[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"detail-sidebar-cat-0-en-105":3,"doc-seo-203120-105":59,"doc-detail-203120-en":130},{"code":4,"msg":5,"data":6},0,"success",[7,13,18,23,28,33,38,43,48,51,55],{"id":8,"doc_module":4,"doc_module_name":9,"category_name":10,"show_sort_weight":11,"slug":12},1,"Document","Story & Novel",90,"story-novel",{"id":14,"doc_module":4,"doc_module_name":9,"category_name":15,"show_sort_weight":16,"slug":17},2,"Literature",80,"literature",{"id":19,"doc_module":4,"doc_module_name":9,"category_name":20,"show_sort_weight":21,"slug":22},4,"Exam",70,"exam",{"id":24,"doc_module":4,"doc_module_name":9,"category_name":25,"show_sort_weight":26,"slug":27},5,"Comic",60,"comic",{"id":29,"doc_module":4,"doc_module_name":9,"category_name":30,"show_sort_weight":31,"slug":32},6,"Technology",50,"technology",{"id":34,"doc_module":4,"doc_module_name":9,"category_name":35,"show_sort_weight":36,"slug":37},7,"Healthcare",40,"healthcare",{"id":39,"doc_module":4,"doc_module_name":9,"category_name":40,"show_sort_weight":41,"slug":42},8,"Research & Report",30,"research-report",{"id":44,"doc_module":4,"doc_module_name":9,"category_name":45,"show_sort_weight":46,"slug":47},9,"Religion & Spirituality",20,"religion-spirituality",{"id":46,"doc_module":4,"doc_module_name":9,"category_name":49,"show_sort_weight":46,"slug":50},"World Cup","world-cup",{"id":52,"doc_module":4,"doc_module_name":9,"category_name":53,"show_sort_weight":52,"slug":54},10,"Lifestyle","lifestyle",{"id":56,"doc_module":4,"doc_module_name":9,"category_name":57,"show_sort_weight":24,"slug":58},19,"General","general",{"code":4,"msg":60,"data":61},"ok",{"site_id":62,"language":63,"slug":64,"title":65,"keywords":66,"description":67,"schema_data":68,"social_meta":123,"head_meta":125,"extra_data":127,"updated_unix":129},105,"en","cpa-program-subject-outline-financial-risk-management-fourth-edition","CPA Program Subject Outline - Financial Risk Management - Fourth Edition","","Financial Risk Management is an elective CPA Program subject focused on equipping candidates to assess and manage a wide range of financial risks strategically. It covers risk concepts and frameworks, major risk types including funding, liquidity, market (interest rate, exchange rate and commodity price), credit and operational risk, and the growing impact of climate risk. The curriculum emphasizes practical risk assessment, monitoring, and control, using financial instruments and derivatives, including accounting for embedded derivatives and hedging relationships, as well as regulatory and responsibility requirements.",{"@graph":69,"@context":122},[70,84,105],{"@type":71,"itemListElement":72},"BreadcrumbList",[73,77,79,82],{"item":74,"name":75,"@type":76,"position":8},"https://docshare.wps.com","Home","ListItem",{"item":78,"name":9,"@type":76,"position":14},"https://docshare.wps.com/document/",{"item":80,"name":20,"@type":76,"position":81},"https://docshare.wps.com/document/exam/",3,{"item":83,"name":65,"@type":76,"position":19},"https://docshare.wps.com/document/cpa-program-subject-outline-financial-risk-management-fourth-edition/203120/",{"url":83,"name":65,"@type":85,"image":86,"author":91,"headline":65,"publisher":94,"fileFormat":97,"inLanguage":63,"description":67,"dateModified":98,"datePublished":99,"encodingFormat":97,"isAccessibleForFree":100,"interactionStatistic":101},"DigitalDocument",{"url":87,"@type":88,"width":89,"height":90},"https://docshare.wps.com/thumbnails/cpa-program-subject-outline-financial-risk-management-fourth-edition/203120.png","ImageObject",300,407,{"name":92,"@type":93},"supergirl","Person",{"url":74,"name":95,"@type":96},"DocShare","Organization","application/pdf","2026-10-07","2026-09-04",true,{"@type":102,"interactionType":103,"userInteractionCount":39},"InteractionCounter",{"@type":104},"ViewAction",{"@type":106,"mainEntity":107},"FAQPage",[108,114,118],{"name":109,"@type":110,"acceptedAnswer":111},"What is the purpose of the Financial Risk Management subject?","Question",{"text":112,"@type":113},"To equip candidates with skills to assess financial risks and manage them strategically using financial instruments, including practical approaches to risk assessment and monitoring.","Answer",{"name":115,"@type":110,"acceptedAnswer":116},"Which types of financial risk are covered?",{"text":117,"@type":113},"Funding and liquidity risk, market risk (interest rates, exchange rates, commodity prices), credit risk, operational risk, and the financial impacts of climate risk.",{"name":119,"@type":110,"acceptedAnswer":120},"What does the exam focus on in terms of derivatives?",{"text":121,"@type":113},"It explains derivative instruments, the main classes (forwards, futures, swaps, options), pricing fundamentals, and includes practical accounting for embedded derivatives and hedging relationships.","https://schema.org",{"og:url":83,"og:type":124,"og:title":65,"og:site_name":95,"og:description":67},"article",{"robots":126,"canonical":83},"index,follow",{"doc_id":128,"site_id":62},203120,1788555797,{"code":4,"msg":5,"data":131},{"doc_id":128,"user_id":132,"nickname":92,"user_avatar":133,"doc_module":4,"category_id":19,"category_name":20,"doc_title":65,"doc_description":67,"doc_content":134,"file_id":135,"file_url":136,"file_type":137,"file_size":138,"view_count":39,"is_deleted":4,"is_public":8,"is_downloadable":8,"audit_status":8,"page_count":19,"language":139,"language_code":63,"site_id":62,"html_lang":63,"table_of_contents":140,"faqs":141,"seo_title":142,"seo_description":67,"update_tm":129,"read_time":52},962088121634,"https://ap-avatar.wpscdn.com/davatar_9964176cb1d06d4a9deccf72a44ae3dc","Financial Risk Management  \nCPA Program subject outline  \nFourth edition  \nThe global business environment is ever changing, and as a result, organisations are exposed and vulnerable to a growing array of financial risks. These include financial risk, such as funding and liquidity risk, market risk from changes in interest rates, exchange rate or commodity price movements, credit risk and operational risk, and increasingly to the financial impacts of climate risk. The purpose of this subject is to equip candidates with the necessary skills to assess these financial risks and manage them strategically with the use of financial instruments.  \nFinancial Risk Management is an elective subject offered in the CPA Program and is related to content in several of the compulsory subjects, including Ethics and Governance, Financial Reporting and Strategic Management Accounting.  \nExam structure  \nThe Financial Risk Management exam is comprised of multiple-choice questions.  \nGeneral objectives  \nOn completion of this subject, you should be able to:  \n• understand risk and a risk management framework  \n• identify the types of financial risk faced by an organisation  \n• apply a practical approach to assessing, monitoring and managing an organisation’s financial risk  \n• understand the funding, liquidity, interest rate, foreign exchange, commodity price, credit and operational risk faced by organisations  \n• advise an organisation on the procurement and management of funding and the allocation to competing long-term investments  \n• understand the nature and characteristics of derivatives  \n• advise an organisation on the types of financial instruments that could be used to best manage an organisation’s financial risk  \n• demonstrate the practical elements of accounting for derivatives for both embedded derivativesand derivatives used for hedging purposes  \n• explain responsibilities for financial risk and regulatory requirements, and the control framework for managing both financial and operational risks.  \nSubject content  \nThe “weighting” column in the following table provides an indication of the emphasis placed on each module in the exam, while the ‘recommended proportion of study time’ column is a guide for you to allocate your study time for each module.  \n\n| Module Recommended proportion of study time (%) Weighting (%) |  |  |  |\n| --- | --- | --- | --- |\n| 1. | Introduction to Financial Risk Management | 10 | 10 |\n| 2. | Management of liquidity, debt and equity | 10 | 10 |\n| 3. | Financing and evaluating investments | 14 | 14 |\n| 4. | Derivatives | 10 | 10 |\n| 5. | Interest rate risk management | 14 | 14 |\n| 6. | Foreign exchange and commodity price risk management | 14 | 14 |\n| 7. | Accounting for derivatives and hedge relationships | 14 | 14 |\n| 8. | Controlling risks | 14 | 14 |\n| 100 100 |  |  |  |\n\nModule descriptions  \nThe subject is divided into five modules. A brief outline of each module is provided below.  \nModule 1: Introduction to Financial Risk Management  \nModule 1 provides definitions of risk and financial risk, and explores one prominent risk management standard, including the principles, elements and the financial risk management process that itespouses. Contemporary and historic factors affecting the external business environment are discussed in relation to their impact on financial objectives and a comprehensive case study is presented to illustrate the financial risk management process. The treasury functions and risk exposures of a corporate and financial institution are compared and contrasted. This module also contains an overview of statistical terms such as ‘standard deviation’ and ‘normal distribution’.  \nModule 2: Management of liquidity, debt and equity  \nThis module provides a detailed explanation of some of the techniques used in the management of financial exposures. Part A examines the management of cash, including ratios to measure liquidity, application of surplus funds and the calculation of free ","cbCaimDrRfL5G41e","https://ap.wps.com/l/cbCaimDrRfL5G41e","pdf",154866,"English","# Exam structure\n## General objectives\n## Subject content\n## Module descriptions\n### Module 1: Introduction to Financial Risk Management\n### Module 2: Management of liquidity, debt and equity\n### Module 3: Financing and evaluating investments\n### Module 4: Derivatives\n### Module 5: Interest rate risk management","[{\"question\":\"What is the purpose of the Financial Risk Management subject?\",\"answer\":\"To equip candidates with skills to assess financial risks and manage them strategically using financial instruments, including practical approaches to risk assessment and monitoring.\"},{\"question\":\"Which types of financial risk are covered?\",\"answer\":\"Funding and liquidity risk, market risk (interest rates, exchange rates, commodity prices), credit risk, operational risk, and the financial impacts of climate risk.\"},{\"question\":\"What does the exam focus on in terms of derivatives?\",\"answer\":\"It explains derivative instruments, the main classes (forwards, futures, swaps, options), pricing fundamentals, and includes practical accounting for embedded derivatives and hedging relationships.\"}]","CPA Program Subject Outline - Financial Risk Management - Fourth Edition | PDF"]