1. INSETA FIT & PROPER PROJECT

2. Licensing education requirements and the FSB

3. Conservative estimates of the FSB suggest that there are: 12 000 FSPs who have to be licensed before 30 September 2004

4. The FSB says that at least 80% Of the FSPs submitted their License applications by 31 July 2004

5. After 30 September 2004 It will be illegal To conduct advisory OR intermediary services Without a license from the FSB

6. There will be NO extension of the cut-off date

7. IF THE FSB HAS NOT YET RECEIVED YOUR APPLICATION YOU WILL PROBABLY NOT BE LICENSED IN TIME!

8. As at 17 August 2004 The FSB has allocated Over 5000 pre-registration FSP numbers for which NO application has yet been received!

9. Applications for an FSP license can only be considered if the FSB receive a properly completed application form!

10. Check your FSP application progress WWW.FSB.co.za Search for STATUS of Application

11. KEY INDIVIDUAL MUST SUBMIT CERTIFIED COPIES OF EDUCATION QUALIFICATIONS WITH THE APPLICATION

12. REPRESENTATIVE Do NOT send education certificates with application Must comply with Fit & Proper education requirements by 30 September 2004

13. Exemptions Experience – YES (work under supervision) Education Requirements – NO!!

14. When you HIRE an employee who will provide ADVICE or an INTERMEDIARY service they MUST comply with the MINIMUM education requirements of the Fit & Proper Table

15. Effectively it is up to the Key Individual and the brokerage or employer to ensure that its representatives are Fit & Proper

16.  Measured by EXPERIENCE and ACADEMIC STANDARDS - Depends on Subcategory - Specified in Columns 2 and 3 of the FIT & PROPER Tables WHAT IS COMPETENCY ?

17. NQFQualification 8+All doctorates. 8Masters degrees 7Honours degrees, B. Tech, some professional, post graduate and work-based qualifications. 6First degrees, some professional, postgraduate and work-based qualifications. 5Undergrad. diplomas/certificates, work-based qualifications 4National certificates (FETC) 3National certificates 2 1National certificate (GETC) ABET level 4, school grade 9 ABET level 3Grade 7 ABET level 2Grade 5 ABET level 1Grade 3 SAQA QUALIFICATIONS Fit & Proper

18. “Red Flag Problems” BOTH Key Individual AND a Representative MUST therefore comply with the MINIMUM EDUCATION requirements of their sub-category by 30 September 2004 Key individuals MUST satisfy above when applying for a FAIS License

19. Unit Standards Unit standards are the smallest, independent parts of a qualification Each Unit Standard describes skills, knowledge & values Unit standards contain the title; specific outcomes; assessment criteria & range Unit standards are made up of credits One credit is equal to ten notional hours of learning Credits are recorded on the National Learner Records Database

20. You CANNOT “Double-Dip” a UNIT Standard Example If a Unit Standard is included in an exam that you wrote in May (and passed!) and it is also included in an exam scheduled for September you cannot receive the credits TWICE!

21. Outcomes Based Education Focus on outputs and end result of learning Focus on what the learner can produce or apply at the end of learning Focus on what competence the learner can display What & whether learners learn successfully is more important than when, how & from whom they learn it

22. INVESTIGATING QUALIFICATIONS AND UNIT STANDARDS INSETA WEBSITE www.inseta.org.za OR contact Dr. Des Leatt

23. REMEMBER Column FOUR of the Fit & Proper Table provides for either TWO or THREE Years to comply with Column Four Education Requirements

24. Applying for a FAIS Licence Can apply through a Recognised Body (may be too late for them!) ALTERNATIVE Apply directly to the FSB (0800 110 443 OR 0800 202087) They will supply an electronic application form (print and complete manually!) Also obtain an FSP Number from the FSB call centre

25. Licence application (cont.) Read the instructions for each FSP form carefully (50% of FAIS licence forms have had to be sent back – incomplete or inaccurate!!) Pay the required fee (Fee schedule; p. 48) FSP 14A MUST be completed in full and signed by the responsible person Each FSP MUST appoint a Compliance Officer; EITHER internal (complete FSP 13 or appoint an APPROVED Compliance Officer/Practice)

26. Licence application (cont.) Accurately Completed FAIS Licence Application Forms (with required attachments) MUST reach the FSB URGENTLY – at this late stage you are NOT guaranteed of finalisation of the license application by 30 September 2004 The FINAL cut-off date!)

27. Stay in touch with FAIS FSB – www.fsb.co.zawww.fsb.co.za INSETA – www.inseta.org.zawww.inseta.org.za Attend FAIS workshops, roadshows etc.

28. Contact info: Dr. Des Leatt INSETA FAIS Consultant Phone:021-880 1615 Fax:021-880 2550 Email:desleatt@netactive.co.zadesleatt@netactive.co.za