CSC Exam 2 is the second half of CSI’s Canadian Securities Course (CSC). It shifts from “recognize the product” (Exam 1) to analyze → decide → justify across portfolios, managed products, tax concepts, and client workflows.
Official exam snapshot (CSI)
- Exam format: Proctored (remote or in-person at a test centre)
- Exam duration: 2 hours
- Question format: Multiple Choice
- Questions per exam: 100
- Passing grade: 60% (Per Exam)
- Attempts allowed per exam: 3
- Hours of study (CSC course guidance): 135 – 200 Hours
- Enrolment period: 1 Year
Source: https://www.csi.ca/en/learning/courses/csc/exam-credits
Official topic weightings (Exam 2)
Weightings are published by CSI. Because Exam 2 has 100 questions, the weighting percentage also maps to a target question count.
| Topic | Weight | Target questions | CSI chapters (curriculum) |
|---|
| Investment Analysis | 18% | 18 | 13–14 |
| Portfolio Analysis | 18% | 18 | 15–16 |
| Mutual Funds | 14% | 14 | 17–18 |
| Exchange-Traded Funds | 10% | 10 | 19 |
| Alternative Investments, Other Managed, and Structured Products | 16% | 16 | 20–23 |
| Canadian Taxation | 6% | 6 | 24 |
| Fee-Based Accounts and Working with the Retail Client | 8% | 8 | 25–26 |
| Working with the Institutional Client | 10% | 10 | 27 |
Curriculum source: https://www.csi.ca/en/learning/courses/csc/curriculum
What CSC Exam 2 is really testing
CSC Exam 2 tends to test application and judgment more than pure vocabulary:
- Connect client goals + constraints to an appropriate portfolio action.
- Interpret risk/return trade-offs (diversification, correlation, risk capacity vs risk tolerance).
- Make managed-product decisions (mutual funds, ETFs, alternatives, structured products) using the right mechanics.
- Apply tax/fee vocabulary at a concept level (what is taxable vs deferred; what costs compound).
- Recognize suitability and process failure modes (KYC gaps, mismatched horizon/liquidity, concentration, leverage).
Typical coverage (practical buckets)
- Investment analysis: fundamental vs technical, company analysis, interpreting common metrics (concept-first).
- Portfolio analysis: diversification, allocation, rebalancing, performance and risk measures (concept + light math).
- Managed products: mutual funds, ETFs, other managed products, and structured products (mechanics + costs + fit).
- Alternatives: benefits/risks, strategies, liquidity constraints, and performance interpretation.
- Tax and fees: concepts that change outcomes (after-tax thinking, fee drag).
- Client workflows: retail suitability process and institutional client realities (mandates, benchmarks, governance).
Common question styles
- “Best recommendation” given objectives and constraints (time horizon, liquidity, taxes, risk tolerance).
- “Which portfolio change improves X?” (reduce volatility, improve income stability, reduce concentration).
- “Interpret the numbers” (returns, allocation weights, risk measures).
- “Product mechanics”: mutual fund vs ETF trading/pricing, distributions vs returns, fee structures.
- “Structure and risk”: alternatives/structured products—what the payoff is and what can go wrong.
How to prepare (simple and effective)
- Use the Syllabus as your checklist.
- Build a one-page formula + decision pack from the Cheatsheet.
- Practice scenario questions weekly (you need the “pick the best answer” muscle).
- Keep a miss log and revisit weak topics every 48–72 hours.
✅ Next: follow the Study Plan or open the Syllabus.