BRP study plan

Define the core credit risk vocabulary from memory: default, exposure at default, loss given default, probability of default, and expected loss, then write a one-line formula for expected loss.

Compute expected loss and unexpected loss for three worked borrower examples using only a calculator, showing each step.

Distinguish credit risk from market and operational risk by classifying 15 short scenario descriptions into the correct risk type.

Build a personal glossary of at least 40 credit risk terms with your own definitions, flagging any term you cannot define confidently.

Explain how credit ratings, scorecards, and quantitative models feed into credit decisions, and identify at least three weaknesses of each approach.

Compare the major credit risk mitigation techniques (collateral, guarantees, credit derivatives, netting) and state the main residual risk each leaves behind.

Analyze concentration risk by constructing a simple portfolio of 10 exposures and calculating the share of the largest five.

Summarize the credit risk components of the Basel framework, including the standardized and internal-ratings-based approaches, in your own words.

Define the main market risk measures (value at risk, expected shortfall, sensitivity measures, stress testing) and state one strength and one limitation of each.

Calculate value at risk for a single position using both the variance-covariance and historical simulation approaches on a small supplied dataset you construct yourself.

Explain the difference between parametric and non-parametric VaR and identify when each breaks down.

Interpret a set of Greek sensitivities for an option position and describe how each changes with an underlying price move.

Review weeks 1-3 notes and rewrite every weak definition until you can state it without reference.

Solve 30 mixed credit and market risk practice questions under timed conditions and log every error with its root cause.

Connect credit and market risk by explaining how interest rate and FX moves transmit into credit losses for a corporate borrower.

Draft a one-page summary mapping each credit and market risk concept to its regulatory capital treatment.

Classify at least 20 operational loss events into Basel event categories and business lines, justifying each classification.

Explain the three operational risk capital approaches (basic indicator, standardized, advanced measurement) and the tradeoffs between them.

Describe the main operational risk tools (risk and control self-assessment, key risk indicators, loss data collection, scenario analysis) and state what each is designed to catch.

Analyze a short case of a process failure and identify the failed controls and the corrective actions you would recommend.

Summarize the purpose and structure of the Basel capital accords, distinguishing Pillar 1, Pillar 2, and Pillar 3.

Explain the core requirements of key compliance topics such as know-your-customer, anti-money-laundering, and market conduct, and describe the risk of non-compliance.

Map at least 10 regulatory obligations to the risk domain they primarily constrain.

Describe how supervisory review and stress testing interact with a bank's internal capital assessment.

Take a full-length timed practice exam under exam conditions and record your score by domain.

Identify your two weakest domains from the score breakdown and re-study only those areas for at least half the week.

Re-derive from memory the key formulas across all four domains on a single reference sheet.

Explain aloud, without notes, one integrated scenario showing how a single event creates credit, market, operational, and compliance exposure.

Review your error log and reference sheet daily, re-solving every previously missed question until correct twice in a row.

Complete a second timed mock exam and compare domain scores against week 7 to confirm improvement.

Practice explaining each formula and definition in plain language to test true understanding rather than recognition.

Finalize a one-page pre-exam checklist of formulas, definitions, and common traps, and confirm logistics for exam day.