Financial Risk Manager Salary: What Can You Earn With the FRM Designation?

The FRM^® designation sets you up well for growth in your career as a finance professional. But what kind of salary can you earn? According to the Bureau of Labor Statistics, the annual salary for a financial risk specialist is anywhere from $61,090 to $184,330.

However, how much you might earn as a financial risk manager varies by which state you plan to live in while working in this position. For example, financial risk specialists living and working in New York, Illinois, and Washington earn more on average than financial risk specialists in Kentucky, Kansas, or Louisiana according to the Bureau of Labor Statistics. 

Risk Analyst

Risk analysts use analytical skills and knowledge of international business and currency markets to examine investment portfolios and analyze the risk involved.

Market Risk Analyst

Market risk analysts, also known as market risk managers, use their knowledge of an industry or sector to research market trends and provide companies or investors with a comprehensive market assessment.

Regulatory Risk Analyst

Regulatory risk analysts study new and proposed laws and regulations to determine how they will apply to their firms and research the impact similar laws have on businesses in other regions, states, or countries. They model various possibilities and recommend or develop ways to ensure compliance.

Risk Manager

Risk managers help a business identify and assess potential risks that could affect them in the future. Many are responsible for analyzing investment approaches, including asset allocation, hedge funds, and fixed income.

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Credit Risk Manager

Credit risk managers develop and implement policies and procedures that reduce credit risk for a financial institution and manage the process of building financial models that predict credit risk exposure to the organization. Many employers require credit risk managers to earn the FRM designation.

Operational Risk Manager

Operational risk managers investigate the way an organization or business is run, look at the big picture, and fix or prepare for anything that might harm the company in the future. The goal is to mitigate as much risk as possible and offset financial losses.

Chief Risk Officer

An FRM designation will not necessarily land you in the C-suite. However, there are risk professionals with the FRM certification who have worked their way up to this level. These executives assess and mitigate significant competitive, regulatory, and technological threats to a company’s capital and earnings at the senior executive level. Because they are executives, the way they are compensated can differ from company to company.

Interested in Earning the FRM Designation?

Although earning the FRM designation does not guarantee you a higher salary, it can help. Passing the exam is your first step in earning the FRM designation, and our FRM exam study packages can help you prepare for FRM exams.