Free PRMIA 8009 Exam Dumps Questions & Answers

According to the PwC report China Aviation Oil, in order to avoid recording and reporting losses, the company adopted which approach covering up its losses?

• A.selling short-term options with extremely high-risk profiles to generate premiums to cover the cost of closing out loss-making option positions
• B.selling long-term options with extremely high-risk profiles to generate premiums to cover the cost of closing out loss-making option positions
• C.selling short-term options with extremely low-risk profiles to generate premiums to cover the cost of closing out loss-making option positions
• D.selling long-term options with extremely low-risk profiles to generate premiums to cover the cost of closing out loss-making option positions

Which of the following is FALSE?

• A.Nick Leeson dealt in complex derivatives lacking transparency of pricing
• B.Nick Leeson claimed to be running an arbitrage book
• C.SIMEX made inquiries to Barings Bank about large margin calls on its positions
• D.Nick Leeson also ran the back office for his trading area

The problems at WorldCom can best be characterized as related to:

• A.All of the Above
• B.Operational and Regulatory Compliance Risk
• C.Credit Risk
• D.Market Risk

As a PRMIA member, you have certain responsibilities. Among these are the requirement(s) to:

• A.Adhere to the PRMIA Standards of Best Practice, Conduct and Ethics
• B.All of the above
• C.Attend at least one PRMIA chapter meeting per year
• D.Vote in Board elections

Which of the following was not cited within the chain of miscalculations and deferred decisions for the downfall of Fannie Mae and Freddie Mac

• A.Extreme exposure to foreign currency exposures and losses from non-US$ mortgages
• B.Under-management and under-measurement of market and liquidity risk
• C.They did not raise enough capital to weather the storm as the housing slump expanded
• D.Lawmakers postponed strenghtening regulatory oversight due to partisan infighting