CISI Global Securities Operations study materials
CISI Global Securities Operations study resources

CISI Global Securities Operations study plan

CISI Global Securities Operations · Give each week a clear focus.

8 weeks · About 7 hours per week

Week 1

Clearing, settlement and the settlement cycle

  • Map the full post-trade lifecycle from execution to final settlement, naming each intermediary and its responsibility in sequence

  • Explain the difference between gross and net settlement, DVP, FOP and free-of-payment delivery, and state which model applies to which market type

  • Describe the standard T+1 and T+2 cycles, the role of the central securities depository and central counterparty, and where fails and buy-ins arise

  • Calculate settlement date, exposure date and cash value date for a set of trade scenarios across two cycles

Your checkpoint

A one-page settlement lifecycle diagram annotated with T+1/T+2 timing, plus 10 settlement-date calculations checked against a model answer

Week 2

Custody, asset servicing and corporate actions

  • Distinguish custody models (global custodian, sub-custodian, direct/CSD participant) and describe the duties owed by each party

  • Classify corporate action event types by mandatory, voluntary and mandatory-with-choice, and state the entitlement and election deadlines for each

  • Trace the asset servicing chain for a dividend: record date, ex-date, entitlement calculation, withholding tax, payment and reconciliation

  • Identify the operational risks in proxy voting, rights issues and takeovers, including the consequences of missing an election deadline

Your checkpoint

A corporate action event matrix covering at least 8 event types with entitlement basis, deadline, cash or stock impact and the operational control that prevents loss

Week 3

Trade execution, confirmation and affirmation

  • Sequence the trade lifecycle from order capture through allocation, confirmation, affirmation and matching to clearing submission, naming the systems and counterparties at each step

  • Compare affirmation, confirmation and matching models (including central matching utilities) and explain how each reduces settlement risk

  • Explain the causes and operational treatment of unmatched, unaffirmed and DK (don't know) trades, including escalation and cancellation procedures

  • Describe straight-through processing benefits and the manual intervention points that break it

Your checkpoint

A written walkthrough of a cross-border equity trade from execution to clearing submission, with every message type, matching step and exception path identified

Week 4

The financial services industry and the securities market environment & Payments, cash management and foreign exchange in securities operations

  • Outline the structure of the financial services industry: buy side, sell side, exchanges, MTFs, CCPs, CSDs, custodians, transfer agents and regulators, and the function of each

  • Explain the role of cash management in securities operations, including nostro/vostro accounts, intraday liquidity and funding of settlement obligations

  • Describe FX transaction types used in securities operations (spot, forward, swap) and how FX is linked to settlement of cross-currency trades

  • Calculate a currency conversion for a securities settlement, including value date alignment and the effect of a mismatched FX value date

Your checkpoint

A market-participant map plus 5 worked FX and funding calculations showing value dates, rates and the settlement cash movement

Week 5

Regulatory and compliance framework for securities operations

  • Summarise the regulatory objectives and supervisory approach of the main securities regulators and the purpose of the standards set by IOSCO and the Basel Committee

  • Explain the core obligations arising from AML, market abuse, client money and asset segregation rules as they affect operations staff

  • Describe reporting and record-keeping duties for trade reporting, transaction reporting and regulatory returns, and the operational controls that support them

  • Distinguish the regulatory treatment of retail, professional and eligible counterparty clients and how classification affects operational handling

Your checkpoint

A regulation-to-control table mapping at least 10 operational controls to the specific regulatory obligation each one satisfies

Week 6

Reconciliation, controls and operational risk management

  • Design a reconciliation framework covering positions, cash, stock and Nostro/Vostro, including frequency, break classification and ageing

  • Explain root-cause analysis for reconciliation breaks and the escalation and write-off approval process

  • Apply the operational risk toolkit: risk and control self-assessment, key risk indicators, incident capture and loss data

  • Describe the three lines of defence model and where operations sits within it

Your checkpoint

A reconciliation and break-management procedure for a stock and cash reconciliation, including break categories, ageing thresholds, escalation path and a sample RCSA entry for one key process

Week 7

Client onboarding, KYC and anti-money laundering in operations

  • Sequence the client onboarding process from initial contact to account opening, naming the documents, checks and approvals at each stage

  • Apply the KYC framework: customer due diligence, enhanced due diligence, simplified due diligence and the treatment of PEPs and high-risk jurisdictions

  • Identify money laundering red flags relevant to securities accounts, including unusual settlement patterns, third-party funding and rapid asset movement

  • Describe the operational workflow for sanctions screening, transaction monitoring alerts and suspicious activity reporting, including tipping-off restrictions

Your checkpoint

An onboarding and KYC checklist for a new corporate client with 15 or more checkpoints, plus a red-flag list of at least 10 indicators tied to securities operations

Week 8

Technology, data and operational resilience & Reconciliation, controls and operational risk management

  • Explain how core operations systems fit together (order management, clearing, settlement, custody, accounting) and the role of messaging standards and reference data

  • Describe operational resilience requirements: impact tolerances, business continuity, disaster recovery testing and third-party dependency management

  • Identify technology and data risks in securities operations, including cyber risk, data quality, access controls and change management

  • Consolidate weak areas from earlier weeks and rehearse exam technique on timed mixed-domain questions

Your checkpoint

A full timed mock exam across all 9 domains with a scored review sheet listing every wrong answer, its domain and the corrective action for each

Milestones

Week 2: Can explain the settlement cycle and the full custody and corporate action chain from memory, and score 80% or higher on a 20-question settlement and asset servicing quiz

Week 4: Can walk through a trade from execution to settlement submission and complete all 5 FX and funding calculations correctly without notes

Week 6: Can map 10 operational controls to their regulatory obligations and describe the reconciliation and RCSA process end to end; scored review of weeks 1-5 topics shows no domain below 70%

Week 8: Timed mock exam completed across all 9 domains with a score of 75% or higher and every incorrect answer logged with a corrective action