CISI UK Regulations Exam - Mock Exam
CISI UK REGULATIONS EXAM - MOCK EXAM INCLUDES ACCURATE AND
VERIFIED QUESTIONS COVERING REGULATORY FRAMEWORKS IN THE
UK FINANCIAL SERVICES INDUSTRY. TOPICS INCLUDE THE ROLE OF
THE FINANCIAL CONDUCT AUTHORITY (FCA), ANTI-MONEY
LAUNDERING (AML), CLIENT ASSET RULES (CASS), CONDUCT OF
BUSINESS AND ETHICAL STANDARDS
The main aim of the UK Investment Firms Prudential Regime (UK IFPR) is?
To focus the prudential requirements on the risks that the firm faces and considers
To focus the prudential requirements on the risks that the firm can pose to
consumers and markets
To focus the prudential requirements on the reputational risks that the firm may
To focus the prudential requirements on the risks that the firm presents to their
depositors
To focus the prudential requirements on the risks that the firm can pose to
consumers and markets
The approach under the IFPR is to consider the harm an FCA investment firm can
cause to others based on the activities that they carry out, and that the amount of
capital and liquid assets they hold is sufficient to undertake an orderly wind down.
Which of the following activities must be performed by an approved person?
Recruitment and training
Supervising other employees
Acting as a non-executive director
Working in compliance
A non-executive director is a governing function and so requires specific approval.
1|Page
, CISI UK Regulations Exam - Mock Exam
Which of the following is not part of the definition of terrorist activity in the
Terrorism Act 2000?
Action to intimidate the public.
Action to intimidate a government.
Action to advance a religious cause.
Action to advance a social cause.
Social cause. The rest are listed word for word in the Act.
Which of the following per se professional clients cannot be an elective eligible
counterparty?
A supranational
The management group of a pension fund
A company with turnover of €50m and own funds of €5m
An institutional investor
An institutional investor cannot be an elective eligible counterparty.
Following the UK's exit from the EU, Temporary Transitional Powers' (TTP) were
granted to UK branches of EU firms, or those looking to set up a branch in the UK
until 31 March 2022. This enabled firms to prepare to be fully compliant with the
UK regime from 1 April 2022.
However, the regulator still expected those firms to be compliant with all of the
following, EXCEPT?
Market making exemption under the short selling rules
Securities Financing Transaction Regulation (SFTR) reporting
Commodity derivatives
Money laundering internal reporting procedures for suspicious transactions
Money laundering internal reporting procedures for suspicious transactions.
2|Page
, CISI UK Regulations Exam - Mock Exam
Money laundering procedures for suspicious transaction reporting is covered
under different legislation, and is not part of the TTP.
Who is responsible for the approval of a mail shot sent by an appointed
representative?
The FCA
The appointed representative
The firm
There is no requirement to approve a mail shot
The firm is responsible for its representatives.
The general information about a firm that the Conduct of Business rules require to
be provided to the retail clients does not include:
Name, address and contact details
Details of the Financial Ombudsman Service
Details of the competent authority
Nature, frequency and timing of performance reports
FOS. This is not part of 'information about the firm' in the Conduct of Business
rules.
The following are valid regulatory tools of supervision, EXCEPT?
Identify
Remedy
Diagnose
Discipline
Discipline.
The regulators have a range of supervisory tools available to them that can be
3|Page
CISI UK REGULATIONS EXAM - MOCK EXAM INCLUDES ACCURATE AND
VERIFIED QUESTIONS COVERING REGULATORY FRAMEWORKS IN THE
UK FINANCIAL SERVICES INDUSTRY. TOPICS INCLUDE THE ROLE OF
THE FINANCIAL CONDUCT AUTHORITY (FCA), ANTI-MONEY
LAUNDERING (AML), CLIENT ASSET RULES (CASS), CONDUCT OF
BUSINESS AND ETHICAL STANDARDS
The main aim of the UK Investment Firms Prudential Regime (UK IFPR) is?
To focus the prudential requirements on the risks that the firm faces and considers
To focus the prudential requirements on the risks that the firm can pose to
consumers and markets
To focus the prudential requirements on the reputational risks that the firm may
To focus the prudential requirements on the risks that the firm presents to their
depositors
To focus the prudential requirements on the risks that the firm can pose to
consumers and markets
The approach under the IFPR is to consider the harm an FCA investment firm can
cause to others based on the activities that they carry out, and that the amount of
capital and liquid assets they hold is sufficient to undertake an orderly wind down.
Which of the following activities must be performed by an approved person?
Recruitment and training
Supervising other employees
Acting as a non-executive director
Working in compliance
A non-executive director is a governing function and so requires specific approval.
1|Page
, CISI UK Regulations Exam - Mock Exam
Which of the following is not part of the definition of terrorist activity in the
Terrorism Act 2000?
Action to intimidate the public.
Action to intimidate a government.
Action to advance a religious cause.
Action to advance a social cause.
Social cause. The rest are listed word for word in the Act.
Which of the following per se professional clients cannot be an elective eligible
counterparty?
A supranational
The management group of a pension fund
A company with turnover of €50m and own funds of €5m
An institutional investor
An institutional investor cannot be an elective eligible counterparty.
Following the UK's exit from the EU, Temporary Transitional Powers' (TTP) were
granted to UK branches of EU firms, or those looking to set up a branch in the UK
until 31 March 2022. This enabled firms to prepare to be fully compliant with the
UK regime from 1 April 2022.
However, the regulator still expected those firms to be compliant with all of the
following, EXCEPT?
Market making exemption under the short selling rules
Securities Financing Transaction Regulation (SFTR) reporting
Commodity derivatives
Money laundering internal reporting procedures for suspicious transactions
Money laundering internal reporting procedures for suspicious transactions.
2|Page
, CISI UK Regulations Exam - Mock Exam
Money laundering procedures for suspicious transaction reporting is covered
under different legislation, and is not part of the TTP.
Who is responsible for the approval of a mail shot sent by an appointed
representative?
The FCA
The appointed representative
The firm
There is no requirement to approve a mail shot
The firm is responsible for its representatives.
The general information about a firm that the Conduct of Business rules require to
be provided to the retail clients does not include:
Name, address and contact details
Details of the Financial Ombudsman Service
Details of the competent authority
Nature, frequency and timing of performance reports
FOS. This is not part of 'information about the firm' in the Conduct of Business
rules.
The following are valid regulatory tools of supervision, EXCEPT?
Identify
Remedy
Diagnose
Discipline
Discipline.
The regulators have a range of supervisory tools available to them that can be
3|Page
