High Pass-Rate Latest 2016-FRR Test Camp Supply you Effective New Test Online for 2016-FRR: Financial Risk and Regulation (FRR) Series to Study easily
High Pass-Rate Latest 2016-FRR Test Camp Supply you Effective New Test Online for 2016-FRR: Financial Risk and Regulation (FRR) Series to Study easily
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Tags: Latest 2016-FRR Test Camp, New 2016-FRR Test Online, Test 2016-FRR Lab Questions, Reliable 2016-FRR Test Price, 2016-FRR Test Assessment
TroytecDumps also presents desktop-based GARP 2016-FRR practice test software which is usable without any internet connection after installation and only required license verification. Financial Risk and Regulation (FRR) Series (2016-FRR) practice test software is very helpful for all those who desire to practice in an actual Financial Risk and Regulation (FRR) Series (2016-FRR) exam-like environment. Financial Risk and Regulation (FRR) Series (2016-FRR) practice test software contains many GARP 2016-FRR practice exam designs just like the real Financial Risk and Regulation (FRR) Series (2016-FRR) exam.
To be eligible to take the FRR Series certification exam, candidates must meet certain education and work experience requirements. These requirements vary depending on the level of certification sought, but generally include a bachelor’s degree and several years of experience in the field of risk management. Candidates must also pass a rigorous exam that tests their knowledge and understanding of the concepts covered in the FRR Series curriculum. Successful completion of the FRR Series certification exam is a significant accomplishment that can open up new career opportunities and help professionals advance in their careers in risk management.
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GARP Financial Risk and Regulation (FRR) Series Sample Questions (Q113-Q118):
NEW QUESTION # 113
What is generally true of the relationship between a bond's yield and it's time to maturity when the yield curve is upward sloping?
- A. The shorter the time to maturity of the bond, the higher its yield.
- B. The longer the time to maturity of the bond, the lower its yield.
- C. There is no relationship between the two
- D. The longer the time to maturity of the bond, the higher its yield.
Answer: D
Explanation:
When the yield curve is upward sloping, it typically indicates that longer-term bonds have higher yields compared to shorter-term bonds. This is due to the risks associated with longer time horizons, including inflation and interest rate risks, which require higher yields to compensate investors.
NEW QUESTION # 114
A key function of treasuries in commercial/retail banks is:
I. To manage the interest margin of the banks.
II. To focus on underwriting risk.
III. To ensure strong earnings.
IV. To increase profit margins.
- A. II
- B. III, IV
- C. I
- D. II, III
Answer: C
Explanation:
A key function of treasuries in commercial/retail banks is to manage the interest margin of the banks. This involves overseeing the spread between the interest income generated from loans and other interest-earning assets and the interest expense paid on deposits and other interest-bearing liabilities. This function is crucial for maintaining profitability and ensuring the financial stability of the bank.
References: No specific reference found in the document for this question. The provided answer is based on common practices in treasury management within banks.
NEW QUESTION # 115
An associate from the finance group has been identified as an operational risk coordinator (ORC) for her department. To fulfill her ORC responsibilities the associate will need to:
I. Provide main communication contact with operational risk department
II. Provide main reporting contact with audit department
III. Coordinate collection of key risk indicators in her area
IV. Coordinate training and awareness activities in her area
- A. I, II, III
- B. II, III, IV
- C. I, III, IV
- D. I, II
Answer: C
Explanation:
An operational risk coordinator (ORC) needs to provide the main communication contact with the operational risk department (I), coordinate the collection of key risk indicators in her area (III), and coordinate training and awareness activities in her area (IV). The main reporting contact with the audit department (II) is not typically an ORC responsibility.References:Operational risk coordinator responsibilities as outlined in Financial Risk and Regulation documents.
NEW QUESTION # 116
A large multinational bank is concerned that their duration measures may not be accurate since the yield curve shifts are not parallel. Which of the following statements would be typically observed regarding variability of interest rates?
- A. Short-term rates are equally variable as long-term rates.
- B. Short-term rates and long-term rates always move in opposite directions.
- C. Short-term rates are less variable than long-term rates.
- D. Short-term rates are more variable than long-term rates.
Answer: D
Explanation:
Interest rates can vary based on the term of the debt instrument. Generally, short-term interest rates are more sensitive to changes in monetary policy and economic conditions, leading to higher variability compared to long-term interest rates. This is because short-term rates are directly influenced by central bank policies, such as changes in the federal funds rate, which can lead to frequent fluctuations. Long-term rates, on the other hand, are influenced more by long-term economic expectations and inflation forecasts, which tend to be more stable over time.
NEW QUESTION # 117
A credit rating analyst wants to determine the expected duration of the default time for a new three-year loan,
which has a 2% likelihood of defaulting in the first year, a 3% likelihood of defaulting in the second year, and
a 5% likelihood of defaulting the third year. What is the expected duration for this three-year loan?
- A. 3.7 years
- B. 1.5 years
- C. 2.1 years
- D. 2.3 years
Answer: D
NEW QUESTION # 118
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Besides this PDF format, GARP 2016-FRR practice exams in desktop and web-based versions are available to aid you in recognizing both your weaker and stronger concepts. These real GARP 2016-FRR Exam Simulator exams also points out your mistakes regarding the GARP 2016-FRR exam preparation.
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