KNDI Licensing study guide
KNDI Licensing · Work through your exam, one topic at a time.
The KNDI Licensing credential is a professional licensing examination for individuals seeking to work in a regulated financial-services capacity under the KNDI framework. It is intended for candidates entering or advancing within compliance, advisory, operations, or governance roles at licensed firms, and for staff whose duties touch client money, client onboarding, or regulatory reporting. The KNDI Licensing study guide has 7 sections and about 1,902 words.
01Regulatory Framework and Licensing Requirements
This domain tests whether you can identify when an activity needs a licence, which instrument governs it, and what conditions attach to authorisation. Questions target the statutory perimeter, excluded activities, application evidence, fit-and-proper assessment, and post-authorisation obligations.
309 words, about 2 min02Corporate Governance and Organizational Structure
This domain tests board accountability, independence, committee design, senior-management responsibility, the three lines of defence, segregation of duties, outsourcing oversight and change-in-control governance. The board carries ultimate responsibility for strategy, risk appetite and control culture; it cannot delegate that accountability to management.
281 words, about 1 min03Financial Requirements and Capital Adequacy
This domain tests minimum capital, eligible capital tiers, risk-weighted assets, buffers, liquidity, leverage, recovery planning and breach notification. Capital is ranked by loss-absorbing quality.
265 words, about 1 min04Conduct of Business and Market Practices
This domain tests client categorisation, suitability and appropriateness, disclosure, conflicts of interest, best execution, financial promotions and market-abuse controls. Clients are typically categorised as retail, professional or eligible counterparty.
270 words, about 1 min05Client Asset Protection and Safeguarding
This domain tests segregation, client-money calculation, reconciliation, trust status, bank due diligence, shortfall handling, insolvency remoteness and restrictions on rehypothecation. Client money must be segregated from firm money and held in designated accounts.
248 words, about 1 min06Anti-Money Laundering and Counter-Terrorist Financing
This domain tests the risk-based approach, customer due diligence, beneficial ownership, enhanced due diligence, politically exposed persons, ongoing monitoring, suspicious transaction reporting and recordkeeping. The risk-based approach tailors controls to the assessed money-laundering and terrorist-financing risk of the customer, product, channel and geography.
257 words, about 1 min07Reporting, Disclosure, and Recordkeeping
This domain tests periodic regulatory returns, ad hoc notifications, client disclosure, financial reporting, record retention, data integrity, audit trails and breach reporting. Periodic returns must be accurate, complete and submitted by the deadline.
272 words, about 1 min