CISI Regulations Exam - Mock Exam
Compilation 2026 Questions and Answers
The FCA will notify an individual that they are subject to an investigation using
which of the following methods?
Letter to the individual's firm
Personal notice to the individual in writing
Telephone call
Personal notice to the individual by fax - Correct answer-Personal notice to the
individual in writing - durable medium
Where a communication by a firm contains an indication of the possible future
performance of a product, which of the following cannot be included?
The effects of commissions, fees or other charges.
The reasonable assumptions on which the performance is based.
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,A reference to the basis of the forecast being simulated past performance.
A warning that forecasts are not reliable indicators of future performance. - Correct
answer-Future performance estimates cannot be based on simulated past
performance.
Under the Terrorism Act 2000, when specifically should a suspicion of terrorist
activities be reported?
Without delay
Within 5 business days
By the next business day
As soon as reasonably practicable - Correct answer-The wording of the Terrorism
Act is 'as soon as reasonably practicable'.
When does the FCA publish details of a prohibition order?
After issuing a final notice
After issuing a warning
Once the FCA has notified the individual concerned and the firm
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,Once the FCA has notified the individual concerned - Correct answer-FCA
penalties are effective once a final decision notice has been issued. Publication
takes place at that point.
After issuing a final notice
For how long must records relating to pension transfers be kept?
Six years
Five years
Three years
Indefinitely - Correct answer-Indefinitely (1 Mark)
Which of the following is not a 'disciplinary sanction'?
Financial penalty
Public censure
Statement of misconduct
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, Withdrawal of approval - Correct answer-Withdrawal of approval will be used
when an individual is not fit and proper, and is a 'protective' or 'remedial' sanction.
Which of the following will constitute money laundering?
Ramping prices
Disseminating false rumours about a company
Passing on price sensitive information used for dealing
Entering into a number of transactions to hide the source of money - Correct
answer-Option one and two are market abuse. Option three is insider dealing (or
market abuse). Option four is money laundering.
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
©COPYRIGHT 2025, ALL RIGHTS RESERVED 4
Compilation 2026 Questions and Answers
The FCA will notify an individual that they are subject to an investigation using
which of the following methods?
Letter to the individual's firm
Personal notice to the individual in writing
Telephone call
Personal notice to the individual by fax - Correct answer-Personal notice to the
individual in writing - durable medium
Where a communication by a firm contains an indication of the possible future
performance of a product, which of the following cannot be included?
The effects of commissions, fees or other charges.
The reasonable assumptions on which the performance is based.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,A reference to the basis of the forecast being simulated past performance.
A warning that forecasts are not reliable indicators of future performance. - Correct
answer-Future performance estimates cannot be based on simulated past
performance.
Under the Terrorism Act 2000, when specifically should a suspicion of terrorist
activities be reported?
Without delay
Within 5 business days
By the next business day
As soon as reasonably practicable - Correct answer-The wording of the Terrorism
Act is 'as soon as reasonably practicable'.
When does the FCA publish details of a prohibition order?
After issuing a final notice
After issuing a warning
Once the FCA has notified the individual concerned and the firm
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
,Once the FCA has notified the individual concerned - Correct answer-FCA
penalties are effective once a final decision notice has been issued. Publication
takes place at that point.
After issuing a final notice
For how long must records relating to pension transfers be kept?
Six years
Five years
Three years
Indefinitely - Correct answer-Indefinitely (1 Mark)
Which of the following is not a 'disciplinary sanction'?
Financial penalty
Public censure
Statement of misconduct
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
, Withdrawal of approval - Correct answer-Withdrawal of approval will be used
when an individual is not fit and proper, and is a 'protective' or 'remedial' sanction.
Which of the following will constitute money laundering?
Ramping prices
Disseminating false rumours about a company
Passing on price sensitive information used for dealing
Entering into a number of transactions to hide the source of money - Correct
answer-Option one and two are market abuse. Option three is insider dealing (or
market abuse). Option four is money laundering.
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
©COPYRIGHT 2025, ALL RIGHTS RESERVED 4
