FURTHER AMENDMENTS TO THE FAIS FIT AND PROPER REQUIREMENTS, 2017
The Financial Sector Conduct Authority (FSCA) has proposed further amendments to the FAIS Fit and Proper Requirements, 2017 (the Fit and Proper Requirements).
Many of these amendments are to incorporate exemptions that were previously granted when the Fit and Proper Requirements came into effect and do not impose new legislative requirements on FSPs, their key individuals or representatives.
The amendments include, amongst others, the following:
The definition of CPD activity has been extended to include activities recognized or approved by a foreign professional body.
The provisions regarding the competence requirements applicable to representatives who are only appointed to perform execution of sales have been removed from section 22(b)(ii) and have been inserted as section 12A of Chapter 3.
Deletion of the requirement for the FSCA to prescribe the manner and form in which an FSP must furnish it with the information contained in its Competence Register.
The FSCA is empowered to recognise qualifications where the subject names differ from those listed in the Appropriate Subject List but are in nature the same or similar to the subjects so listed.
The operational requirements applicable to FSPs who appoint representatives to perform the execution of sales only have been inserted under Chapter 5.
Chapter 6 is amended to apply to the juristic representatives of Category I and II FSPs.
A representative appointed after 31 August 2018 has 12 months from date of appointment to complete Class of Business training.
The amendments to the Fit and Proper Requirements are intended to take effect early in 2021, and any comments on the proposed amendments must, therefore, be submitted to FSCA.RFDStandards@fsca.co.za by 19 February 2021.
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