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CISI UK Financial Regulations (Regs) Mock
Exam 2025 — Practice Test Questions, Study
Guide, and Exam Preparation
Ace your CISI UK Financial Regulations (Regs) Exam 2025 with this realistic mock exam,
study guide, and practice test questions. Learn key UK financial laws, FCA regulations,
compliance standards, and ethical principles to prepare effectively for your CISI certification
exam and succeed in the financial services industry.
CISI UK Financial Regulations mock exam 2025
• CISI Regs exam practice test
• CISI UK Financial Regulations study guide
• CISI Regs exam questions and answers
Which of the following is a key difference between terrorist funds and other money laundering
activities?
Unusual trading pattern
Involves a transaction
Large sum
Legitimate source - ANSWER-By definition, money laundering involves the proceeds of crime. Legitimate
funds may be used to fund terrorist activities.
Legitimate Source
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When the RDC issues a final notice, it will not contain:
Other information deemed to be relevant
Notice of the recipient's right to appeal
The date the notice becomes effective
Details of any sanctions imposed by the FCA - ANSWER-The right to appeal ceases upon the issue of a
final notice.
In terms of conduct risk, which of the following is NOT one of the FCA's three areas of focus for
consumer-facing work?
Reducing and preventing serious harm
Setting and testing higher standards
Delivering profitability in a digital age
Promoting competition and positive change - ANSWER-Delivering profitability in a digital age is NOT one
of the FCA's areas of focus.
If a per se professional client requests to be categorised as a retail client for extra protection, the firm:
Must allow the recategorisation of the client, but only once the client has signed a risk warning.
Must allow recategorisation, but only once the client has entered into a written recategorisation
agreement.
May recategorise without notifying the client.
May refuse to recategorise. - ANSWER-Must allow recategorisation, but only once the client has entered
into a written recategorisation agreement.
If the criteria for a concert party are met under the UKLA's Disclosure and Transparency rules, an
obligation to notify the company occurs at a collective holding of?
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1%
3%
15%
30% - ANSWER-3% is deemed to be a significant stake.
Which of the following may be issued by the RDC instead of a warning notice?
Disciplinary notice
Notice of discontinuance
Final decision notice
Decision notice - ANSWER-The most obvious answer would have been a supervisory notice, but it is not
an available choice. The only other sensible option is therefore a notice of discontinuance, which can be
issued at any point during the investigatory process if the RDC feels there is no need to continue an
investigation.
How long is a MiFID firm required to keep records of employee's training and competence?
Seven years
Five years
Three years
One year - ANSWER-The basic record keeping requirement for MiFID business is five years.
For an authorised firm to assess the suitability of a transaction for an elective professional client, the
firm must consider:
Investment knowledge and experience, financial situation and investment objectives.
Investment objectives and investment knowledge and experience.
Investment objectives and financial situation.
CISI UK Financial Regulations (Regs) Mock
Exam 2025 — Practice Test Questions, Study
Guide, and Exam Preparation
Ace your CISI UK Financial Regulations (Regs) Exam 2025 with this realistic mock exam,
study guide, and practice test questions. Learn key UK financial laws, FCA regulations,
compliance standards, and ethical principles to prepare effectively for your CISI certification
exam and succeed in the financial services industry.
CISI UK Financial Regulations mock exam 2025
• CISI Regs exam practice test
• CISI UK Financial Regulations study guide
• CISI Regs exam questions and answers
Which of the following is a key difference between terrorist funds and other money laundering
activities?
Unusual trading pattern
Involves a transaction
Large sum
Legitimate source - ANSWER-By definition, money laundering involves the proceeds of crime. Legitimate
funds may be used to fund terrorist activities.
Legitimate Source
,2|Page
When the RDC issues a final notice, it will not contain:
Other information deemed to be relevant
Notice of the recipient's right to appeal
The date the notice becomes effective
Details of any sanctions imposed by the FCA - ANSWER-The right to appeal ceases upon the issue of a
final notice.
In terms of conduct risk, which of the following is NOT one of the FCA's three areas of focus for
consumer-facing work?
Reducing and preventing serious harm
Setting and testing higher standards
Delivering profitability in a digital age
Promoting competition and positive change - ANSWER-Delivering profitability in a digital age is NOT one
of the FCA's areas of focus.
If a per se professional client requests to be categorised as a retail client for extra protection, the firm:
Must allow the recategorisation of the client, but only once the client has signed a risk warning.
Must allow recategorisation, but only once the client has entered into a written recategorisation
agreement.
May recategorise without notifying the client.
May refuse to recategorise. - ANSWER-Must allow recategorisation, but only once the client has entered
into a written recategorisation agreement.
If the criteria for a concert party are met under the UKLA's Disclosure and Transparency rules, an
obligation to notify the company occurs at a collective holding of?
, 3|Page
1%
3%
15%
30% - ANSWER-3% is deemed to be a significant stake.
Which of the following may be issued by the RDC instead of a warning notice?
Disciplinary notice
Notice of discontinuance
Final decision notice
Decision notice - ANSWER-The most obvious answer would have been a supervisory notice, but it is not
an available choice. The only other sensible option is therefore a notice of discontinuance, which can be
issued at any point during the investigatory process if the RDC feels there is no need to continue an
investigation.
How long is a MiFID firm required to keep records of employee's training and competence?
Seven years
Five years
Three years
One year - ANSWER-The basic record keeping requirement for MiFID business is five years.
For an authorised firm to assess the suitability of a transaction for an elective professional client, the
firm must consider:
Investment knowledge and experience, financial situation and investment objectives.
Investment objectives and investment knowledge and experience.
Investment objectives and financial situation.
