You are therefore requested to read through the document carefully and sign the acknowledgement that you have read and understand the contents hereof. The objectives of this act are to facilitate broadbased black economic. This policy is drafted in terms of section 3a 2 a of the fais act general code of conduct for financial services providers and representatives and the financial services board notice number 58 of 2010 which amended the code of conduct by introducing amended provisions relating to conflict of interest. With effect from 1 september 2012, the fais enforcement became responsible for the debarment of representatives in terms of the fais act. Three of them are specific to the short term insurance industry, the life industry and investment business respectively. Representatives from regulatory representatives 1 re 5 self study guide representatives. Re1 exams study material re exams workshops for re 1. The purpose of this article is to set out the legislative framework that underpins the debarment of representatives and provide clarity with regard to the powers and duties of providers. Companies act means the companies act, 2008 act no.
Fais violates this principle in that substantive law, as opposed to regulations for. Fsca financial sector conduct authority guidance notice 1 of. Reporting of material irregularities by compliance officers compliance practices 1. Representatives the code issued under the financial advisory and intermediary services act, act no.
In this regard, the act prescribes that financial services providers are required to render financial. The fais act regulates the business of all financial service providers and intermediaries who give advice or provide intermediary services to clients. Kindly take note that the contents of this document is not a summary of the fais act and therefore does not contain full details of the requirements of said act. The purpose of this document is merely to provide an indication of the extent of the act. Underlying these is the general code of conduct for authorised financial services providers and representatives 2001. As part of the supervision agreement a supervision plan is required to be drafted by the supervisor, which will outline planned supervision activities. The act aims to professionalise the financial services industry and to provide adequate consumer protection. A money laundering offence has three core elements. The names of the two systems were changed as follows. It is important to bear in mind, when seeing fais in context. Financial advisory and intermediary services act, 2002. Execute the required actions as a representative in terms. Students who have taken the full act at least once in 2016 or later will be able to retake individual sections during any of the national test dates through act section retesting. Financial services providers fsps will have to be licensed in terms of the act and they.
Sep 01, 2011 act public law 108159, section 719 of the financial services regulatory relief act of 2006 public law 109351, section 743 div. Oct 17, 2016 once signed into law, the financial sector regulation bill twin peaks bill will significantly amend the current s14 of the financial advisory and intermediary services act, no 37 of 2002 fais by providing more clarity on the procedures to be followed when a financial services provider fsp intends to debar a representative and by affording a representative additional rights during and. The fais act was created in response to that call, according to charles pillai, the first ombud for financial services providers. Assented lo 15 november 2002 act to regulate the rendering of certain financial advisory and intermediary services to clients. Financial advisory and intermediary services act xps. The financial advisory and intermediary services fais act. The purpose of this policy is to assist cargill rsa pty ltd cargill and its. Our physical and postal address is suite 105 foyer a, sovereign quay 34, somerset road, green point, 8005. D, title vii of the consolidated appropriations act of 2008 public law 110161, the credit and debit card receipt clarification act of 2007 public law 110241, and. A compliance officer or, in the absence of such officer, the authorised financial services provider concerned, must submit reports to the registrar in the manner and regarding the matters, as from time to time determined.
Sections 4, 5 and 6 of the prevention act read as follows. Purpose section 171c of the fais act read together with section 194 provides that the. Cliffe dekker hofmeyr debarment of delinquent fais. Financial advisory and intermediary services act updated to 28 february 2014 act 37 of 2002 gon 1453, g. Financial advisory and intermediary services act, no 37 of 2002 fais to regulate the rendering of certain financial advisory and intermediary services to clients. Interpretation of expressions relating to writing in every law expressions relating to writing shall, unless the contrary intention appears, be. The purpose of the act is to regulate the rendering of all financial advisory and intermediary services to clients. The purpose of the financial sector regulatory act, 2017 fsr act.
Prevention act means, the prevention of organised crime act, 1998 act no. General code of conduct in terms of fais part 2 insurance. The financial advisory and intermediary services act 37 of 2002 intends. Financial advisory and intermediary services act, 2002 act. Fais act means the financial advisory and intermediary services act, 2002 act. Determination of fit and proper requirements for financial services providers. Competency of the applicant key individuals, and representatives, personal character qualities of honesty and integrity, operational ability and, solvency requirement. Under the definition of financial products in section 1 of the act the registrar. Fais act integration with other fsca fsb legislation. Execute the required actions as a representative in terms of. Jun 07, 2017 advice is defined in fais as any recommendation, guidance or proposal of a financial nature furnished, by any means or medium, to any client or group of clients. By dr franso van zyl, chief counsel legislation, fsb.
The financial advisory and intermediary services act, 37 of 2002, the fais act, came into effect on 30 september 2004. Test formats for act national testing the full act is now offered nationally in both paper and online formats. The fais complaints policy only applies to instances where a complaint arises out of a financial service rendered by a representative or a financial service provider in terms of the fais act. Financial advisory and intermediary services act 37 of 2002. Financial advisory and intermediary services act 2002. The fais act is a complex document and should be studied with attention.
A copy of our license certificate is available on request. Broadbased black economic empowerment act 53 of 2003. The fais act follows a functional approach and not an institutional approach. Financial advisory and intermediary services act south african. Definition of a complaint in terms of the fais act a complaint is defined in the fais act as follows. The purpose of this article is to set out the legislative framework that underpins the debarment of representatives and provide clarity with. Financial advisory and intermediary services act, 2002 act no. Re examination preparation guide for page 5 selfstudy guide. Any person who knows or ought reasonably to have known that property is or forms part of the proceeds of unlawful activities and. Cpd is one of the requirements that form part of the fais fit and proper dispensation. Protection of personal information act, 20 5 act no. Oct 04, 2014 the fais act also makes provision for the debarment of advisers and representatives who give poor advice or in any other way contravene the act. Fais act conflict of interest policy continued page 2 1 context 1. Sep 28, 2015 the fais act was established to regulate the conduct of financial institutions who offer credit or other financial products to clients members of the public, in terms of supplying accurate and informative financial advice, and to repeal or amend certain laws and provide for matters incidental thereto.
Conduct to the financial advisory and intermediary services act fais. Table of contents no description page number 1 introduction 4. It also includes a recommendation, guidance or proposal, of a financial nature, on the conclusion of any transaction which is aimed at incurring any liability. Re 5 self study guide representatives from regulatory. The account is used by corporate entities and persons to. Richfield graduate institute of technology pty ltd pretoria hrm 512.
This policy is one part of our comprehensive framework aimed at ensuring that we follow all laws that apply to our industry. Aug 01, 2001 section 15 of the financial advisory and intermediary services act, 2001. We would encourage all compliance officers to please verify fais newsletter financial services board 03032017 volume 23 as indicated in volume 22 of the fais newsletter, the names of the two fais online systems changed at the beginning of 2017. The acsis policy on conflicts of interest sets out the. When attending a workshop to prepare you for the exams you will most likely receive the printed material. Section 81 of the fais act outlines these requirements as. Purpose section 171c of the fais act read together with section 194 provides that the compliance officer of an authorised financial services provider fsp must report to and inform the registrar in writing of financial services providers of any irregularity. To achieve this, the fais act imposes certain requirements on providers of financial services to ensure that consumers receive proper financial advice, that they. Fsca financial sector conduct authority guidance notice. The act of conducting or causing to conduct two or more transactions with the intention of avoiding the duty to report such transactions is a recognised offence in terms of section 64 of the fic act. General amendment act 45 of 20 to date financial advisory and intermediary services act 37 of 2002 government notice 1453 in government gazette 24079 dated 15 november 2002. Financial advisory and intermediary services fais act. Re5 study material pdf the study material for both re1 and re5 is available in pdf format from the inseta website.
Fair credit reporting act federal trade commission. Representative and representatives under supervision 6. This version of this doc was scanned and reformatted from the flat pdf version issued by the fsca by fossil free south africa on 20 june 2019. In terms of the general code of conduct of the fais act, 36one asset management pty ltd registration number 200403557007 is required to disclose the information in this document to you. Financial advisory and intermediary services act, 2002 legal. The fais legislation has been enacted with a strong emphasis on consumer protection and aims to achieve effective regulation of the different roleplayers through a number of mechanisms. The financial advisory and intermediary services act, 2002 act no. Financial advisory and intermediary services act 37 of. Financial advisory and intermediary services act, 2002 english text signed by the president. General code of conduct for authorised financial services. This version of this doc was scanned and reformatted from the flat pdf version issued by the fsca by fossil free.
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