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Exam 8008 All Questions
Exam 8008 All Questions

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PRMIA PRM 8008 Question # 21 Topic 3 Discussion

8008 Exam Topic 3 Question 21 Discussion:
Question #: 21
Topic #: 3

Which of the following risks and reasons justify the use of scenario analysis in operational risk modeling:

I. Risks for which no internal loss data is available

II. Risks that are foreseeable but have no precedent, internally or externally

III. Risks for which objective assessments can be made by experts

IV. Risks that are known to exist, but for which no reliable external or internal losses can be analyzed

V. Reducing the complexity of having to fit statistical models to internal and external loss data

VI. Managing the capital estimation process as to produce estimates in line with management's desired capital buffers.


A.

I, II and III


B.

I, II, III and IV


C.

V


D.

All of the above


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