SII Diploma in Investment Compliance

Modules

The SII Diploma in Investment Compliance is broken down into three modules.  You must pass the exams for all three modules to complete this qualification.

• Module 1 - Introduction to Securities & Investment

  The aim of this module is to provide individuals looking for a career in the financial services industry with an understanding of the breadth of the industry, the regulatory framework, how the industry functions and the basics of the various financial instruments.
  
  The subject matter is broken down into various chapters, the first of which looks at an overall introduction to financial services and the economic environment. The material then goes into more detail about different asset classes in particular distinguishing the features between equity (shares) and debt (bonds). It then proceeds to look at a series of financial products (such as loans and mortgages), derivatives (such as futures and options), pooled investment funds (such as unit trusts) and investment wrappers (such as ISA's). We then conclude with a basic review of both financial services regulation and an examination of the taxation and trust system in the UK.

• Module 2 - FSA Financial Regulation

  This module considers the regulatory environment in the UK and the background that led to the creation of the Financial Services Authority (FSA) as the sole regulator. The role of the FSA is considered as well as the content of the FSA Handbook. The material also looks at the detail of The Financial Services and Markets Act 2000 (FSMA), defining regulated activities and specified investments, the authorisation process for firms and the approval process for individuals performing controlled functions.
  
  Thereafter, we consider other sources of regulation including measures designed to prevent financial crime as well as considering a number of European Union (EU) Directives, with special emphasis on the Markets in Financial Instruments Directive (MiFID).
  
  The next part of the module is extremely important since it considers the FSA’s Conduct of Business Rules (COBS) and Client Assets Rules. MiFID has had a dramatic impact on these rules and this underlines the fact that regulation is increasingly being determined at the European level.

• Module 3 - Regulation and Compliance

  To provide delegates with an understanding of the legal, regulatory and ethical framework of the UK financial services industry. The module covers the FSA handbook of rules and guidance, the regulatory framework surrounding the disclosure of substantial holdings of shares, takeovers, insider dealing, money laundering and the regulation of markets and exchanges.