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PMI PfMP Exam
Portfolio Management Professional (Page 16 )

Updated On: 9-Feb-2026
Page 16 of 100
PDF with 494 Questions

You have a portfolio component that is using earned value analysis. It is at the 15% point of completion, and it is evident that it cannot be completed as planned. Adding resources will not solve the problem, and at the last Portfolio Review Board meeting, the Board members decided to terminate this component based on its various risks. They then decided the resources allocated to this component could be transferred to other portfolio components enhancing their early completion and avoiding risks from competitors. As the portfolio manager, you:

  1. Worked with the component managers to ease the transition
  2. Documented these decisions in portfolio reports
  3. Set up both quantitative and qualitative metrics to determine the usefulness of adding resources to the other components
  4. Met with the affected component managers and their teams to explain these changes

Answer(s): B



Portfolio managers tend to use the efficient frontier analysis as a modeling approach that gives decision makers the analytical tool to optimize portfolios given resource constraints such as risk. Consider that your company is risk-averse, on which side of the efficient frontier curve should the undertaken portfolios lie?

  1. Below the curve
  2. Along the lower bounds of the curve
  3. Above the curve
  4. Along the upper bounds of the curve

Answer(s): B



A number of components proposals are on the table as a result of the strategic planning cycle. While defining the portfolio, you wanted to make a preliminary screening of the proposed components in order to filter them based on the acceptance criteria. Which of the following techniques you use?

  1. Weighted ranking and scoring
  2. Categorization technique
  3. Portfolio Component Inventory
  4. Prioritization

Answer(s): C



A portfolio manager needs to continuously balance the need and requirements with the available resources and needs to maintain a balanced portfolio and portfolio resources in order to optimize delivery. Capability and Capacity analysis is performed in 4 of the portfolio management processes and it serves a slightly different purpose in each and every one of them. When it relates to developing the performance management plan, what is the purpose of using this analysis?

  1. Performed to understand the human, financial, and asset capacity and capability of the organization in order to select, fund, and execute portfolio components
  2. To study the capability of resources, match them against the portfolio's objectives and goals, and translate the capability into what capacity is possible to meet the portfolio demands
  3. To understand how much work is able to be performed based on the resources available (capacity), as well as the ability of the organization to source and execute the selected portfolio
  4. It enables the organization to achieve maximum portfolio benefits given current resource constraints

Answer(s): A



You are managing a complex portfolio with high risk levels due to emerging technological breakthroughs and a short benefit window to market your product. You know that managing risk is key to success and you are coaching your team on the same. You are currently in the process of identifying and analyzing risk, in addition to developing risk responses and monitoring and controlling risk. Which documents can help you achieve this?

  1. Portfolio Management Plan, Organizational Process Assets, Portfolio Reports, Enterprise Environmental Factors
  2. Portfolio Management Plan, Organizational Process Assets, Portfolio Process Assets, Portfolio
  3. Portfolio Management Plan, Organizational Process Assets, Portfolio Process Assets, Enterprise Environmental Factors, Portfolio, Portfolio Reports
  4. Portfolio Management Plan, Portfolio, Portfolio Reports, Enterprise Environmental Factors

Answer(s): C






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