BICA Qualification study guide
BICA Qualification · Work through your exam, one topic at a time.
The BICA Qualification is a professional certification for people working in client-facing financial services roles, particularly those whose day-to-day work involves advising clients, handling accounts, or supervising staff who do. It is designed to test whether a candidate can apply practical judgement across the full arc of a client relationship rather than recall isolated facts. The BICA Qualification study guide has 6 sections and about 2,065 words.
01Professional Ethics, Conduct, and Regulatory Compliance
Candidates must know the difference between principles-based duties and rules-based obligations. Core concepts: integrity, fair dealing, conflicts of interest, best execution, suitability, client confidentiality, market abuse (insider dealing and market manipulation), anti-money laundering reporting duties, and the regulator's powers (registration, supervision, enforcement, sanctions).
356 words, about 2 min02Client Onboarding, Identification, and Due Diligence
Onboarding is a controlled process: collect, verify, risk-rate, approve, then activate. Candidates must understand customer due diligence (CDD), simplified and enhanced due diligence (EDD), beneficial ownership identification, politically exposed person (PEP) screening, sanctions and adverse media screening, source of funds and source of wealth, and record retention of identification evidence.
372 words, about 2 min03Financial Products, Markets, and Investment Fundamentals
Candidates must know the main asset classes (cash, fixed income, equities, property, alternatives), the difference between debt and equity, and the risk-return relationship. Understand the characteristics of collective investment schemes, exchange-traded funds, derivatives, structured products, and insurance-wrapped products, including their liquidity, cost, and counterparty features.
347 words, about 2 min04Client Advisory, Risk Assessment, and Portfolio Planning
Suitability rests on documented facts: objectives, time horizon, liquidity needs, financial circumstances, existing holdings, tax position, and risk tolerance. Candidates must distinguish risk tolerance (willingness), risk capacity (ability to bear loss), and risk required (return needed to meet goals).
343 words, about 2 min05Operations, Transactions, and Record Keeping
Candidates must understand the flow: order capture, pre-trade checks, execution, confirmation, settlement, reconciliation, and record retention. Key concepts include settlement cycles, trade date versus settlement date, counterparty and settlement risk, custody and segregation of client assets, corporate actions, fees and charges, complaints handling, and audit trails.
335 words, about 2 min06Risk Management, Fraud Prevention, and Data Protection
Candidates must understand the risk management cycle: identify, assess, control, monitor, and report. Know the main categories: credit, market, liquidity, operational, conduct, reputational, and information security risk.
312 words, about 2 min