FRM stands for Financial Risk Manager, which is a professional designation issued by the Global Association of Risk Professionals (GARP) . The FRM accreditation is globally recognized and indicates that the holder has a strong understanding of the underlying risk management concepts in todays ever-changing financial markets. Financial risk managers (FRMs) identify threats to assets, earning capacity, or the success of an organization, and they may work in financial services, banking, loan origination, trading, or marketing. Many specialize in areas like credit or market risk. FRMs determine risk by analyzing financial markets and the global environment to predict changes or trends, and it is also their role to develop strategies to counteract the effects of potential risks.

To earn the FRM designation, candidates must successfully complete a comprehensive, two-part exam and complete two years of work experience in financial risk management. The FRM exam covers the application of risk management tools and techniques to the investment management process, and it is recognized in over 90 countries. The exam is designed to measure a financial risk managers ability to manage risk in a global environment. Professionals who hold the FRM designation can participate in optional continued professional development. The FRM program follows the major strategic disciplines of risk management: market risk, credit risk, operational risk, and investment management.

FRM certified professionals are constantly in demand by the world’s leading companies and banks, and they are currently employed in more than 190 countries and territories worldwide. The FRM Certification is approved by the Occupational Skill Testing Authority (OSTA) and the Ministry of Human Resources and Social Security (MOHRSS) in China as a National Vocational Qualification Certificate. The FRM certification is widely considered a strong credential in the field of financial risk management.