Top 10 Risk Analyst Certifications

Certifications are important for a risk analyst in the job market because they demonstrate to employers that an individual has the necessary knowledge, skills, and abilities to perform the job effectively. Certifications also provide evidence of an individual’s commitment to professional development, which can be a valuable asset in a competitive job market. Additionally, some certifications may be required for certain positions or for access to specific resources or networks.

The purpose of this article is to provide an overview of the top certifications for Risk Analysts and explain how they can help further a risk analyst's career.

What are Risk Analyst Certifications?

Risk analyst certification is a professional credential that demonstrates an individual's knowledge and expertise in risk analysis. It is typically awarded by organizations or associations that specialize in risk management, such as the Global Association of Risk Professionals (GARP). Risk analyst certification indicates to employers that the individual has a comprehensive understanding of risk analysis concepts and principles, along with the ability to apply them to real-world situations.

Having a risk analyst certification can be beneficial for individuals seeking jobs in the field of risk management. Employers are more likely to hire someone who has demonstrated a commitment to their profession through obtaining a formal certification. The certification also shows that the individual has taken initiative to stay up-to-date on industry trends and best practices, making them more desirable for potential employers. Additionally, having a certified risk analyst on staff can give employers peace of mind knowing that their organization is taking proactive steps toward managing potential risks.

Pro Tip: When pursuing a risk analyst certification, make sure to take the time to research and understand the different certifications available. Each certification has its own set of requirements and standards, so be sure to choose one that best suits your career goals. Additionally, ensure you are familiar with the topics covered in each certification exam before taking it.

Related: What does a Risk Analyst do?

Top 10 Risk Analyst Certifications

Here’s our list of the best certifications available to Risk Analysts today.

1. Chartered Financial Risk Manager (CFRM)

Chartered Financial Risk Manager (CFRM) is a professional certification for financial professionals who specialize in risk management. It is offered by the Global Association of Risk Professionals (GARP). The CFRM certification is designed to equip financial professionals with the knowledge and skills necessary to identify, measure, monitor, and manage financial risks.

The CFRM program consists of two parts: a study course and an examination. The study course consists of six modules that cover topics such as credit risk, market risk, operational risk, liquidity risk, interest rate risk, and derivatives. The exam consists of 150 multiple-choice questions and must be completed within three hours.

To become a Chartered Financial Risk Manager (CFRM), candidates must have at least five years of relevant work experience in the field of finance or risk management. Candidates must also pass the CFRM exam with a score of 70% or higher.

The cost to take the CFRM exam is $495 USD for GARP members and $595 USD for non-members.

2. Certified Risk Management Professional (CRMP)

Certified Risk Management Professional (CRMP) is a professional certification offered by the Institute of Risk Management (IRM). The CRMP designation is designed to recognize professionals who have demonstrated knowledge and experience in risk management, including the ability to identify, analyze, evaluate, and respond to risk.

To become a Certified Risk Management Professional (CRMP), you must complete the following steps:

1. Complete an approved IRM training program or equivalent.

2. Pass the CRMP examination with a score of 70% or higher.

3. Submit an application for certification and pay the associated fee.

4. Provide evidence of professional experience in risk management or related fields for at least two years prior to application submission.

The process typically takes between 6-12 months depending on your level of preparation and availability of study materials. The cost of obtaining the CRMP certification depends on a variety of factors such as location, course provider, and other requirements such as exam fees and membership fees. Generally speaking, the cost can range from $2,000 - $5,000 USD including all fees associated with obtaining the certification.

3. Professional Risk Manager (PRM)

Professional Risk Manager (PRM) is a certification program offered by the Professional Risk Managers’ International Association (PRMIA). The PRM designation is a professional credential that recognizes an individual’s knowledge and experience in risk management. It is designed to provide a comprehensive understanding of risk management principles and practices, as well as the tools and techniques used in successful risk management.

The PRM certification program consists of three levels: Associate, Professional and Expert. Each level requires passing an exam, which covers topics such as financial markets, quantitative methods, legal aspects of risk management, enterprise risk management and more. The exams are administered by Prometric Testing Centers worldwide.

It typically takes between six months to two years to complete all three levels of the PRM certification program depending on how much time you can commit to studying for the exams.

To get started with the PRM certification program, you must first become a member of PRMIA and pay the associated membership fee ($95 USD for individuals). Once you have become a member, you can register for your desired level of the exam through Prometric Testing Centers. You will need to pay an additional fee for each exam (the cost varies by country).

In total, it can cost anywhere from $285-$1125 USD to obtain your PRM designation depending on where you take your exams and which level you are pursuing.

4. Financial Risk Manager (FRM)

Financial Risk Manager (FRM) is a professional certification offered by the Global Association of Risk Professionals (GARP). It is designed to recognize and promote excellence in risk management. The FRM designation is the most widely recognized and respected credential for financial risk managers.

The FRM program consists of two rigorous exams, each containing 100 multiple-choice questions. The first exam covers foundational topics such as economics, quantitative analysis, financial markets and products, and fundamentals of risk management. The second exam focuses on advanced topics such as credit risk, operational risk, market risk, investment management and derivatives. Candidates must pass both exams within four years in order to earn their FRM designation.

In order to become an FRM candidate, you must meet certain eligibility criteria. This includes having a bachelor’s degree from an accredited college or university or equivalent work experience in a related field such as finance or economics. You must also have at least two years of professional experience in the financial services industry or related field.

It typically takes about six months to one year to complete the entire FRM program depending on your level of preparation and study time commitment.

The cost for the FRM program varies depending on when you register for it and which payment option you select. The total cost for the full program can range from $1,500 - $2,000 USD including registration fees and study materials.

5. Certified Enterprise Risk Analyst (CERA)

Certified Enterprise Risk Analyst (CERA) is a professional certification offered by the Society of Actuaries (SOA). It is designed to recognize professionals who have achieved a high level of knowledge and expertise in enterprise risk management.

The CERA credential requires individuals to pass three exams, each focusing on different aspects of enterprise risk management. The first exam covers topics such as risk identification and assessment, strategic risk management, and capital allocation. The second exam focuses on quantitative methods for measuring and managing risk, while the third exam covers topics such as governance and financial reporting.

In order to receive the CERA credential, individuals must pass all three exams within five years of their initial application date. In addition, they must also complete a minimum of two years of relevant work experience in enterprise risk management.

The cost for the CERA credential varies depending on the country in which you are taking the exams. Generally speaking, it can range from $1,500-$2,500 USD per exam. This includes registration fees, study materials and any additional costs associated with taking the exams.

Overall, obtaining the CERA credential is an investment that can pay off in terms of increased job opportunities and higher salaries for those who specialize in enterprise risk management.

6. Certified Regulatory Compliance Manager (CRCM)

Certified Regulatory Compliance Manager (CRCM) is a professional certification offered by the Institute of Certified Bankers (ICB), a subsidiary of the American Bankers Association. The CRCM designation is designed to recognize professionals who have demonstrated knowledge in the areas of banking regulations, compliance management, and risk management.

To become certified as a CRCM, applicants must meet certain education and experience requirements and pass an exam administered by ICB. Applicants must have at least three years of experience in regulatory compliance or related fields, such as audit, legal, or risk management. They must also have completed at least 30 hours of continuing education related to banking regulations and compliance within the last five years.

The CRCM exam consists of 200 multiple-choice questions that cover topics such as consumer protection laws, anti-money laundering regulations, fair lending practices, deposit insurance requirements, and more. The exam takes approximately four hours to complete and costs $395 for ICB members ($495 for nonmembers). Once applicants pass the exam, they will receive their official CRCM certificate from ICB.

The cost to maintain the credential includes annual dues of $150 plus an additional fee for any continuing education courses taken during the year. The credential must be renewed every three years by completing 36 hours of approved continuing education credits.

7. Certified Information Systems Auditor (CISA)

Certified Information Systems Auditor (CISA) is a professional certification issued by the Information Systems Audit and Control Association (ISACA). It is designed to recognize professionals who have achieved a level of competence in the area of auditing, control, and security of information systems. CISA is one of the most sought-after credentials for IT professionals working in the field of information systems audit, control, and security.

The CISA certification requires candidates to pass an exam that covers five domains: auditing information systems; governance and management of IT; information systems acquisition, development, and implementation; information systems operations, maintenance, and service management; and protection of information assets. The exam consists of 150 multiple-choice questions and takes four hours to complete.

To become certified as a CISA, you must meet certain eligibility requirements such as having at least five years of experience in IS audit or related fields. You must also agree to adhere to ISACA's Code of Professional Ethics. Additionally, you must pay an application fee before taking the exam.

The cost for taking the CISA exam varies depending on your location but generally ranges from $500-$700 USD. After passing the exam, you must pay an annual membership fee to maintain your certification status which can range from $75-$125 USD depending on your membership type.

8. Project Management Professional in Risk Management (PMP-RM)

Project Management Professional in Risk Management (PMP-RM) is a certification program developed by the Project Management Institute (PMI). It is designed to recognize professionals who have demonstrated expertise in risk management principles and practices. The PMP-RM certification is an advanced level of professional recognition for project managers who have achieved a high level of knowledge and experience in managing risks associated with projects.

The PMP-RM certification requires applicants to pass a four-hour exam that covers topics such as risk identification, assessment, control, communication, and monitoring. To be eligible for the exam, applicants must meet certain prerequisites such as having at least three years of experience leading and directing projects.

The exam can be taken at any authorized testing center or online through the PMI website. The cost of the exam varies depending on the country you are taking it in but typically ranges from $400-$600 USD.

It usually takes between two to three months to complete the application process and receive your certification once you have passed the exam. After passing the exam, you will need to submit an application form along with supporting documents such as proof of education and work experience. Once your application has been approved, you will receive your certificate within six weeks.

9. Certified Credit and Risk Analyst (CCRA)

Certified Credit and Risk Analyst (CCRA) is a professional certification program offered by the Credit Research Foundation (CRF). It is designed to provide credit and risk professionals with the knowledge, skills, and abilities necessary to effectively analyze credit and risk in their organization. The CCRA certification is an internationally recognized credential that demonstrates a commitment to excellence in the field of credit and risk management.

The CCRA certification process consists of two parts: an online exam and a practical assessment. The online exam covers topics such as financial analysis, credit analysis, risk management, and regulatory compliance. The practical assessment includes a case study exercise and a written report. To complete the certification process, applicants must pass both parts of the exam with a score of at least 70%.

It typically takes between four to six months to complete the entire CCRA certification process. In order to get started on your journey towards becoming certified, you will need to register for the exam through CRF's website. After registering for the exam, you will receive access to study materials which will help you prepare for both parts of the exam.

The cost of taking the CCRA certification exam varies depending on where you are located but generally ranges from $250 - $500 USD. This fee does not include any additional costs associated with studying for or taking the exam such as travel expenses or course materials.

10. Chartered Market Technician (CMT)

Chartered Market Technician (CMT) is a professional designation for financial market technicians. It is awarded by the CMT Association, a global non-profit organization that sets standards and provides education in technical analysis. The CMT designation is recognized as the highest level of certification for practitioners of technical analysis in the world.

The CMT program consists of three levels, each requiring the successful completion of an exam. Level I requires knowledge of basic technical analysis concepts, Level II requires knowledge of advanced topics such as risk management and portfolio construction, and Level III requires mastery of all aspects of technical analysis. In order to become a CMT, one must pass all three levels within a five-year period.

In order to get started with the CMT program, you must first register with the CMT Association and pay an annual membership fee. After registering, you can purchase study materials from the association or use third-party resources to prepare for each exam. The cost for each exam varies depending on your membership status; however, it typically ranges from $400 to $600 per exam.

Once you have successfully passed all three levels of exams, you will be awarded with the Chartered Market Technician (CMT) designation from the CMT Association. This process typically takes between two and four years depending on how much time you are able to dedicate to studying for each exam.

Do You Really Need a Risk Analyst Certificate?

The answer to this question depends on your individual career goals. If you are looking to work in the field of risk analysis, then a Risk Analyst Certificate can be beneficial for you. It provides specialized knowledge and skills that can be valuable in the workplace.

A Risk Analyst Certificate will give you an edge over other job applicants when it comes to applying for positions. It also demonstrates your commitment to advancing your career in the field of risk analysis and shows employers that you are serious about taking on challenging roles. The certificate also serves as proof of your knowledge and experience, so it could help you stand out from other applicants who may not have similar qualifications or experience.

However, if you already have a degree or other credentials related to risk analysis, obtaining a Risk Analyst Certificate may not be necessary. Many employers look for candidates with specific degrees or certifications when they are hiring new employees. So if you already possess the necessary background and qualifications, then a certificate may not be necessary in order to get hired.

Ultimately, the decision whether or not to pursue a Risk Analyst Certificate should come down to what is best for your individual career goals. If obtaining certification would help boost your career prospects and make you more competitive as an applicant, then it could be worth considering getting one. However, if having such a certificate does not offer any tangible benefits for your professional development, then it may not be worth pursuing at all.

Related: Risk Analyst Resume Examples

FAQs About Risk Analyst Certifications

1. What is a Risk Analyst Certification?

Answer: A Risk Analyst Certification is a professional credential that demonstrates an individual's knowledge and skills in risk analysis and management. The certification demonstrates that the individual has the necessary knowledge and experience to assess, analyze, mitigate, and manage risks associated with various financial activities.

2. What are the Benefits of Becoming a Certified Risk Analyst?

Answer: Certified Risk Analysts may be better equipped to identify potential risks, evaluate their impact on the organization, develop strategies for mitigating those risks, and monitor their effectiveness. Additionally, certified risk analysts may experience increased career opportunities as well as higher salaries and greater job security due to their specialized knowledge and skillset.

3. What Type of Education or Training Is Required for Risk Analyst Certification?

Answer: Depending on the certifying body, requirements for obtaining risk analyst certification may vary; however most require candidates to have at least a bachelor’s degree in finance or related field along with relevant work experience. Additionally, some certifying bodies may also require candidates to pass an exam or complete a specific training program prior to certification.

4. How Long Does It Take To Earn A Risk Analyst Certification?

Answer: The amount of time it takes to earn a risk analyst certification depends on several factors including the type of certifying body chosen as well as any additional requirements such as passing an exam or completing a specific training program. Generally speaking, it can take anywhere from six months to two years to become fully certified depending on these variables.

5. How Much Does It Cost To Become A Certified Risk Analyst?

Answer: The cost of becoming a certified risk analyst varies depending on the certifying body chosen; however most require payment for application fees, exam fees (if applicable), and any additional materials needed for completion such as textbooks or online courses. Generally speaking costs can range anywhere from $500-$1500 USD depending on these factors.