Since the beginning of the FRM® program in 1997, more than 84,000 certified Financial Risk Managers have successfully obtained the designation.
However, you may be surprised to know that the recent FRM® Part I Exam only had a 55% pass rate, while Part II was 52%. That means only slightly more than half of FRM® candidates got certified after their first try.
Wondering why pass rates are so low for a certification that seems relatively cut and dry?
I’ll gladly fill you in on FRM® success rates, who this certification is meant for, and how to pass with flying colors.
Key Takeaways
- Fluctuating Pass Rates: Pass rates for FRM® Part I are currently 55%, while Part II pass rates are 52%. They change consistently/have been on a steady decline for many years.
- More Experience, Higher Score: FRM® exam passing depends on practical skills, not theory. Financial risk management takes extensive real-world experience.
- Pick the Right Course: Mock exams and practice questions from a recommended FRM® prep course will sharpen your strategy.
- FRM® Curriculum is Intense: Aspiring financial risk managers have to master areas like credit risk, market risk, and operational risk to get certified.
- Books Aren’t Everything: Focusing on scenarios that happen in actuality during your prep improves your odds on exam day.
Fluctuating Pass Rates 📉
FRM® pass rates aren’t static — they change every year. As of now, the Part I pass rate is around 55%, and Part II is about 52%. These numbers aren’t just statistics — they reflect how tough the exam really is. Over the years, pass rates have slowly declined, largely because the exam has become more rigorous and real-world focused.
What this means for candidates: you can’t count on “just getting by.” You’ll need a clear strategy, strong prep materials, and the ability to apply what you’ve learned — not just memorize it. The FRM® exam is built to test whether you’re truly ready for a career in financial risk management.
Historical FRM® Pass Rates: A Quick Look at the Trend
Since its inception in 1997, the FRM® exam has maintained a reputation for rigor, with pass rates reflecting its challenging nature. Over the past 15 years, pass rates have fluctuated, influenced by factors such as exam difficulty, candidate preparedness, and changes in the financial landscape.
FRM® Part I Pass Rates:
- Range (2010–2024): Approximately 39% to 56%
- 15-Year Average: Around 47%
- Notable Low: 39% in November 2011
- Recent High: 56% in May/August 2024
FRM® Part II Pass Rates:
- Range (2010–2024): Approximately 50% to 63%
- 15-Year Average: Around 56%
- Notable Low: 50% in May 2016
- Recent High: 63% in November 2021
These statistics underscore the importance of thorough preparation and a deep understanding of risk management concepts. The FRM® exams are designed to assess not just theoretical knowledge but also the practical application of risk management principles in real-world scenarios.
Exam Difficulty 🧑💻
Both parts of the FRM® exam have a reputation for being moderately tough. FRM® Part I leans into quantitative analysis, financial markets, and risk models.
When you move on to the FRM® Part II exam, you need a deep understanding of operational risk management, credit risk, market risk measurement, and treasury risk measurement. Topics like valuation and risk models will also come up.
As a demanding course, the exam will involve questions that, besides merely testing your understanding of the concepts, will test your ability to apply them in the real risk management world.
Minimum Passing Score 🎓
The Global Association of Risk Professionals (referred to as GARP), which administers the FRM®, doesn’t publish a specific score you need to pass. You only know if you pass or fail. There’s a rumor that the minimum passing score is 70%. But that’s just chatter–no guarantees.
Making Sure You Pass
If you’ve decided that FRM® is for you, you’ll need more than just wishful thinking to pass the exam(s). Part 2, in particular, is difficult, and the study material is enormous. Here’s what senior financial risk managers suggest:
- Build a detailed study plan, breaking topics into weekly goals.
- Take mock exams regularly. Professionals and I highly recommend Kaplan FRM®.
- Focuses heavily on valuation and risk models, operational risk, and credit risk. Thank me later.
- Invest in high-quality study materials instead of free content online.
- Stay consistent and hold yourself accountable. Missing a week makes it feel like you lost a month.
You don’t have to be a genius to pass the FRM®, but you do have to be consistent and disciplined.
My Final Thoughts
You’re here because you want to pass the FRM® exams, earn your financial risk manager title, and move into bigger roles in risk management. Good news — passing the FRM® is 100% doable with the right strategy.
Just keep in mind that many candidates underestimate the exam difficulty and end up retaking one or both parts. You don’t have to be that person! Use your mock exams, hammer out those FRM® practice questions, and learn risk models like your job depends on it. Because one day soon, it might.
FAQs
The average pass rate for FRM® Part I is 55% as of November 2024, and for Part II it’s 52%.
Most FRM® candidates spend between 275 and 300 hours per part. If there’s a steep learning curve, don’t be afraid to take more time.
The FRM® requires applying theory to real-world scenarios, not just memorization. Topics like market risk measurement and operational risk management demand some serious focus.
Both Part I and Part II include 100 multiple-choice questions, testing your understanding of risk measurement, credit risk, and financial risk.
Using a structured study plan, working through mock exams, and focusing on high-quality study materials will raise your chances of passing the FRM® exam on your first try.
