Finance & securities

FRM Part II 2026: 887 Practice Questions & 2 Mock Exams

Four topic tests and two 80-question mocks with option explanations, calculations and practical risk decisions

Finance & SecuritiesAmerican English6 practice tests

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FRM Part II 2026: 887 Practice Questions & 2 Mock Exams

Overview

What you’ll practice

Questions and explanations: American English

Exam referenceFinance & securities
Course version published
Review official exam information

Check the provider’s current objectives before booking your exam. This is independent practice material.

  • Apply market-risk measures, dependence models and valuation methods using clear assumptions and units.
  • Analyze credit loss, counterparty exposure, collateral, clearing and securitization decisions.
  • Evaluate operational controls, resilience, model risk and the limits of historical capital frameworks.
  • Reconcile dated cash obligations with funding, repo, currency and treasury risk constraints.
  • Assess portfolio construction, performance, private investments and fund liquidity decisions.
  • Develop and interpret stress scenarios while distinguishing statistical severity from event probability.
  • Apply the eight assigned 2026 Current Issues readings to conditional financial-risk scenarios.
  • Diagnose reasoning errors using option feedback and complete two timed 80-question mock exams.

More about this course

This course contains the use of artificial intelligence.

Build a disciplined FRM Part II study routine with 887 original practice questions organized into four topic tests and two full-length mock exams. The course follows the reading areas and learning objectives in the 2026 GARP FRM Part II curriculum. It is designed for candidates who have studied the underlying material and want to test how they apply it to risk decisions.

Practice the six Part II areas

  • Market Risk Measurement and Management: tail losses, dependence, mapping, valuation, interest-rate models and market-risk capital.
  • Credit Risk Measurement and Management: lending decisions, credit models, counterparty exposures, clearing and securitization.
  • Operational Risk and Resilience: controls, data, continuity, model risk, stress testing, capital and historical cases.
  • Liquidity and Treasury Risk Measurement and Management: cash-flow timing, buffers, repos, transfer pricing, currency funding and balance-sheet risk.
  • Risk Management and Investment Management: factors, performance, portfolio decisions, private markets, fund liquidity and scenarios.
  • Current Issues in Financial Markets: the eight readings assigned for 2026, including AI, private credit, geopolitics, fiscal and monetary policy, crypto, tokenization and digital resilience.

Turn an answer into a useful diagnosis

Every question provides a correct answer, an explanation for each option, an overall explanation and a short study tip. Calculation questions specify the relevant assumptions, units and time horizon. Scenarios ask you to distinguish economic exposure from available cash, conditional loss from expected loss, and model results from the evidence needed to support a decision. Historical regulatory material is identified in its reading context.

The 727 topic questions support focused study across several sessions. The two 80-question, 240-minute mocks each use a 16/16/16/12/12/8 split across the six areas, matching the published approximate domain weights. Complete a mock before reviewing its answers, then use the explanations to identify topics to revisit. The course's 80% practice target is a learning reference, not an official GARP passing score.

These are independently developed learning questions. They are not recalled exam items, official GARP practice questions or a substitute for the assigned readings. The course is not affiliated with, endorsed by or approved by GARP. FRM is a trademark of GARP. It provides practice tests rather than video lessons or a guarantee of passing.

Practice sets

6 practice tests. 887 questions.

01

Market Risk: Topic Practice

116 questions360 minutes

02

Credit Risk: Topic Practice

208 questions630 minutes

03

Operational, Liquidity and Treasury Risk: Practice

235 questions720 minutes

04

Investment Management and Current Issues: Practice

168 questions510 minutes

05

Mock Exam 1: Full 80-Question Simulation

80 questions240 minutes

06

Mock Exam 2: Full 80-Question Simulation

80 questions240 minutes

FREE COURSE PREVIEW

Try it. Then understand it.

Three original single-answer questions from this course. Your answers stay in this page and are cleared when you leave.

Choose one answer1 of 3

A desk forecasts a continuous one-day loss CDF F_t before observing loss L_t. Its 99% VaR has the expected exception count, but u_t = F_t(L_t) is concentrated near 0 and 1 over a long validation sample. Which diagnosis is most consistent with these findings?

Before you begin

  • Familiarity with FRM Part I material or equivalent foundations in risk, finance and quantitative methods.
  • Access to the 2026 FRM Part II assigned readings for studying concepts before and after practice.
  • Comfort with algebra, probability, basic valuation and calculations on a financial calculator.
  • Time for focused topic sessions and a four-hour uninterrupted attempt at each mock exam.

Who this is for

  • Candidates preparing for the 2026 FRM Part II examination.
  • Learners who have studied the curriculum and want original application questions with detailed feedback.
  • Risk and finance professionals reviewing the six Part II areas through structured practice.

Questions

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Does this include the official certification exam?

No. This is independent preparation material. Certification registration, exam fees and credentials are managed by the exam provider.

Can I switch the course language?

Check the course language label. Available language editions are listed on each course page and have separate Udemy links. The website language switch changes navigation, not course content.

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