This general notice is relevant to all FSPs and key individuals
Financial services providers (FSPs) and key individuals must note the following important obligation as prescribed by the new Fit and Proper Requirements:
Section 52(17): An FSP that is on 1 April 2018 authorized on to render the services in respect of the product referred to in column A, is deemed to be authorised for the corresponding product listed in column B. The FSP must, however, submit an application for authorisation to render the services in respect of the product listed in Column B by no later than 30 June 2018. The FSP may then conduct business on the products in column B until the Registrar has finally approved or rejected the application.
|
Column A |
Column B |
|
Participatory interest in a collective investment scheme (category 1.14) |
Participatory interest in a CIS hedge fund (category 1.26) |
|
Short-term deposit (category 1.18) |
Structured deposit (category 1.24) |
|
Long-term deposit (category 1.17) |
Structured deposit (category 1.24) |
Note: see section 1 for definitions of products.
The Regulator is now accepting applications from FSPs that currently have collective investment schemes and/or short-term and/or long-term deposits on their licenses, to add the products in column B, without the need to pay a fee to do so.
Applicants, key individuals will need to show experience in the applicable new products in order for these products to be added to the license. Full details of previous experience must therefore be included in the application. FSPs and key individuals must also mention experience in the oversight and management of the new products they elect to be added to the license.
FSPs must submit the application to faispfc@fsca.co.za and keep a copy of your correspondence.
The subject of the e-mail can be “Addition of products in terms of section 52(17) of the Fit and Proper Requirements”.
Applicants must complete forms FSP2, FSP4C or FSP4D and FSP5 of the new license application form and submit them together with the application – products 1.24 and/or 1.26. Remember to select advice (non-automated) and intermediary services (all other intermediary services) in respect of the elected products.
Members are welcome to contact Joe Kotzé at Joe@fia.org.za or 012 665 0085, or their compliance officers for assistance.
