This page was exported from Free Exam Dumps Collection [ http://free.examcollectionpass.com ] Export date:Wed Nov 27 22:31:12 2024 / +0000 GMT ___________________________________________________ Title: Provide Valid 8004 Dumps To Help You Prepare For PRM Certification - Exam IV: Case Studies; Standards: Governance, Best Practices and Ethics Exam Dec 31, 2023 [Q36-Q54] --------------------------------------------------- Provide Valid 8004 Dumps To Help You Prepare For PRM Certification - Exam IV: Case Studies; Standards: Governance, Best Practices and Ethics Exam Dec 31, 2023 PRMIA 8004 Dumps Questions [2023] Pass for 8004 Exam QUESTION 36Which of the following regarding Orange County is FALSE?  Bob Citron engaged in risky strategies to benefit personally  Bob Citron tried to “ride the yield curve”  Bob Citron heavily leveraged his positions using repos  Citron’s losses were eventually exposed by massive margin calls QUESTION 37The Q4 2003 trading strategy of China Aviation Oil was  to buy puts and sell calls  to buy calls and sell puts  to sell puts and buy calls  to sell calls and buy puts QUESTION 38Which of the following was NOT a factor in the National Australia Bank case?  Rogue traders  Improper or insufficient Board-level communication regarding the importance of risk management and oversight  Inadequate back office procedures  Money laundering using foreign exchange trades for political leaders QUESTION 39For the sentence“The organization should have at its disposal employees who have adequate _________, ________ and _______ to perform the tasks assigned to them”,Choose the correct combination of words from the following options:  knowledge, skills, expertise  experience, skills, previous successes  risk appetite, knowledge, expertise  track record, expertise, skills QUESTION 40Which of the following was not received by Northern Rock as official support from the UK banking and government authorities?  A covert money market support operation designed to cover up the difficulties Northern Rock was facing  The Bank of England’s role as Lender-Of-Last-resort was activated at a penalty interest rate of 150 basis points above the Bank Rate  The UK government offered to guarantee all existing and new retail deposits, and to most other creditors  The Bank of England provided an additional unlimited facility secured on the collateral of all Northern Rock assets QUESTION 41How much of Washington Mutual’s assets were funded by customer deposits for the decade ending in 2006?  30%  40%  50%  60% QUESTION 42The financial intermediary services provided by Fannie Mae and Freddie Mac were designed to  Offer loans directly to the consumer  Compete directly with banks in selling mortgaged to would-be home owners  Repackage mortgage loans made by banks and sell them on to investors as asset backed securities  Buy mortgage-backed loans for banks and keep them all on their books, using them as collateral for the US government to borrow QUESTION 43What is (are) the lesson(s) of the Barings’ failure?  Incentive plans have risk management implications  Front and back offices need to be independent  Large profits can be an indicator of risk  All of the above QUESTION 44The Chair, Vice Chair, Secretary and Treasurer of the PRMIA Board of Directors are elected by:  All PRMIA Fellow Members  The Regional Directors  The Blue Ribbon Advisory Panel  A two-thirds affirmative vote of all members QUESTION 45The Chief Risk Officer is responsible for the management of the Risk Management Infrastructure, and as such helps the Board define, and then implements throughout the organization, the risk appetite of the organization.Which of the following is also the responsibility of the Chief Risk Officer?  Maintaining appropriate assurance measures to ensure that the Governance and Risk framework of the organization is effective, and, if any shortcomings are discovered, to escalate these to the Board so that remedial action can be taken in an appropriate and timely manner  ensuring that all employees understand the rules and regulations (both internal and external) with which they must comply and the implications, for them and for the organization, of non-compliance  Ensures that reporting of risk and governance-related matters are produced in a timely and accurate manner  Acts as sponsor for risk throughout the organization and ensures that a risk culture is implemented, and maintained QUESTION 46Up until 2006, which of the following was not a primary driver for Washington Mutual’s earning?  Lending to consumers and small businesses.  Deposit taking activities which generated net interest income.  The provision of fee based services to its customers.  Complex derivative trades based on volatility indices. QUESTION 47Which of the following are PRMIA Governance Principles?I Independence of Key PartiesII Disclosure and TransparencyIII Internal ValidationIV Solvency  I and II only  I, II and III only  I, II and IV only  All are PRMIA Governance Principles QUESTION 48Washington Mutual’s acquisition of Long Beach Financial changed its business model and increased its credit loss profile because  The resulting loss rate for Washington Mutual was more than 3 times higher than other mortgage lenders tracked by the FDIC  the two banks were focussed in different markets  Long Beach Financial had losses which it hadn’t realized at the time of the takeover  Of a general deterioration of credit quality generally QUESTION 49Which of the following would have contributed to noticing and preventing Leeson’s violations at Barings?  Separation of front and back offices  More senior level involvement at Barings regarding use of derivatives  Recognition that large profits can be an indicator of higher risk  All of the above QUESTION 50A risk manager finds that a client is engaged in a practice that looks like money laundering.According to the PRMIA Standards of Best Practice, Conduct and Ethics (Code of Conduct), the risk manager should:  Approach the client about the concern, regardless of what their reaction might be  Respect the client’s confidentiality as that takes precedence  Report this conduct to their immediate supervisor  Report the findings immediately to authorities QUESTION 51Which of the following are PRMIA Governance Principles?I Sufficiency of Key Resources and ProcessII State of the Art Risk Management TechnologyIII Ongoing Education and DiscernmentIV Sufficiency of Key Competencies  I, II and IV only  I and II only  I, III and IV only  All of these are PRMIA Governance Principles QUESTION 52The Chair of the PRMIA Board of Directors may hold the following offices:  Parliamentarian  Secretary  Vice Chair  Chair only QUESTION 53The problems at WorldCom can best be characterized as related to:  Market Risk  Credit Risk  Operational and Regulatory Compliance Risk  All of the Above QUESTION 54Which US regulatory authority resolved the restructuring of Washington Mutual?  The Office of Thrift Supervision  Federal Deposit Insurance Corporation  The Federal Reserve Bank  None of the above  Loading … Achieve Success in Actual 8004 Exam 8004 Exam Dumps: https://www.examcollectionpass.com/PRMIA/8004-practice-exam-dumps.html --------------------------------------------------- Images: https://free.examcollectionpass.com/wp-content/plugins/watu/loading.gif https://free.examcollectionpass.com/wp-content/plugins/watu/loading.gif --------------------------------------------------- --------------------------------------------------- Post date: 2023-12-31 12:58:50 Post date GMT: 2023-12-31 12:58:50 Post modified date: 2023-12-31 12:58:50 Post modified date GMT: 2023-12-31 12:58:50