A Look at Recent Past Papers for the CII AF7 Exam – March 2026
In this article, we are taking a quick look at the questions asked in the last four exam papers of the CII’s Advanced Diploma in Financial Planning AF7 exam paper – this is the exam on Pension Transfers.
This article is correct as at 31 March 2026.
This will be useful reading for you if you are preparing to sit this exam in the near future; it will help you to focus your revision on the areas that are likely to be examined.
AF7 typically consists of 10-12 questions. Section A usually includes four stand-alone questions. Section B includes two case studies and requires candidates to apply their knowledge and practical advising skills to the client scenarios.
We can see from the question table below that there are a number of patterns with AF7. Being able to identify and factor in those patterns is key to your preparation for this tricky exam.
Firstly, the opening question is almost always related to the compliance requirements associated with pension transfers. The actual content of the question can vary from very specific concepts such as contingent charging to customers in vulnerable circumstances which is a concept periodically tested in a wide variety of CII written exams.
Historically, most of AF7 tests a mixture of core knowledge and the practical skills required to successfully advise on pension transfers. The core knowledge concepts are the areas to which candidates need to devote the majority of their revision time and typically include:
- The death benefits payable from defined benefit and/or defined contribution schemes, eligible recipients and their tax treatment.
- The Pension Protection Fund (PPF). Scheme solvency and employer covenants are another variant on this theme.
- Lump sum allowance, lump sum and death benefits allowance and transitional tax-free cash amount certificates (prior to its abolition, the lifetime allowance also featured regularly).
- Investment and decumulation strategies for transferred funds including cashflow modelling, stress testing, sustainable withdrawal rates and management of sequencing risk.
- Appropriate pension transfer analysis considerations and the transfer value comparator.
- The transfer process including legal requirements and statutory timescales.
The case study sections tend to relate more to the practical skills required to advise on defined benefit transfers and challenge candidates to put them into practice. The key thing to bear in mind is that these should not be new for anyone with previous experience of advising clients.
The fifth question is often a fact-finding one, relating either to information required from the clients or from the scheme itself – make sure you read the question carefully so you know which question you are answering!
Candidates are also always asked at least one question which focuses on practically giving transfer advice. This can be either factors to consider when making a recommendation or asking candidates to justify a recommendation. A variant on this theme is providing clients with two schemes and asking candidates to justify transferring one and not the other or considering alternative means of meeting the client objectives besides the transfer.
Finally, AF7 always contains one or two questions from the lesser well-known parts of the syllabus, which even a well-prepared candidate may struggle with. Recent examples include guaranteed annuity rates, short-term annuities and spousal bypass trusts. These are deliberately difficult and the trick is not to allow yourself to get flustered by them. If nothing comes to mind within a minute or so, then move onto the more straightforward questions.
Here is a list of the subjects covered in the last four J05 exams:
| Required knowledge relating to exemptions to the contingent charging ban. | The drivers of vulnerability. | Abridged advice. | Triage services. |
| Exemptions to the statutory right to transfer. | Elements to consider when undertaking an APTA. | Employer covenants. | Factors to consider when assessing capacity for loss. |
| Impact of PPF on benefits. | Considerations in respect of GMP benefits when advising on a transfer. | Attitude to transfer risk. | Impact of PPF on benefits. |
| Factors to consider when determining a sustainable withdrawal rate. | Process for applying for a transitional tax-free amount certificate. | Statutory timescales. | Information required when advising whether to accept guaranteed annuity rate. |
| Further information from the scheme administrator. | Further information from the scheme administrator. | Further information from the client. | Further information from the scheme administrator. |
| Reasons for advice not to transfer. | Death benefits from a personal pension. | Alternative means to meet objectives. | APTA and death benefits. |
| Factors to consider when recommending how to draw from a drawdown plan. | Factors supporting a retain recommendation. | Death benefits and tax treatment. | Reasons for advice not to transfer. |
| Reasons to transfer one scheme and not the other. | Reasons to transfer one scheme and not the other. | Vulnerable clients. | Factors to consider when determining how best to meet income shortfall. |
| Flexi-access drawdown versus short-term annuity: factors to consider. | Reasons to procedure cashflow forecasts. | Additional information to recommend an investment strategy. | Reasons to transfer one scheme and not the other. |
| Considerations when deciding whether to recommend a spousal bypass trust. | Factors to consider when advising on an investment strategy. | Reasons to recommend a transfer. | Pros and cons of drawdown versus short-term annuity. |
| Sequencing risk. | Spousal bypass trusts. | ||
| Death benefit nominations. | Reasons to pay class 3 NICs. |
Here we take a look at the questions asked in the last four exam papers for #CII #AF7. Share on X
AF7 is a technical and complex exam. Whilst pass rates have been on a steady increase since its inception in 2018, they are still only around 54%. Revision and exam technique is key to your success and remembering the following tips will stand you in good stead:
- Read the past question papers and, where revision time is limited, prioritise learning the ‘core knowledge’ and practising mock exams.
- Focus on the low-hanging fruit. If the question is a curveball and you don’t know the answer, move on and have a guess later if time allows.
- Read the question carefully and make sure to answer what it is asking. Don’t fall into the trap of answering the one you would like to be asked or ‘writing all you know about X’.
Grab the resources you need!
Use the insights above to guide your revision – then make sure you’re covering the core areas properly. Download the free AF7 Core Knowledge Taster and decide if it’s right for you.
