Are you trying to pass your FRM test and looking for help? We’ve got you covered, check out our guide to find out how you can achieve success on your exam!
The Financial Risk Management test or FRM test has caused many sleepless nights for folks in the FRM program. That’s because unless you’re Stephen Hawkings, a one-night study isn’t enough for you even to scrape the bottom of the pass list.
GARP takes FRM accreditation very seriously, and therefore, you don’t expect any no-brainers in the FRM test. This test is a two-part multiple-choice exam that examines how candidates can relate theoretical knowledge to real-world problems. The exams, which take four hours each, are practice-oriented but also gauge your understanding of theoretical concepts.
It’s normal to feel apprehensive a few weeks or days before the exam. After all, the FRM test is an integral step towards becoming a certified financial risk manager. However, with adequate preparation, tutoring, and tips, the FRM test will be a breeze for you.
In this piece, we’ll highlight nine foolproof tips to help you pass the FRM test. That way, you’ll be more confident and ready to tackle the exam when it’s D day.
1. Begin Your Studies Early
The earlier you start studying for the exam, the more time you have to grasp all the concepts. It’s virtually impossible to pass the FRM test with last-minute studying. Nobody doubts your intellectual capabilities, but to be on the safe side, it’s so much better if you start studying early.
The ideal time to start studying is a few minutes after your register. Remember, the FRM test isn’t any ordinary multiple-choice test. It examines the candidates’ ability to interpret the question and relate it to theoretical concepts and actual events in the real world.
If you start reading earlier, you can be familiar with the structure of the questions and how you answer them.
2. Be Well-Acquainted With All the Exam Topics
The FRM test examines well over eight topics relating to financial risk. You’re in a better position to tackle the exam if you are familiar with all the topics. Each topic is weighted differently, and you should put more focus on “valuation and risk models“ and “financial markets and products,” since they carry 30% weight each.
However, don’t specialize in topics because it’s common for questions to cut through multiple topics. So it’s better to understand what each topic entails.
3. Have Your Resources in Check
The GARP study list is an excellent study resource, but to knock the test off the park, you need to go the extra mile. Consider some third-party resources like eBooks, practice exams, and FRM question banks. If you want to know whether FRM question banks are truly worth it, then read this helpful post.
When it comes to studying resources, more is usually better. However, don’t overdo it because too many study materials make your study load seem a lot more than it actually is.
4. Put More Focus on Your Weak Areas
Let’s face it; you probably have one or two areas that give you a hard time while studying. It’s a good idea to put more emphasis on these weak areas when prepping for the test. So while you fine-tune your strong areas, you also clamp down on your weak ones too.
In doing so, you can maximize your strong topics and also get a decent mark from your weak areas. Combine the both and you are guaranteed of passing the test
5. Structure Your Studies and Have a Routine
Once you have a firm grasp of what the topics entail, you can proceed to create a study structure and routine. Since the topics are somewhat inter-related, you should take some time and create a systematic and chronological study plan that leads right up to the exam.
Doing so may not be so easy for most people, so if you’re finding it difficult to create a study plan, then consider using prep packages to organize your studies.
6. Give Yourself a Break Sometime Before the Test
It may sound outrageous, but a break from work is just what you need before tackling the FRM test. In doing so, you have more time to go through the exam concepts.
7. Dedicate Your Last Few Weeks Before Exam to Practice
Hopefully, you started studying for the test earlier on. If you did so, you could reserve the final weeks before the exam for thorough practice. Do about three practice exams during this time to acclimatize with the FRM test.
While doing so, remember not to look at the questions beforehand and also consider timing. Try to take no more than three minutes for each question. Once you’re done with practice, you can review the areas that are giving you a hard time before the actual exam.
8. Maintain Your Calm During the Exam
If you think you’re going to freak out during the exam, find a way to address that issue before you sit for the exam. Practice things like deep inhaling and find a couple of reassuring stuff you’ll tell yourself whenever you start losing your calm. Also, prepare adequately for the exam since you’re more likely to be relaxed if you have something to write in the exam.
9. Keep Time
Remember, you won’t get any extra time during the exam. The practice tests will teach you how to keep time properly. If you’re running out of time, don’t panic, just do your best to answer as much as you can, and you’ll be okay.
Passing the FRM Test Isn’t That Difficult
If you take these nine tips to heart, the FRM test will be a breeze for you. Although studying is very important, don’t forget the actual test-taking part of the FRM exam. Remember to work on stuff like timing, maintaining your cool, and comprehending the questions.
For more informative reads, remember to have a look at our other pieces, once you get done with your FRM studies.