Dr. Greg Filbeck on the online seminar in September.