In this course, we have condensed the content from the Valuation and Risk Models (VRM) book of FRM Part 1 exam. It is our target to let those candidates who have not started studying can pick up all necessary concepts needed for the exam within a short time frame (and a reasonable price), with the subsequent aid of exam bank. Candidates who have a brief understanding are also welcomed to check if there is anything missing from your previous study.

Note that we currently do not have intention to provide videos for explaining the concepts since we believe practices are more efficient in reinforcing your knowledge. Having said that, if there are large demands on videos for certain topics, we would like to create.

The course includes the following topics for VRM section of FRM Part 1 exam (2022):

1. Measures of Financial Risk

2. Calculating and Applying VaR

3. Measuring and Monitoring Volatility

4. External and Internal Credit Ratings

5. Country Risk: Determinants, Measures, and Implications

6. Measuring Credit Risk

7. Operational Risk

8. Stress Testing

9. Pricing Conventions, Discounting, and Arbitrage

10. Interest Rates

11. Bond Yields and Return Calculations

12. Applying Duration, Convexity, and DV01

13. Modeling Non-Parallel Term Structure Shifts and Hedging

14. Binomial Trees

15. The Black-Scholes-Merton Model

16. Option Sensitivity Measures: The “Greeks”