PRMIA 8009 : Exam IV: Case Studies: Standards: Governance, Best Practices and Ethics - 2015 Edition

8009 real exams

Exam Code: 8009

Exam Name: Exam IV: Case Studies: Standards: Governance, Best Practices and Ethics - 2015 Edition

Updated: Sep 06, 2026

Q & A: 112 Questions and Answers

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PRMIA 8009 Exam Syllabus Topics:

SectionObjectives
Risk Management Best Practices- Credit and Market Risk
  • 1. Liquidity Risk Considerations
  • 2. Market Risk Best Practices
  • 3. Credit Risk Standards
- Enterprise Risk Management
  • 1. Integration Across Departments
  • 2. ERM Frameworks
  • 3. Risk Appetite and Tolerance
- Operational Risk Management
  • 1. Risk Identification and Assessment
  • 2. Risk Mitigation Strategies
  • 3. Scenario Analysis
Ethics and Professional Conduct- Case Studies on Ethical Scenarios
  • 1. Practical Applications
  • 2. Decision-Making Frameworks
  • 3. Lessons Learned
- Ethical Principles
  • 1. Conflict of Interest
  • 2. Transparency and Disclosure
  • 3. Code of Conduct
Governance and Regulatory Standards- Regulatory Frameworks
  • 1. Local Regulatory Requirements
  • 2. Basel Accords and Global Standards
  • 3. Compliance Reporting
- Corporate Governance
  • 1. Internal Controls and Audit Functions
  • 2. Board Oversight Responsibilities
  • 3. Risk Committee Structures
Standards and Professional Practices- Benchmarking and Industry Guidelines
  • 1. Best Practice Comparisons
  • 2. Industry Surveys and Metrics
- Documentation and Reporting Standards
  • 1. Risk Reporting Templates
  • 2. Regulatory Submission Requirements

PRMIA Exam IV: Case Studies: Standards: Governance, Best Practices and Ethics - 2015 Edition Sample Questions:

Question 1

The problems which initiated the crisis at Northern Rock during the summer of 2007 were:

A. Large customer withdrawals despite the UK regulator and the UK Treasury giving assurances that the bank was solvent
B. A general lack of confidence in mortgage backed securities associated in large part with developments in the US sub-prime mortgage market, and doubts emerging about the viability of the Northern Rock business model
C. Doubts arising about the viability of the business model which necessitated Bank of England intervention
D. A depositor run on the bank, following doubts about the viability of the Northern Rock business model


Question 2

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. Attend at least one PRMIA chapter meeting per year
C. Vote in Board elections
D. All of the above


Question 3

Which of the following was NOT a factor in the National Australia Bank case?

A. Improper or insufficient Board-level communication regarding the importance of risk management and oversight
B. Money laundering using foreign exchange trades for political leaders
C. Inadequate back office procedures
D. Rogue traders


Question 4

Every PRMIA chapter is designed to serve the local needs of members, so they often have fairly independent planning structures and ideas. According to the PRMIA Bylaws, Regional Chapters and Regional Directors:

A. All of the above
B. Can have their own offices, bylaws and regulations provided they do not conflict with those of PRMIA
C. Can sign contracts on behalf of PRMIA without prior approval from the Board of Directors
D. Can have meetings that only local members are allowed to attend


Question 5

Select the one correct statement relative to Barings Bank.

A. Proprietary and agency trading were separate and therefore did not increase risk.
B. Proprietary and agency trading were combined and therefore did increase risk.
C. Proprietary and agency trading were separate and did increase risk.
D. Proprietary and agency trading were combined and therefore did not increase risk.


Solutions:

Question 1
Answer: B
Question 2
Answer: A
Question 3
Answer: B
Question 4
Answer: B
Question 5
Answer: B

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