Frequently Asked Questions for the 2010 FRM® Examination

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					Frequently Asked Questions for the 2010 FRM® Examination




If you require additional information please contact the FRM Department at
FRM@garp.com


General FRM Examination Questions


Why has GARP changed the FRM Exam into 2 Parts?
A:
1 - GARP revised its FRM certification program in response to the evolving global
markets, and in recognition of the growing complexities associated with the profession of
financial risk management.


2 - The FRM program’s syllabus was revised to more adequately measure a candidates
understanding of the tools necessary to assess financial risks, and the candidates ability
to apply those tools in a practice-type setting.


3 – By implementing the revised program this year, GARP’s FRM Committee and Board
of Trustees ensures that the FRM designation continues to evolve and represent the high
standards for which it is recognized worldwide.


When will the FRM Exam(s) be offered?
A:   In 2010, the FRM Exams will be offered on May 22nd and November 20th.


Will the FRM Exam Part I and the FRM Exam Part II be offered in the same place?
A:   Yes. Both Exams will be tested at the same Exam sites.


Will either FRM Exam Part I or Part II be offered electronically?
A:   No. Both Exams will be administered manually via paper and pencil.




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Will the new format of the FRM Exams, Part I and Part II be graded or treated differently
from the traditional FRM Exam?
A:    The FRM Exams will not be graded any differently than the traditional FRM
Exam. Candidates will not be provided individual Exam scores; the only results will be
communicated as pass or fail. The passing scores will still be determined based on a
ratio of the absolute score to the average of the top 5% of candidate test results. No
penalty is assessed for a wrong answer. We will continue to provide you with an analysis
of your scores as compared to your peers that took the FRM Exam.


Does GARP offer a continuing professional education program for FRM Holders?
A:    Later this year, GARP will be introducing a voluntary FRM Continuing Professional
Educational (CPE) Program for our Certified FRM Holders.


FRM Registration Information


As a Returning Candidate, can I choose to register for the FRM Exam Part II instead of
the FRM Exam Part I?
A:       No. First you must complete and pass the FRM Exam Part I in order to register
for Part II. However, you can choose to sit for both FRM Exams Part I and Part II on the
same day.


I am a New Candidate for the FRM Exam. Can I register for both FRM Exams Part I and
Part II at the same time?
A:    Yes. As a new candidate, you are allowed to register for both the FRM Exam Part I
and Part II on the same day.


As a Deferred candidate for the FRM Exam Full, why do I need to pay more to sit for Part
II?
A: With the new FRM Exam program, is more extensive, and comprehensive, including
more topics. The combined time for both Exams is 4 hours each for a total of 8 hours of
test time and a total of 180 questions; 100 questions for Part I and 80 questions for Part
II.



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When will registration open for the May 22, 2010, FRM Exam Part I and FRM Exam Part
II?
A:    The Registration for the May 22, 2010 FRM Exam Part I and FRM Exam Part II will
open on Tuesday, December 1, 2009.


As a New Candidate for the FRM Exam Part I, can I defer my registration to the
November examination?
A:    Yes. You can defer up until the deadline of April 15, 2010. There is an
administrative processing fee of USD 100 that is due at the time of the request which is
only payable online by credit card. Please note, that candidates are allowed only one
deferral for each part of the Exam during their enrollment in the program. That means a
candidate may defer once for either the FRM Exam Part I or once for FRM Exam Part II.


How do I defer?
A: To defer to the November 2010 ERP Exam: If you have already registered and PAID
for the May 2010 ERP Exam and wish to defer your registration please click here. (A
reminder, the last day to defer is April 15, 2010).How


If I defer my Exam test date is there a time limit on when I need to re-register?
A:    Deferral can only be used for postponing your test date to the next available test
date. You will not be required to re-register, your registration will automatically be done
and a confirmation email will be sent to you. For example, if you defer the May 22, 2010
examination, you are required to sit for the November 20, 2010 examination.


Can I register for both the ERP Exam and FRM Exam at the same time?
A:    No, the exams are administered at the exact same time; therefore you will not be
able to take both examinations on the same day.

I. General FRM Exam Questions
How many times can I defer my FRM Exam registration fees?
A:    While enrolled in the FRM Exam Program, you can only defer your registration once
for each part. There is a USD 100 administrative processing fee for the deferral
process.


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FRM Enrollment and Exam Registration Fees


What are the fees for the 2010 Exams?
A: Click here to see the fee schedule for 2010.


What is the enrollment fee?
A:   The enrollment fee covers the basic costs associated with developing and
administering the program. This fee also automatically entitles you to a complimentary
one year GARP Individual Membership (a USD 150 value) which includes a one year
subscription to the RISK Professional magazine (a USD 150 value).


Do I have to pay an enrollment fee for each Part of the FRM Exam?
A:   No. Candidates are required to pay the enrollment fee, at the time they initially
register for the FRM program.


Are Students Members required to pay the enrollment fee in order to register for the FRM
Exam?
A:   Student Members are required to pay the enrollment fee when they initially register
for the FRM Exam. There are no discounts for Student Membership.


If I am already an Individual (paid) GARP Member at the time I register for the FRM Exam,
will my enrollment fee be discounted?
A:   No. Your enrollment fee will not be discounted. Because we provide you with one
year’s complementary Individual Membership, your current Individual Membership
expiration date will be automatically extended for one year from its original expiration
date once you have paid the enrollment fee.


Do I have to be a member of GARP to sit for the FRM Exam?
A:   No. Membership is not required to sit for the FRM Exam(s). However, you will be
automatically provided with membership privileges as an Individual Member of GARP for
one year upon enrollment in the FRM Program. At the end of the year’s membership we
will contact you to ask if you would like to continue your GARP Membership.



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I. General FRM Exam Questions
I am a Deferral Candidate from 2009. Do I have to pay the enrollment fee and the Exam
registration fee again?
A:   As a deferral candidate, you do not have to pay for any additional fees. Unless you
elect to register for the FRM Exam Part II, on the same day as Part I, only then would you
have to pay the Exam Registration Fee for Part II.


As a Returning Candidate, from the FRM Exam Level I, how much do I pay for the FRM
Exam Part I?
A:   You will only be required to pay the Exam Registration fee when you register. The
amount due depends on when you register for example during the Early; Standard; or
Late registration period.


As a Returning Candidate who took the 2009 FRM Exam Full, how much do I pay in
order to sit for the FRM Exam Part I?
A: As a returning candidate from the 2009 FRM Exam Full, you will be required to pay
the difference in the enrollment fee of USD 150, plus the Exam Registration fee. The fee
for the Exam Registration depends on when you register, during the Early; Standard; or
Late registration period.


Is the enrollment fee or the FRM Exam registration fee refundable?
A:   No. There are no refunds for either the Enrollment Fee or the FRM Exam
Registration fee. You have the option to defer your FRM Exam Registration fee (once
for each part of the Exam) to the following cycle, but you will be subject to a USD 100
administrative processing fee for the deferral.




FRM Exam Sites


Where will the FRM/ERP Exam be offered?
A:   The FRM/ERP Exams will be administered at the same testing sites. Click here to
see a complete list of the testing sites.




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Can I change my Exam test site?
A:   Yes. You can change your Exam site for the May 22, 2010 Exam until April 15,
2010, after which time your Exam site change request will no longer be accepted.


Is there a charge to change my Exam site?
No. You can change your Exam site free of charge until the last day of registration on
April 15, 2010. Once registration closes, you will no longer be allowed to change your
Exam site.


What is the absolute last day that I can change my Exam site for the May 22 or
November 20, 2010 Exam(s)?
A:   April 15, 2010 or October 15, 2010.


What if I cannot find an Exam site that is close to me, can I request a new location?
A:   Yes. Please click here to request a new examination site for the May 2010 FRM
Exams. Do not confuse this with changing your Exam site, as this is only to request
opening a new Exam site that is currently not on our list of 90 sites to choose from. Nor
will we automatically open any new FRM Exam sites, unless we have had a minimum of
50 requests and those candidates have registered for the FRM Exam and have paid their
respective fees.


Preparing for the FRM Examination


Will there be separate Study Guides for the FRM Exam Part I and FRM Exam Part II?
A:   No. There will only be one Study Guide which will include the syllabus outline and
recommended reading materials for both FRM Exams.


Will there be separate Course Packs for the FRM Exam Part I and FRM Exam Part II?
A:   Yes. The Course Packs will be customized according to the FRM Exam format and
be made available for purchase either in a printed format or electronically through the
GARP Digital Library.


How many hours of study are required to prepare for the each FRM Exams?

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A: Approximately 200 hours for each part of the Exam.


Is there any change to the format of the FRM Exam Part I or FRM Exam Part II that would
make it different from past FRM Exams?
A: No. The FRM Exams will be offered in exactly the same way as past FRM
Exams. They will be in a multiple choice format, administered via paper and pencil.


What topics will be covered in the FRM Exam Part I versus the FRM Exam Part II?
The FRM Exam Part I will cover the following topics:

          I. General FRM Exam Questions
          I. General FRM Exam Questions
          I. General FRM Exam Questions
          I. General FRM Exam Questions

The FRM Exam Part II will cover the following topics:

          Market Risk Measurement and Management
          Credit Risk Measurement and Management
          Operational and Integrated Risk Management
          Risk Management and Investment Management
          Current Issues in Financial Markets



How many questions will there be on FRM Exam Part I and the FRM Exam Part II?
A:       The FRM Exam Part I will have 100 multiple-choice questions. The FRM Exam Part
II will have 80 multiple-choice questions. The exact number of questions is subject to
minimal change.


How long are the test sessions for FRM Exam Part I and FRM Exam Part II?
A:       Each exam will be 4 hours in length, with a 120 minute break in between.


Taking the FRM Examination


When will the admission tickets for the 2010 FRM Exams be released?




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A:   The admission ticket for the May examination will be available on Thursday, April 22,
2010 by 12:00 noon (EST). You will receive an email that will include instructions on
how to download your ticket.


I have registered for both Part I and Part II on the same day, will I have two admission
tickets?
A: Yes. You will have an admission ticket for the FRM Exam Part I and another for the
FRM Exam Part II.


I have registered for the FRM Exam and used my non-english name when I registered, is
this ok?
A: No. You must register using an English name. Please note, that your name that is
on your government issued identification (passport, driver’s license) should be exactly the
same name on your FRM Exam registration. If this is not the case, please contact us
immediate.
What is GARP’s acceptable form of government identification?
A: We only accept a current and original valid government issued form of identification
which must include a photograph. For example a country issued passport or a driver’s
license. We do not accept work/employer identification cards or a learners
permit. Photocopies of government issued identifcation is not valid.


After the FRM Examination


When will I receive my pass/fail letter for the FRM Exam Part I or FRM Exam Part II taken
on May 22, 2010?
A:   The results will be released to you via email on Friday, June 25, 2010 by 12:00 noon
(EST).


Since I have taken both the FRM Exam Part I and Part II on the same day, will I receive
one or two pass/fail letters?
A:   You will receive one letter, indicating if you have passed or failed, if you sat for both
examinations on the same day.



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Do I need to pass both Parts in order to pass, or can I just pass Part I and not Part II?
A: If you sit for both Exams (Part I and Part II) on the same day, you will need to pass
both Exams, in order to receiving a passing score.


What happens if I only sit for Part I, will I not know if I have passed until I take Part II?
A: If you only sit for the FRM Exam Part I in May, then you will receive a pass or fail
notice on June 25, 2010. Then if you sit for the FRM Exam Part II in November, you will
receive another pass or fail notice for that examination in December.


What happens if I sit for both Parts and only pass Part II, can I sit again for Part I?
A: Assuming you have sat for both Parts on the same day, and if you fail either Part I or
Part II, you will receive a fail notice. You must pass both Exams on the same day in
order to receiving a passing score.


If I fail the FRM Exam Part I, am I required to retake the Exam within a certain period of
time?
A:   No. There are no restrictions on when you can re-register for the FRM Exam Part
I. If you re-register you will be required to pay the Exam fee only, as you do not have to
pay the enrollment fee.


How long does the enrollment fee last for?
A: The enrollment fee ‘period’ begins from the time you have passed the FRM Exam
Part I. The fee period lasts for 4 years from the time you have passed the FRM Exam
Part I. If you have not passed the FRM Exam Part II within that 4 year window, you will
be required to pay the enrollment fee again, upon the 5th year of enrollment.


What happens if a candidate fails Part I in May, do they have to pay the enrollment fee
again for November?
A:   No. A candidate will only have to pay the Exam Registration Fee.


I have taken and passed the FRM Exam Part I. Am I required to register for the FRM
Exam Part II within a certain period of time?



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A:   Yes. Once a candidate passes the FRM Exam Part I they must pass the FRM
Exam Part II within 4 years. If a candidate fails to pass the FRM Exam Part II within that
timeframe, they must start the program over and re-enroll in the FRM Exam Program.


Membership


What is GARP’s Individual Membership fee for 2010?
A:   the Individual Membership fee for 2010 is USD 150, the same as in 2009.


What are the benefits of Student Membership?
A:   Student Membership is now USD 150. Student Members will receive the same
benefits as GARP Individual Members without voting rights.


Is GARP still offering scholarships to 2010 FRM Candidates?
A:   GARP will offer scholarships to full-time students taking the 2010 FRM Exam Part I
only. The scholarship policy can be found by clicking here. The scholarship program is
not available for the FRM Exam Part II.


If I register for both FRM Exams Part I and Part II, would I be eligible or can I apply for a
scholarship for both Parts?
A: No. The scholarship for the FRM Exam is only available for Part I. You can still
register for both, but the scholarship award would only apply to the Exam Registration
Fee for Part I. You would still need to pay the Enrollment Fee and the Exam Registration
Fee for Part II.



Membership Benefits


Can I subscribe to the RISK Professional magazine, without joining the organization? If
so, what is the cost for an annual subscription?
A:   Yes. You can subscribe to the magazine without joining GARP. The cost for an
annual subscription for the RISK Professional magazine is USD $150.


Can my company subscribe to the magazine without being a member of GARP?

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A: Yes, company’s can subscribe to the magazine. One does not need to be a member
to receive the RISK Professional subscription.


What would be the cost for multiple subscriptions for the same company be? Can we
receive a discount?
A: Please contact customerservice@garp.com in regards to this inquiry.


FRM’s Only FAQ


I have passed the FRM Exam Part I and I have yet to take FRM Exam Part II. Can I note
on my CV/Resume that I passed Part I and if so, how may I do that?
A:   You can include the following statement on your CV/Resume once you have passed
the FRM Exam Part I: “FRM Program – Passed Part I“


I have passed the FRM Exam Part I and Part II, but have not yet met the work experience
requirement or been notified by GARP that my work experience meet the requirements
for certification. What can I state on my CV/Resume?
A:   You can include the following statement on your CV/Resume once you have passed
the FRM Exam Part I and Part II: “FRM Program – Passed Part I & II”


Do I need a paid GARP membership in order to receive my FRM Certificate?
A:   No.


Now that the FRM Exam is two Parts, has the FRM Certificate mailing schedule
changed?
A:   No. The schedule for 2010 is as follows:


Certificate Mailing Date        Window to Upload CV/Resume
April 15, 2010                    January 1 – March 31, 2010
June 30, 2010                      April 1 – June 22, 2010
September 30, 2010                June 23 – September 21, 2010
December 30, 2010                 September 22 – December 21, 2010



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Now that the FRM Exam has been split into two Parts, will I receive two certificates?
A:       No. You will only receive one FRM Certificate once you pass the FRM Exam Part II,
providing you have met the two year Financial Risk Management work experience
requirement.


Do I need a current paid membership in order to use the FRM Designation?
A:       GARP does not require you to be a dues paying Individual Member for you to use
your FRM designation. However, we anticipate a change to this policy with the
introduction of the voluntary continuing education program later this year.
When can I begin using my FRM Designation?
A:       Once you have passed both the FRM Exams Part I and II, met the two year work
experience requirement and received an email notification that your CV/Resume
submission for your FRM Certificate has been reviewed and is complete. You do not
have to wait until you have actually received the FRM Certificate.
What is the difference between an FRM Holder and a Certified FRM Holder?
A:       An FRM Holder has passed the FRM Exam requirement but has not yet met the
professional work experience requirement. A Certified FRM Holder has taken and
passed the FRM Exam, has met the two year work experience requirement and has been
certified by GARP.
Now that I have obtained my two years of professional work experience, when do I
receive my FRM Certificate?
A: Once you submit your CV/Resume via GARP’s Resume Builder your FRM Certificate
will be sent according to the distribution schedule for 2010. Please see below:

          For those candidates who have uploaded their CV/Resume via the Resume Builder by
           March 31st, FRM Certificates will be mailed on April 15, 2010.
          For those candidates who have uploaded the CV/Resume via the Resume Builder
           between April 1 and June 22, FRM Certificates will be mailed by June 30, 2010.
          For those candidates who have uploaded the CV/Resume via the Resume Builder
           between June 23 and September 21st, FRM Certificates will be mailed by September 30,
           2010.
          For those candidates who have uploaded the CV/Resume via the Resume Builder between
           September 22nd and December 21st, FRM Certificates will be mailed by December 30,
           2010.



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