FRM II without remembering Part I?

FRM
#1

Hi all,

I took and passed Part I in November 2011.

Pretty sure i have forgotten all the formulas from Part 1.

I was actually wondering how linked the two parts are? I recall Part 1 was quite quantitatve and remember someone had said Part 2 was more theoretical. Would AFers agree with that?

Would I need to put in extra effor for not having gone through the part 1 material recently?

Thanks for the help and good luck to all with the exam.

#2

Are there no comments on this?

#3

I didn’t comment originally because I don’t really learn like that (i.e., “remembering the formulas”) and I didn’t think that I could add value. However, at your insistence, I’ll give my 2 cents.

Formulaically, there is a lot of VaR stuff that carries over, but for me to say “carries over” is misleading – the sources and interpretations, etc. are different than in Part 1. There is a ton of qualitative stuff on Basel II & III, operational risk at a bank and appropriate policies and strategies, etc., as well as a completely different set of formulas and concepts that were not seen in Part 1.

If I didn’t take Part 1 and only sat for Part 2, my opinion would be that Part 2 is enough of a “standalone” test that not knowing anything on Part 1 would be inconsequential to your success on Part 2. There is not much material where they don’t explain it because they assume you have seen it on Part 1, particularly if you have good 3rd party prep providers like BT.

Hope that helps.

#4

Thanks DoW

#5

Hi DoW,

I am planning to appear for FRM part 2 this November, with a full time job. I can devote about 20 hours/week.

Do you think FRM part 2 is achievable with a total preparation of about 240-260 hours for an average person.

I passed part 1 just on margin, so am not sure how prepared or how much would I be able to leverage learnings from part 1.

#6

Hi Saurabh,

I find myself exactly in your situation. Do let me know how you are going after Part 2. Other please add your valuable inputs!

Thanks,

Darshan

#7

Yes FRM -2 with around 250 hours is more than sufficient. There is not much overlap in 1 and 2, so even if you were not good at level 1, you can still crack level 2 with your dedication, hardwork, right direction and with right resources.

#8

It happens with all of us,

you can just take a short look on FRM 1 syllabus and then you can go for FRM 2 it is not the matter to be worried about that. Good luck.