Transcript Topic 4 - 7city learning

The PRM™ Qualification
Information Evening
The Professional Risk Manager (PRM)
Certification
Nawal Roy
Founding director of PRMIA, Member of the PRM
Education Committee and New York Steering
Committee
PRMIA – The Global Organisation
 The Professional Risk Managers’ International
Association (PRMIA) represents over 52,000 risk
management professionals
 Members represent
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Over 4,000 organizations
Over 180 countries
 More than 60 local chapters offer 200 open meetings
annually
 PRMIA is a member-led, grass-roots organization
 Code of Ethics for Risk Professionals
 Governance – owned by members
PRMIA London – The Risk Association for the City
 Over 11,500 members in the London chapter
• All segments of FS industry – Commercial & Investment Banking,
Insurance, Fund Management, etc.
• Practitioners, consultants, academics and regulators.
 Run by industry professionals on pro bono basis
• Heads of credit, market and operational risk from leading firms.
• Representatives from vendors and consultancies
 Regular seminar program – 15 events in 2007
• Speakers included CROs, top regulators and academics
• Frequent industry conference speakers without the big fees!
 Training program launched to complement existing seminar series.
The PRM Qualification
Aim
 To provide a common educational baseline for all Professional
Risk Managers in the Financial Services Industry.
What
 Statement of best practice
 “Everything you wanted to know about Risk but were afraid to
ask”
 Foundations of Finance Theory and Financial Markets
 Basic mathematical tools
 Practical elements of credit, market and operational risk
 Case studies
 The essential concepts needed to communicate across the
organization with other practitioners
Why
 Objective proof of capabilities
For whom is the PRM intended?
 People who want to learn
 People who want to advance their careers
• Provides the essential knowledge to progress from Risk
Analyst to Risk Manager
• Transferable across risk disciplines
 Cross-Over Credits
• Exam I: (Finance Theory, Financial Instruments and Markets)
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o Canadian Securities Institute Financial Risk Management Graduates
o Chartered Alternative Investment Analyst Financial Risk Management Graduates
Exam II: (Mathematical Foundations of Risk Management)
o Actuarial Associates
Exams I & II:
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Certified Financial Analysts (CFA) Charter Holders
Chartered International Investment Analysts
Certificate for Financial Advisors (CeFA) Charter Holders
Certificate in Quantitative Finance (CQF) Holders
Actuarial Fellows
How Much Work is Involved?
 Four parts to the qualification (taken in any order)
• Finance
1½ hr exam
• Mathematics
2 hr exam
• Risk Management 1½ hr exam
• Case Studies
1 hr exam
 120 total questions (20 questions an hour)
 Handbook has 46 chapters
 One chapter per week
 Can be completed in a year with commitment
 Up to two years allowed to pass all parts
 Gap of 4 months if an exam is failed
The Professional Risk Managers’ Handbook
• Over 40 Leading Authors
• In Use in over 105 Countries
• At 23 of 25 World’s Largest
Banks
• And all 10 of World’s Largest
Financial Service Companies
• The best reference source
for financial risk managers
• Available online and in
hardcopy
How do I take the exams?
All exams are taken via Computer-Based Testing
 Nearly 4,000 Pearson test centers in over 140
countries
 Any working day of the year
 Minimal delay
 User-friendly registration system – customer
focused
 Total flexibility
PRM Academic Partners
"A leading group of academics in renowned
universities across the world have joined forces
with PRMIA to organize and deliver essential
training for those wishing to achieve
professional qualifications. We have played an
active role in the development of the PRM
examination syllabus and we fully support this
qualification.“
Prof. Carol Alexander, Chair of the Risk Management Department
and Head of Research, ICMA Centre, University of Reading
"When a professional industry organization gets the
leading universities from 6 countries to join in an
educational partnership, you are witnessing an event
of galactic proportions. PRMIA has, in this fashion,
defined the new paradigm for professional education
and risk management practices for the 21st century.”
Prof. Luis Seco, Director of the Risk Lab at the University of Toronto
Columbia University Business School, Hong Kong University of Science and Technology
Masters of Science in Investment Management, Macquarie University Applied Finance
Center, National University of Singapore Centre for Financial Engineering, Technical
University of Munich – HVB Institute for Mathematical Finance, University of Michigan
College of Engineering, and a consortium of faculty in Paris representing ESCP-EAP, HEC,
Ecole Polytechnique, Sorbonne and Université Paris Dauphine
PRM Professional Endorsements
“Professional development and certification within our industry is an imperative.
Endorsing the PRMIA certification ensures we continue to set industry leading standards
for our staff, which directly benefit our clients.”
Dr. Ron Dembo, Founder of Algorithmics
“The PRM qualification is one of the best things that PRMIA has done for the risk
profession.”
David French, Bank of America, London
"PRMIA is the international leader in risk management certification and CSI
wholeheartedly endorses its PRM designation."
Roberta Wilton, Ph.D, President & CEO, Canadian Securities Institute, Toronto, Canada
Ernst & Young
InteDelta
IRIS
Lombard Risk
MB Risk Management
Misys
Moody’s KMV
SunGard
SYSTEMIC
Vivisimo
10 Reasons to Choose PRM
1.
Global - Offered in over 140 countries
2.
Flexible - PRM exams can be taken any business day of the year
and in any order you wish
3.
Comprehensive - Because the PRM is broken into four exams you
cannot use strength in one area to cover weaknesses in other
areas
4.
Affordable - Not all economies are alike, so those who earn less
than US$25,000 per annum are eligible to apply for the PRM
scholarship.
5.
The PRM Handbook - The PRM Handbook is available anywhere in
the world that has access to the Internet
10 Reasons to Choose PRM continued.....
6. Endorsements - Many companies have put their brand names on the
line by publicly endorsing the PRM exam
7. Recognition of Other Achievements - We provide partial credit to those
that have demonstrated their skills through attaining designations like
the CFA, FSA, ASA and others
8. No Maintenance Fees - Just because you are successful doesn't mean
that PRMIA should earn an annuity. You won't need to pay us anything
to keep your designation active
9. Quality - Because the PRM is delivered via computer, in controlled
testing facilities, we are able to monitor questions so that they truly
reflect our syllabus and desired degree of difficulty
10. Respect - The PRM is the most challenging certification program for
financial risk managers
Steve Block
PRM Faculty
Outline
1. The PRM Exams
2. The 7city/ICMA Centre
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6.
Faculty
Evening Course
Bootcamps
Distance Learning
How to Enroll
PRM Part I: Finance
Weighting
IA: Finance Theory
35%
IB: Financial Instruments
35%
IC: Financial Markets
30%
Exam
Duration: 2 hours
Number of Questions: 36
PRM Part II: Mathematics
Weighting
IIA: Foundations
5%
IIB: Statistics
10%
IIC: Calculus
20%
IID: Linear Algebra
20%
IIE: Probability
25%
IIF: Regression
10%
IIG: Numerical Methods
10%
Exam
Duration: 2 hours
Number of Questions: 24
PRM Part III: Risk
Weighting
IIIA: Market Risk
33%
IIIB: Credit Risk
50%
IIIC: Operational Risk
17%
Exam
Duration: 1.5 hours
Number of Questions: 36
PRM Part IV: Case Studies and By-Laws
Weighting
Case Studies
80%
By-Laws and Code of Conduct
20%
Exam
Duration: 1 hour
Number of Questions: 24
Exam Exemptions
The PRM program currently
recognizes the following other
professional designations and gives
partial credit towards completion of
the requirements for the PRM
certification.
Faculty
The PRM Faculty comprises top industry trainers and Handbook authors
Azmi Özünlü
Jacques
Pezier
Steve Block
Moorad
Choudhry
Ehsan Nikbakht
Carol Alexander
Andrew Spieler
John Board
7city Scholarship
Three scholarship places are available for candidates
wishing to enroll in the PRM program.
For further details, please email:
[email protected]
Choose Between Three Modes of Learning
1. Evening Course
2. Intensive Bootcamps
3. Distance Learning: either
a) Live London lectures, or
b) DVD recorded lectures
Choose Between Three Modes of Learning
1. Evening Course
2. Intensive Bootcamps
3. Distance Learning: either
a) Live London lectures, or
b) DVD recorded lectures
London Course (and Live Distance Learning)
 Lectures: at 7city premises
 Live and recorded webcasts
 Learning Management
System:
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Diagnostic tests
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Worked examples
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Other supporting materials
London Lectures
 Live and recorded webcasts
Lecture Notes
PRM Portal
 Diagnostics tests: 10 questions on each lecture
PRM Portal
 Excel Files
PRM Portal
 Captivate Screen-grabber: Excel demonstrations
PRM Portal
 Worked Examples
PRM Portal
 Other
Supporting
Materials
Enrolling by Distance Learning?
a) Live distance learning offers:
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Lecture participation via web and teleconference
Live interaction with instructor and full access to recorded sessions
E-copy of PRM handbook
Exactly the same worked examples and diagnostics tests and other
support materials as New York based course hosted on PRM Portal.
b) ILE distance learning offers:
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Flexibility to study according to your own needs and at your own
pace
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Four elements of learning: Lectures, demonstrations, worked
examples and diagnostics tests
Distance Learning
Interactive Learning Environment (ILE)
 Studio recorded lectures on DVD
 PRM Portal hosting:
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Captivate demonstrations
Worked examples
Diagnostics tests
Schedule for New York Course
Schedule for New York Course
Schedule for New York Course
Bootcamps
 Intensive one-week full-time course
 Covers all four exams
 Fee includes handbook and lectures
Next Steps…
 Read the comprehensive brochure
 Visit the website: www.7city.com/prm
 View a sample lecture
 Talk to members of the faculty
 Contact 7city:
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Email: [email protected] or Geoff Brown at
[email protected]