CII R01 Exam (Recent exam) Fully solved & updated 2026 Most
COMPLETE (2026) (Latest Update 2026) UPDATE!!
Financial Services and Markets Act 2000 (FSMA) - (answer)- Brought together the regulation of all
sectors of the UK financial services industry under one regulatory system - the FSA
Introduced FOS and FSCS
set out the rules for all regulated activities when dealing with:
• deposit taking
• stocks and shares
• gilts and local authority bonds
• debentures
• futures
• unit trusts
• open-ended investment companies (OEICs)
Financial Services Authority (FSA)
Disbanded - (answer)- In 2013
- Prudential Regulatory Authority (PRA) and Financial Conduct Authority (FCA) formed
- Reforms clarified responsibilities between:
HM Treasury and Bank of England in the event of a financial crisis, Chancellor of the Exchequer directs
the Bank of England where public funds are at risk to financial stability.
Financial Policy Committee (FPC) - (answer)- Committee within the Bank of England allows:
1. scrutiny towards emerging risks to the financial system as a whole
2. Powers to take action where it identifies threats.
, CII R01 Exam (Recent exam) Fully solved & updated 2026 Most
COMPLETE (2026) (Latest Update 2026) UPDATE!!
Prudential Regulation Authority (PRA) - (answer)- Works with the Bank of England but is independent.
- Responsibility for the prudential supervision and
authorisation of important financial institutions such as banks and firms
- Ensure that individual firms can fail without bringing
down the entire financial system.
- 'judgment based' approach to supervision,
Prudential Regulation Committee (PRC) makes the PRA decisions.
UK regulatory structure - (answer)1. HM Treasury & Parliament
2. The Bank of England: comprising the (PRA), the
F(FPC), and the (PRC)
3. Financial Conduct Authority (FCA)
Memorandum of Understanding - (answer)1998 & 2006
...is a document that outlines of an agreement that two or more parties have reached.
Financial Conduct Authority objectives - (answer)1. Protection for consumers
2. Enhance integrity of financial system
3. Promote effective competition
4. Regulates firms not covered by PRA
5. Competition powers, product intervention, power to enforce disclosure and power to take formal
action
Principles of good regulation - (answer)1. Efficiency and economy
COMPLETE (2026) (Latest Update 2026) UPDATE!!
Financial Services and Markets Act 2000 (FSMA) - (answer)- Brought together the regulation of all
sectors of the UK financial services industry under one regulatory system - the FSA
Introduced FOS and FSCS
set out the rules for all regulated activities when dealing with:
• deposit taking
• stocks and shares
• gilts and local authority bonds
• debentures
• futures
• unit trusts
• open-ended investment companies (OEICs)
Financial Services Authority (FSA)
Disbanded - (answer)- In 2013
- Prudential Regulatory Authority (PRA) and Financial Conduct Authority (FCA) formed
- Reforms clarified responsibilities between:
HM Treasury and Bank of England in the event of a financial crisis, Chancellor of the Exchequer directs
the Bank of England where public funds are at risk to financial stability.
Financial Policy Committee (FPC) - (answer)- Committee within the Bank of England allows:
1. scrutiny towards emerging risks to the financial system as a whole
2. Powers to take action where it identifies threats.
, CII R01 Exam (Recent exam) Fully solved & updated 2026 Most
COMPLETE (2026) (Latest Update 2026) UPDATE!!
Prudential Regulation Authority (PRA) - (answer)- Works with the Bank of England but is independent.
- Responsibility for the prudential supervision and
authorisation of important financial institutions such as banks and firms
- Ensure that individual firms can fail without bringing
down the entire financial system.
- 'judgment based' approach to supervision,
Prudential Regulation Committee (PRC) makes the PRA decisions.
UK regulatory structure - (answer)1. HM Treasury & Parliament
2. The Bank of England: comprising the (PRA), the
F(FPC), and the (PRC)
3. Financial Conduct Authority (FCA)
Memorandum of Understanding - (answer)1998 & 2006
...is a document that outlines of an agreement that two or more parties have reached.
Financial Conduct Authority objectives - (answer)1. Protection for consumers
2. Enhance integrity of financial system
3. Promote effective competition
4. Regulates firms not covered by PRA
5. Competition powers, product intervention, power to enforce disclosure and power to take formal
action
Principles of good regulation - (answer)1. Efficiency and economy
