Advanced Financial Management (AFM) essentials on one page

About Advanced Financial Management (AFM)
The Advanced Financial Management (AFM) exam is designed to replicate the role of a senior financial executive or advisor. It is designed for candidates who work in or have ambitions to specialize in financial management and prepares candidates to advise management and/or clients on complex strategic financial management issues facing an organisation. Students are advised to complete the Ethics and Professional Skills module (EPSM) before attempting AFM.

Overview of AFM

Illustration showing the role of the senior financial adviser in the multinational organisation. There are two tiers to this diagram: top tier lists (side-by-side) advanced investment appraisal, acquisitions and mergers, reconstruction and re-organisation and treasury and advanced risk management. The bottom tier (directly below the four topics in the top tier) investment appraisal, business finance, business valuations and risk management.

How to approach your studies

Advice from the examining team

  • When discussing results of calculations, make clear that your advice or recommendation is on financial grounds based on your calculations.
  • You will also need to discuss factors complicating the decision and provide a justification for the final recommendation.
  • Approach the professional skills as being integrated into your technical answers, by providing full, well thoughtout answers to all of the requirements.

Read more in the Examining team guidance.

ACCA Study Hub

The ACCA Study Hub is an exclusive digital platform providing free access to study materials, flashcards, short quizzes and practice questions.

Find out how the ACCA Study Hub helps you prepare for your exams.

CBE Practice Platform

  • Get familiar with the exam environment by doing past, practice and mock exams.
  • Self-mark your answers within the platform using marking guides and sample answers.

Access the CBE Practice Platform here

Link to support resources

  • Access the AFM syllabus, technical articles & topic explainer videos, mock & debrief videos, the compass planning tool and additional support resources here.
  • Subscribe to the official ACCA student YouTube channel for the latest videos to help you prepare for your exams.

About the exam

Exam format

AFM is a three-hour, 15-minute exam comprising two sections. All questions are compulsory.

  • Section A comprises a 50-mark scenario-based question (40 technical marks and 10 professional skills marks).
  • Section B comprises two questions each worth 25 marks (20 technical and 5 professional skills marks).

Professional skills marks

There are a total of 20 professional skills marks available, in the areas below:

  1. Analysis & evaluation
  2. Commercial acumen
  3. Communication
  4. Scepticism

See more guidance on Professional Skills in AFM

Most frequently used verbs in the AFM exam

Discuss – Consider and debate in detail about the pros & cons of an issue using arguments in favor or against.

Assess – judge the worth, importance, evaluate or estimate the nature, quality or significance.

Evaluate – determine the scenario in the light of the arguments for & against, with evidence.

Read this article for more about exam verbs.

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