Introduction
In the financial services sector, professional exams are more than a personal milestone. They help staff to develop the knowledge and skills needed to deliver high-quality advice, while also staying on top of regulatory requirements. For firms operating in a regulated environment, investing in staff development is not simply a matter of employee engagement; it is a strategic imperative that underpins business performance, client outcomes, and long-term sustainability. This article draws on recent survey data and sector research to explore why individuals commit to professional exams, the tangible benefits for businesses, and how firms can foster a culture of continuous development.
The drivers behind professional exams
A recent LinkedIn poll conducted by Brand Financial Training’s Jennifer Dugdale asked: “What’s your main reason for sitting CII or other professional development exams?” The results were unequivocal:
- 88% cited career progression as their primary motivation.
- 13% referenced employer requirement.
- 0% selected personal achievement or boosting confidence.
For most, professional exams open the door to career advancement. In regulated firms, qualifications are obviously not just desirable; they are often essential for demonstrating competence under FCA guidelines and for meeting the requirements of T&C frameworks.
In a recent industry survey, nearly two-thirds (62%) of financial services firms said they are emphasising training and upskilling their existing workforce rather than relying solely on recruitment
Though many employees start qualifications because their employers expect it, passing an exam often brings a real sense of achievement and a boost in confidence, which is extremely rewarding even if it isn’t their main reason for sitting such exams.
The business case: Why staff development matters
Supporting employees through professional exams delivers measurable benefits for regulated firms:
- Enhanced technical competence and risk management
Qualified staff possess the technical knowledge required to deliver compliant advice and mitigate regulatory risk. In an environment where the FCA expects firms to evidence competence and ongoing CPD, investment in qualifications is non-negotiable. This also applies to roles that don’t come with a mandatory level of professional qualification. With firms increasingly prioritising internal upskilling to address skills gaps, investment in professional qualifications strengthens technical capability across the business. In a recent industry survey, nearly two-thirds (62%) of financial services firms said they are emphasising training and upskilling their existing workforce rather than relying solely on recruitment, with more than half (55%) operating apprenticeship or development programmes to support this effort.(IFA Magazine Sept 2024)
- Improved client outcomes
Clients benefit when advisers and support staff are current with regulatory requirements, technical standards and best practice. Higher levels of technical competence translate directly into clearer, more effective client advice, and stronger long-term trust. - Increased employee engagement and retention
Firms that invest in development signal that they value their people, which can boost morale and job satisfaction and help reduce turnover. Talent acquisition remains a challenge for many organisations — a quarter of firms report it as a significant concern, and almost half struggle with rising salary expectations — making retention through development an increasingly strategic priority. - Succession planning and leadership development
Professional exams build the capability and confidence needed for future leadership roles. In an industry where skills gaps persist (particularly digital and technical ones), equipping staff through structured qualification pathways helps ensure a robust pipeline of talent ready to step into senior positions. - Operational efficiency and innovation
A well-qualified workforce is better placed to respond to change and streamline workflows. Upskilling internal staff enables firms to adapt more efficiently to evolving market demands and regulatory requirements. - Enhanced reputation and talent attraction
Organisations known for investing in their people are more attractive to high-quality candidates. With a significant proportion of firms admitting they are not fully leveraging existing talent, creating a clear development culture can differentiate an employer in a competitive marketplace
Survey insights: motivation and barriers
Brand Financial Training’s survey also explored the challenges candidates face when it comes to passing their professional exams:
- 60% struggle most with motivation
- 20% cite time constraints
- 20% mention information retention
Clearly, motivation is the key hurdle. Candidates often know the material but need support to maintain momentum and firms can address this by setting clear goals, recognising progress, and encouraging a culture of peer support.
Practical strategies for firms
How can regulated firms support employees through professional exams and maximise the return on investment?
- Set realistic expectations
Communicate the recommended study hours for each exam and help candidates build achievable study plans. Recognise that new entrants may require more time and support. - Offer flexible work arrangements
Provide study leave, flexible hours, or remote working options to accommodate revision and exam sittings. Even a half-day for study can make a significant difference. - Provide access to resources
Invest in high-quality study materials, online resources, and training programmes. Ensure that candidates can tailor the support they seek to their to individual learning styles and needs. - Foster peer support
Encourage candidates to connect with peers while studying. Study groups and buddy systems are proven to be effective, as sharing questions and experiences can help maintain motivation and make revision feel more manageable.
- Manage workloads effectively
Where possible, temporarily reduce workloads or redistribute tasks to allow candidates time to study without compromising business performance. - Celebrate success
Recognise and celebrate exam achievements across the business. Public acknowledgement boosts morale and encourages others to pursue development when they see the success of their colleagues. - Protect your investment
Consider contractual clauses requiring repayment of qualification costs if an employee leaves within a set period. This helps manage risk while still supporting development, and is a typical caveat when exam qualifications are encouraged.
Striving for the gold standard: Level 6, chartered status, and fellowship
For professionals in financial services, the journey doesn’t end with the Level 4 Diploma. Increasingly, advisers and paraplanners are pursuing higher-level qualifications, most notably Level 6 exams and Chartered status, widely recognised as the sector’s ‘gold standard’.
Level 6 qualifications demand advanced technical knowledge and the ability to apply complex concepts to real client scenarios.
Chartered status, awarded by bodies like the CII and CISI, is reserved for those who have completed advanced exams, demonstrated ethical practice, and accrued substantial industry experience. It’s a mark of distinction that goes beyond regulatory minimums, reassuring clients and firms of the adviser’s professionalism and integrity. Chartered Firms, where at least half of advisers hold individual Chartered status, stand out in a competitive market. Achieving this level signals to employers and clients that an individual is equipped to handle sophisticated planning needs and is committed to ongoing professional development.
For those seeking the pinnacle of achievement, Fellowship (FPFS or FCII) represents the highest professional honour from the CII. Fellows have demonstrated sustained excellence, technical mastery, and a commitment to lifelong learning.
Pursuing these qualifications is demanding, but the rewards are significant: enhanced credibility, career progression, and the ability to deliver outstanding client outcomes. For firms, supporting staff to reach these milestones strengthens competence frameworks, regulatory confidence, and reputation.
Regulatory context: Meeting FCA expectations
The FCA’s focus on competence and client outcomes means that staff development is not optional. Firms must evidence that advisers and support staff are qualified, competent, and engaged in ongoing CPD. Professional exams are a key component of T&C frameworks, underpinning the delivery of compliant advice and supporting the firm’s risk management strategy.
Conclusion
Professional exams are demanding, but their value is clear. For individuals, they unlock career progression, and personal achievement. For firms, they deliver enhanced competence, compliance, efficiency, and client outcomes.
In a sector where regulatory expectations are high and competition is fierce; staff development is a strategic imperative. By fostering a supportive culture, investing in resources, and recognising achievement, firms can build a resilient, competent workforce ready to meet the challenges of today’s financial services landscape.
