PRMIA Exam I: Finance Theory Financial Instruments Financial Markets - 2015 Edition : 8006

8006 real exams

Exam Code: 8006

Exam Name: Exam I: Finance Theory Financial Instruments Financial Markets - 2015 Edition

Updated: Oct 18, 2026

Q & A: 290 Questions and Answers

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PRMIA 8006 Exam Overview:

Certification Vendor:PRMIA
Exam Name:Exam I: Finance Theory, Financial Instruments, Financial Markets - 2015 Edition
Exam Number:8006
Real Exam Qty:36
Certificate Validity Period:2 years from passing date
Exam Duration:120 minutes
Available Languages:English
Related Certifications:Associate PRM
PRM Certification
Exam Format:Multiple Choice
Passing Score:60%
Exam Price:$325 - $400 USD (member/non-member)
Recommended Training:PRMIA Official Study Materials
Exam Registration:Pearson VUE Scheduling
PRMIA Official Registration
Sample Questions:Free Download 8006 bootcamp pdf
Exam Way:Computer-based testing at Pearson VUE centers or online proctored
Pre Condition:PRMIA membership; bachelor's + 2 years experience, or master's degree, or CFA charterholder; approved PRM application
Official Syllabus URL:https://www.prmia.org

PRMIA 8006 Exam Syllabus Topics:

SectionWeightObjectives
Financial Markets and Participants20%- Market participants and their roles
- Structure and types of financial markets
- Trade lifecycle, dealing and settlement processes
Finance Theory and Portfolio Construction25%- Mean-variance portfolio theory
- Risk-adjusted performance measures
- CAPM, multifactor models and APT
- Utility theory, risk and return axioms
Derivatives Instruments25%- Options: types, payoffs and valuation basics
- Futures and forward contracts
- Swaps and other derivative instruments
Fixed Income Securities and Markets20%- Bond characteristics and valuation
- Money market instruments and yield calculations
- Credit risk and capital structure analysis
- Term structure of interest rates
Mathematical Foundations10%- Basic statistical methods for finance
- Probability concepts including Bayesian theory

PRMIA 8006 Exam: Questions We Hear Daily

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The PRMIA Exam I: Finance Theory Financial Instruments Financial Markets - 2015 Edition blueprint has 5 domains, led by Financial Markets and Participants (20%), Finance Theory and Portfolio Construction (25%), Mathematical Foundations (10%). Think of the weightings as the vendor's hint about where points concentrate — plan your hours accordingly. The complete outline above lists every subtopic.

Registration happens through the vendor's official channels:

The exam is delivered Computer-based testing at Pearson VUE centers or online proctored — choose the arrangement that works for you when you book.

Passing the 8006 exam earns you the Professional Risk Manager (PRM) certification at the Professional level — PRMIA's official verification of your skills. It's considered important because it's genuinely difficult, which is exactly why it carries weight with employers. Related credentials include PRM Certification, Associate PRM.

36 questions in 120 minutes. That combination rewards candidates who've trained their pace, not just their memory — so before the real thing, run full timed sessions in the PassTorrent engine, practice flagging hard questions instead of fighting them, and learn what your sustainable per-question rhythm feels like.

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PRMIA membership; bachelor's + 2 years experience, or master's degree, or CFA charterholder; approved PRM application Before paying any registration fee, verify the current criteria on the official exam page — official 8006 exam page — since vendors do revise their rules.

The official fee is $325 - $400 USD (member/non-member), with 60% required to pass. Both numbers matter more together: the fee is per attempt, so every retake costs the full amount again. Drilling the 290 practice questions from PassTorrent until you're comfortably past the mark is the fiscally sound approach.

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PRMIA Exam I: Finance Theory Financial Instruments Financial Markets - 2015 Edition Sample Questions:

Question #1

[According to the PRMIA study guide for Exam 1, Simple Exotics and Convertible Bonds have been excluded from the syllabus. You may choose to ignore this question. It appears here solely because the Handbook continues to have these chapters.] Which of the following statements are true for a contingent premium option:
I. They are also called 'pay-later' options
II. Premiums are due only if the option expires in the money
III. They are a combination of a vanilla option and an appropriate number of cash-or-nothing options IV. They are preferred because the premiums are always less than those on equivalent vanilla options

  • A. I, II and III
  • B. I, II, III and IV
  • C. II, III and IV
  • D. I, II and IV
Reveal Solution  Discussion  0

Correct Answer: A  🗳️

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Question #2

Security A and B both have expected returns of 10%, but the standard deviation of Security A is 10% while that of security B is 20%. Borrowings are not permitted. A portfolio manager who wishes to maximize his probability of earning a 25% return during the year should invest in:

  • A. 50% in Security A and 50% in Security B
  • B. Security B
  • C. None of the above
  • D. Security A
Reveal Solution  Discussion  0

Correct Answer: B  🗳️

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Question #3

If x represents wealth, and u(x) its utility, then a logarithmic utility function can be represented by:

  • A. u(x) = 1/ln(x)
  • B. u(x) = exp(x)
  • C. u(x) = ln(-x)
  • D. u(x) = ln(x)
Reveal Solution  Discussion  0

Correct Answer: D  🗳️

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Question #4

The price of an interest rate cap is determined by:
I. The period to which the cap relates
II. Volatility of the underlying interest rate
III. The exercise or the strike rate
IV. The risk free rate

  • A. I, II and III
  • B. I, II, III and IV
  • C. II, III and IV
  • D. I, II and IV
Reveal Solution  Discussion  0

Correct Answer: A  🗳️

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Question #5

A risk analyst working for an asset manager with a large debt portfolio is tasked with determining the suitability of using a traded debt ETF as a hedge against the value of the debt portfolio. He/she calculates the minimum variance hedge ratio to be exactly 1.0.
Given the above facts, which of the following statements are certainly true:
I. The ETF represents a perfect hedge for the portfolio
II. The volatility of the portfolio is the same as that for the ETF
III. The ETF cannot be used as an effective hedge for the debt portfolio IV. None of the above

  • A. IV only
  • B. I only
  • C. III only
  • D. I and II
Reveal Solution  Discussion  0

Correct Answer: A  🗳️

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