AFAI2 Mock Paper 1 — Investment Unit 2
Entry-level AFAI2 mock: attitude to risk versus capacity for loss, basic asset allocation, platforms and Consumer Duty foundations. 20 standalone questions plus two case studies. 45 minutes, pass mark 21/30.
- Questions
- 30
- Minutes
- 45
- Pass (70%)
- 21/30
Sit it timed
The timer starts when you press the button. You can still finish after it runs out — it is there to mimic exam pressure, not to lock you out.
Free preview: the first 5 of 30 questions, with a timer to match. Unlock the full paper
Answer options are shuffled on every attempt. Your progress is saved as you go, so a refresh won't lose it.
About AFAI2 Mock Paper 1
This is mock paper 1 of 3 for AFAI2, the Investment — Unit 2 unit of CeMAP. The 3 papers in this unit run easier → harder so you can build up to exam standard rather than being thrown in at the deep end. This one sits in the easier tier: the wording is clean and the wrong answers are less subtle than the ones the examiner writes, so it is the right place to find out what you actually know.
Every question carries a written explanation, so a wrong answer tells you which rule you have misread instead of just costing you a mark. Questions are original, written against the 2025/26 five-unit CeMAP syllabus, and cover the material the way the examiner tests it — precise recall where recall is tested, and judgement where the paper wants judgement.
Format, timing and pass mark
AFAI2 Mock Paper 1 follows the live AFAI2 format: 20 standalone questions + 2 case studies × 5 linked questions, in 45 minutes — about 90 seconds a question. Pass mark 21/30 (70%), as in the real assessment. There is no negative marking, so answer everything. 2 case studies carry linked questions: read each scenario once, carefully, before answering any part of it.
What this paper tests
The 30 questions in AFAI2 Mock Paper 1 break down across 6 topic areas:
- Asset allocation6 questions
- Consumer Duty6 questions
- Platforms5 questions
- Suitability5 questions
- MPT4 questions
- Risk profiling4 questions
Try two questions from AFAI2 Mock Paper 1
These come from the free preview of this paper. Answer them, then reveal the explanation.
Risk profiling
Attitude to risk measures:
- AThe adviser's preferred asset allocation
- BPast performance of the FTSE 100
- CThe client's willingness to accept volatility in pursuit of returns
- DHow much money the client can afford to lose without affecting essential spending
Reveal the answer
C is correct. Attitude to risk (ATR) is psychological — how comfortable the client is with ups and downs. Capacity for loss is financial — what they can afford to lose. Both must be considered in suitability.
Risk profiling
Capacity for loss reflects:
- AThe FCA's risk classification of a product
- BThe client's financial ability to absorb losses without jeopardising essential goals
- CWhether the client enjoys reading fund factsheets
- DThe fund manager's reputation
Reveal the answer
B is correct. Capacity for loss depends on income, expenses, emergency funds, time horizon and dependents. A client with adventurous ATR but low capacity should not receive a high-risk portfolio.
Scored under 70%? Revise these next
A near miss is almost always a calculation you cannot do under time pressure, a definition you half-know, or a rule you have never read in the examiner's words. Start with the topic areas above where you dropped marks, then:
- →Drill the calculations on the CeMAP formula sheet — LTV, income multiples, SDLT, APRC, ERCs and rental cover, each worked through.
- →Nail the terminology in the CeMAP glossary — a surprising share of wrong answers are a term you nearly knew.
- →Re-read the syllabus coverage on the AFAI2 exam guide, then sit the next paper in the ramp.
The other AFAI2 mock papers
3 timed mocks for this unit, running easier → harder. Sitting the whole ramp is what moves a borderline score to a comfortable pass.