New Year Sale 2026! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

PRMIA 8010 Exam - Topic 1 Question 11 Discussion

Actual exam question for PRMIA's 8010 exam
Question #: 11
Topic #: 1
[All 8010 Questions]

Which of the following is not a tool available to financial institutions for managing credit risk:

Show Suggested Answer Hide Answer
Suggested Answer: B

Collateral, limits to avoid credit exposure concentrations, termination rights based upon credit ratings, third party guarantees and credit derivatives are all tools or instruments that financial institutions use to manage their credit risk. A cumulative accuracy plot measures the accuracy of ratings, and is not a tool for managing credit risk. Therefore Choice 'b' represents the correct answer.


by My at May 08, 2022, 12:50 AM

Limited Time Offer

25%

Off

Get Premium 8010 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

0/2000 characters
Submit Cancel
Anabel
4 months ago
Third party guarantees are also common in managing credit risk.
upvoted 0 times
...
Mabel
4 months ago
Collateral and credit derivatives are definitely tools, no doubt!
upvoted 0 times
...
Barrett
5 months ago
Wait, are we sure about that? Seems like it could be useful.
upvoted 0 times
...
Jacquline
5 months ago
Totally agree, it’s more of a performance metric!
upvoted 0 times
...
Glendora
5 months ago
Cumulative accuracy plot is not a credit risk tool.
upvoted 0 times
...
Alease
5 months ago
I recall that collateral and guarantees are definitely used, but I can't quite remember if the cumulative accuracy plot was mentioned as a tool in our materials.
upvoted 0 times
...
Merissa
5 months ago
I practiced a similar question where we had to identify tools for managing credit risk, and I feel like the cumulative accuracy plot doesn't fit in with the others.
upvoted 0 times
...
Chantell
5 months ago
I think collateral, third-party guarantees, and credit derivatives are all standard tools, but I'm hesitant about the cumulative accuracy plot being included as a tool.
upvoted 0 times
...
Adela
5 months ago
I remember studying credit risk management tools, but I'm not entirely sure about the cumulative accuracy plot. It seems more related to model performance than direct risk management.
upvoted 0 times
...
Rasheeda
5 months ago
Okay, let me think this through. The question says the current resource bundle is checkout.properties, so I'm guessing the answer is to add the German strings to a new file, checkout_de.properties, in the resources folder. That makes the most sense to me.
upvoted 0 times
...
Jess
5 months ago
I remember doing a practice question similar to this one. I'm leaning towards RA Throttling, but I might be mixing it up with something else.
upvoted 0 times
...
Dick
5 months ago
I'm kind of torn between the 7250QX and the 7010, but I feel like the 7010 might be a safer bet based on what I read.
upvoted 0 times
...
Reena
6 months ago
I remember discussing WPA2 PSK options, but I'm a bit unsure about the exact format that's accepted in the GUI.
upvoted 0 times
...

Save Cancel