Submission - Mandatory Competencies

Question 1

What are the RICS Global Professional and Ethical Standards?

Answer 1

Service, Trust, Integrity, Respect & Responsibility

Question 2

Is there any RICS regulation on Bribery, Money Laundering and Corruption?

Answer 2

Yes. Countering bribery, corruption, money laundering and terrorist financing. Professional statement 2019.

• Requirements - Don’t offer/accept bribe, retain records, report suspicions
• Guidance - Gift register, written policy
• Supplementary - Dealing with PEP, 3 W’s (Who What Why)

Question 3

What did you learn on you bribery, money laundering and corruption training?

Answer 3

Definitions
Red flags in transactions
Punishments

Question 4

What is the RICS CPD policy?

Answer 4

20 hours p.a.
10 formal.
Refamiliarize yourself with professional and ethical standards every 3 years
CPD management tool to record

Question 5

Tell me about a piece of CPD you’ve completed recently?

Answer 5

Future of valuations
Movement to the DCF
Explicit variables at points in time

Question 6

What is the know your client process?

Answer 6

highlights conflict, AML

Client and building

Question 7

How did knowing about the previous engagement help?

Answer 7

Contact - instant relationship to build on
Communication
Understand the clients ways of working
Understand their goals

Question 8

When would you have been able to work with this conflict?

Answer 8

Once raised, if I and my manager believed that it was in everyone best interest and could be managed, informed consent would be requested, in writing from the client.

Once received, appropriate barriers would be put in place.

Question 9

What type of conflict was this?

Answer 9

Personal - rather than financial, commercial or dual agency

Question 10

What does your limitation of advice take into account?

Answer 10

Competence in the rules of conduct

Question 11

Where does limitations of advice come in the ROC for members?

Answer 11

Competence in the rules of conduct

Question 12

Why didn’t you give the lender the data centre terms?

Answer 12

This would bring my integrity into account - I wouldn’t want this action to be made public (decision tree) and so declined

Question 13

What are the wider capabilities of CBRE? Give me an example

Answer 13

Modelling - development, valuations etc.

Question 14

Why is it important to agree a scope of work prior to engagement?

Answer 14

dispute resolution purposes

Can always clear up any misunderstanding through clear TOE and scope

Question 15

What was the CRM system you used in the equity placement team?

Answer 15

client relationship manager - tracked investor sentiment and progress on mandates.

Allowed any member of the team to pick up a deal with the latest communication

Good for dispute resolution as all emails and communication logged

Question 16

What is a investment memorandum and a financial memorandum? What’s the difference?

Answer 16

Investment/Information sets out the information regarding the facility - focusing on the sponsor, their track record and sector dynamics.

Financial memorandum highlights the above but focuses on the financial details - the request, the structure, the cashflows

Question 17

What did you learn on you negotiation training course?

Answer 17

types of negotiation and when to apply them; collaborating, compromising, competing, accommodating, avoiding and listening

Question 18

Why is listening important in communication and negotiation?

Answer 18

Think about a negotiation – part of the process is to assess what the opposition wants and needs. Without listening, it is impossible to assess that, which makes it difficult to achieve a win/win outcome.

Question 19

What was the general overview of the London debt market?

Answer 19

It was conducted during the covid pandemic - this meant that the there was a lack of transactional data.

However, from the data available to the public and the internal knowledge I was able to ascertain some general trends.

As expected the super prime space remained resilient - 2-3% margins.

Some of the secondary stock and the rest of the market saw a 10% hit on the LTV and a 150bps hit on margins

Question 20

What was CBRE’s health and safety training?

Answer 20

Fire Safety and evacuation plans
Mental health and wellbeing
Surveying safely
Procedure guides and the tools to do your job

Question 21

What are the requirements of the health and safety at work act?

Answer 21

Sets out employers responsibility to their employees
Ensure their health and safety at work
Ensure that procedures and tools to do job
Policed by the HSE - fines and imprisonment
Report any injuries
Record and review
Manual

Question 22

What do you do before an inspection with regards to health and safety?

Answer 22

desk top risk assessment 
Add to calendar
notify team of location and timings
ensure ppe 
mobile phone
medication
safe to inspect - lone working etc

Question 23

What are the three main purposes for accounting?

Answer 23

Tax & Regulatory returns
Internal management to monitor performance
External analyst to make investment recommendations

Question 24

Give an example of a financial ratio and how it would reflect a companies financial strength?

Answer 24

Solvency ratio : ICR

Shows how many times over a company can pay its interest payment with its operating income

Question 25

What did you learn on you accounting training?

Answer 25

purpose of accounting purpose of balance sheet and income statements some of the accountancy ratios used - liquidity (current/liabilities) solvency (ICR)

Question 26

What should be included in a business plan?

Answer 26

``` exec summary company overview Bios of key management product overview marketing and sales plan Financial plan Assets Appendix SWOT analysis ```

Question 27

Why is an annual budget important?

Answer 27

Framework for business and its finances – gives an anticipated target of where the senior members of the business assume performance to be by the end of the fiscal period. You can do this by combining past and present trends. A budget provides a detailed view of assets, realistic revenue expectations, and how those balance against your anticipated expenses.

Question 28

What's included in an EP term sheet?

Answer 28

Terms of engagement set out the basic facts of your instruction so that there is no confusion about what you have been asked to do. They also define the scope and depth of the service you will provide, and in doing so set boundaries to your liability and also the fee and how they are calculated. And Complaints handling procedure. Engagement letter, scope, contacts, fees, terms of business and signatories

Question 29

Why are clear TOE important in conflict avoidance?

Answer 29

Clear terms of engagement that are not open to mi-interpretation mean that if issues do arise they are solvable.

Question 30

What are the practical implications and key principles of Conflict of interest professional statement?

Answer 30

Informed consent Keep Records Implement controls In everyone's best interests 1. avoidance 2. written advice 3. managment

Question 31

Why is it important to manage data correctly and professionally?

Answer 31

Under GDPR - process individuals data securely and prevent unlawful processing, accidental loss and damages Breaches reported to ICO w/i 72 hours Policed by the ICO Fine up to 4% of turnover or €20m Example BA - data break 400,000 information - originally 200+ fine reduced to 20 due to covid

Question 32

What was CBRE's training on data management and how can you identify hacker attempts?

Answer 32

``` Identifying data - processing correctly and legally NDA's etc. Follow GDPR Phishing USB sticks ```

Question 33

What are CBRE's diversity and inclusion guidelines?

Answer 33

Rise Values at the centre and one of the most successful means of fostering this kind of environment is through the cbre employee networks. Proud network, womens network, armed forces.

Question 34

What are some of the individual rights under GDPR?

Answer 34

Access, Rectify, Erase, Edit, Restrict, Object, Portability, Automation

Question 35

What is the difference between diversity and inclusion?

Answer 35

Diversity is the what - Put into place recruitment plans, training on unconscious bias etc. makeup of your workforce — demographics such as gender, race/ethnicity, age, sexual orientation Inclusion is the how - it's the culture that is created in which everyone is accepted and allows everyone to thrive.

Question 36

What is the benefit of diversity?

Answer 36

Diverse team that has more extensive backgrounds and qualities is inevitably more effective – As QS you are representing the built environment and the people that live in these communities.

Question 37

How do we all benefit from improved accessibility?

Answer 37

An inclusive environment recognizes and accommodates differences in the way people use the built environment. It facilitates dignified, equal and intuitive use by everyone. It does not physically or socially separate, discriminate or isolate. including disabled people, older people and families with children, carers and those of us who do not consider ourselves to be disabled.

Question 38

What is an inclusive environment?

Answer 38

People feel valued and accepted in their team and in the wider organization, without having to conform. Support employees, regardless of their background or circumstance, to thrive at work

Question 39

What are the protected characteristics under the equality act?

Answer 39

EA 2010 has 9 protected characteristics – Age, disability, sex, gender, sexual orientation, LBGTQ , maternity, religion, gender reassignment

Question 40

What is sustainability in RE?

Answer 40

Meeting the needs of today without adversely impacting the needs of tomorrow. Renewable energies to meet the growing demand for example.

Question 41

What are the 3 pillars of the Brundtland report?

Answer 41

Economic, Environment and social - Introduced the concept of sustainable development and described how it could be achieved Chapters covering, among other topics within sustainable development, the role of the international economy, population and human resources, food security, species and ecosystems, energy, industry, and proposed legal principles for environmental protection.

Question 42

What is BREEAM and GRESB?

Answer 42

Building research establishment environmental assessment method: pass to outstanding based on efficiencies - water, waste, electricity etc. Global real estate sustainability benchmark: investors understand sustainability of portfolios worldwide Score out of 100 Again focuses on efficiencies in water, waste, energy but also employee satisfaction and gratification.

Question 43

What are the new rules of conduct?

Answer 43

Integrity, Professional Competence, Service, Respect (D&I), Public interest - Members and firms must be honest, act with integrity and comply with their professional obligations, including obligations to RICS. - Members and firms must maintain their professional competence and ensure that services are provided by competent individuals who have the necessary expertise - Members and firms must provide good-quality and diligent service - Members and firms must treat others with respect and encourage diversity and inclusion. - Members and firms must act in the public interest, take responsibility for their actions and act to prevent harm and maintain public confidence in the profession. Appendix - professional obligations such as CHP, PII Cooperation etc.

Question 44

How is RICS governed?

Answer 44

The RICS is governed by a governing council, to which report a management board, regulation board, and an audit committee.