To Subscribe please click here

Moonstone logo
Moonstone Monitor -  12 April 2018
In This Week's Newsletter
 
From the Crow's Nest
Complex F & P Competency Requirements – Don’t underestimate the impact on your business
 
Your Practice Made Perfect
Fit and Proper Timelines – Download a schedule of the various implementation dates
Supervision Department Feedback and Focus – Small FSPs need to jack up their FICA compliance in line with latest requirements
Class of Business Training – See how Moonstone can help you comply with the new Fit and Proper requirements
Continuous Professional Development Update – Moonstone Regulatory Update workshops moved to June to align with CPD cycle
 
Technologically Speaking
Advisers embrace Social Media – Study shows positive signs in terms of client interaction
 
Regulatory Examinations
RE Study material update – Inseta progress report on updated material
Dates and Venues schedules for 2018 - Next UK opportunity is on 1 October 2018
 
Careers Platform
Are you hiring? Moonstone offers biggest industry platform for employers
Featured Positions
 
In Lighter Wyn
New Outbreak of Beatle Mania
Paul Kruger 2017-08-03
Paul Kruger Author/Editor
 
 
 
 

SuiteBox vertical banner 2017-01-12
The wonderful thing about the game of life is that winning and losing are only temporary… unless you quit. - Dr. Fred Mills
 
Please connect with us: www.moonstone.co.za
pkruger@moonstoneinfo.com or 021 883 8000
 
Facebook   Twitter   LinkedIn   YouTube  
Distributed to 51,725 subscribers.

To advertise with us
click here

 
From the Crow's Nest
From the Crow's Nest
Complex F & P Competency Requirements
The natural tendency is to approach these obligations in the same manner as we did in the past - tick the box, close the file and carry on regardless.

BIG MISTAKE.

Like the long and winding road, it starts off in a general direction, only to get more and more specific as we proceed on the journey.

For starters, training is not simply a matter of getting some credits, or obtaining a qualification. Apart from Class of Business, Product Specific and continuous professional development (CPD), you have to ensure that you stay abreast of developments in a number of other areas as well.

General competence requirements

Section 12 of Board Notice 194 of 2017 determines the following:

A FSP, key individual and representative must –
  1. have adequate, appropriate and relevant skills, knowledge and expertise in respect of the financial services, financial products and functions that it performs;

  2. comply with the minimum requirements set out in Part 2, 3, 4 and 5 of this Chapter; and

  3. maintain their competence.

Section 13 then elaborates on the responsibilities of a financial services provider (FSP) in respect of the above.

The FSP must establish, maintain and apply adequate policies, internal systems, control and monitoring mechanisms to ensure that it (the FSP), its key individuals and representatives are compliant, and REMAIN compliant with the general competence requirements as well as the minimum requirements contained in Chapter 3, including product knowledge and CPD.

Competence register

A FSP is required, by 1 May 2018, to establish, maintain and update on a regular basis a competence register in which all qualifications, successfully completed regulatory examinations, product specific training, class of business training and CPD of the FSP, its key individuals and representatives are recorded.

This document will assist the FSP in complying with the demands of Part 3 and 4 which reads:

An FSP must be able to demonstrate and record that it has evaluated and reviewed at regular and appropriate intervals-
  • its representatives' and key individuals' competence and has taken appropriate action to ensure that they remain competent for the activities they perform; and

  • the appropriateness of the training and CPD

The evaluation and review contemplated above must, inter alia, take into account -
  • technical knowledge and its application;

  • skills and expertise; and

  • changes in the market, to financial products, financial services and legislation.

As a clincher, Part 8 reads:

The requirements set out in Parts 2, 3, 4 and 5 of Chapter 3 and Chapter 4 are minimum requirements and compliance with that requirements does not in itself serve as evidence that a person complies with the general competence requirements in section 12.

A question that arises is how to ascertain what is “…adequate, appropriate and relevant skills, knowledge and expertise in respect of the financial services, financial products and functions” that you perform?

Will this only be determined during an onsite visit from the Regulator, or assessed as part of your Conduct of Business return?

Will the person making such a call know enough of your business to be able to do so objectively and fairly?

Where, in the past, you could tick the boxes in the compliance quiz and move on, there are no boxes now.

Remember the Pete Seeger song, “Little boxes”?

And the people in the houses all went to the university
And they all get put in boxes, little boxes all the same
And there's doctors and there's lawyers
And business executives
And they all get put in boxes, and they all come out the same.
Top of Page
 
GTC banner 2018-03-29 600 x 800
Your Practice Made Perfect
Your Practice
Supervision Department Feedback and Focus
At the March 2018 FSB FAIS Conference, Ms Felicity Mabaso reported back on the Supervision Department’s activities in 2017 and 2018, and provided insights into its plans for 2018/2019.

FSB Theme Visits: 2017/2018

One of the three main focus areas was small FSPs without a compliance officer.

The visits were more of an educational Intervention, continuing an initiative started in 2014. A total of 60 FSPs were visited between 1 April 2017 and 28 February 2018.

The main concerns from the onsite visits were:

• Inadequate disclosure to clients
• Inadequate record keeping of the advice given
• No complaints handling policy or procedures
• Failure to register with the FIC
• No or inadequate FICA internal rules

Plans for 2108/2019

FICA will be a major focus for small FSPs, based on last year’s findings.

If you are in this category, and need to jack up your FICA compliance, please look at Moonstone’s very affordable on-line FICA training, which was recently updated in line with the latest amendments.

Ad hoc visits to other FSPs will be based on complaints and information from other sources such as statutory returns or irregularity reports. Here too, FICA will be an important focus area.

We offer gratis FICA training for Moonstone Compliance and Risk Management clients.

Click here if you are interested, but not a Moonstone client.
Top of Page
 
Go4 banner 2018-03-08
 
Class of Business Training from Moonstone
  1. Short-Term Insurance: Personal Lines

  2. Short-Term Insurance: Commercial Lines

  3. Long-Term Insurance

  4. Pension Fund Benefits

  5. Short- and Long-Term Deposits

  6. Structured Deposits

  7. Investments

  8. Forex Investments

  9. Health Services Benefits

The Class of Business modules include all the sub-classes of the specific class i.e. if a person does Short-term Insurance: Personal Lines they will do all the sub-classes for that class of business as well.

For more information, please visit the relevant section on the MBSE Website.

For more detailed information on Corporate Packages, please contact Sheila Olckers on 021 883 8000 or sheilao@moonstoneinfo.com

Non-corporate clients can speak to Veronica Grobler on 087 702 6429 or veronica@mbse.ac.za

Click here to Register today.
Top of Page
 
MBSE banner
 
Continuous Professional Development Update
The legislative turbulence we forecast in 2017 became a storm in 2018. We are currently inundated with enquiries from advisers who want to get their show on the road.

Please bear in mind that the first Fit and Proper CPD cycle kicks off on 1 June 2018. It therefore does not make sense to start activities related to CPD unless it is required by a professional body.

Moonstone Compliance and Risk Management’s comprehensive, practical workshops, unpacking the Fit and Proper requirements, were scheduled to start in May. It makes a lot more sense to run these in June, not so?

We will ensure that these workshops are duly accredited to ensure that attendees gain the maximum number of CPD hours.

There will be other workshops, later in the year, in addition to a variety of offerings from Moonstone Business School of Excellence, to ensure that CPD becomes an essential part of your education, rather than something you merely do because you have to.

More detailed information will follow shortly.
Top of Page
 
SuiteBox horizontal banner 2017-01-12

Technologically Speaking
Suitebox 2017-06-29
Moonstone Information Refinery
 
Advisers embrace Social Media
“Advisors today are increasingly using social media as a tool not only to communicate with their clients and prospects, but also to deepen and evolve their ongoing relationships with clients” This is the conclusion of the Putnam Investments Social Advisor Study that was recently released. Although the survey only targeted US advisors, it is true that the digital boom is giving rise to trends not only in the US but universally as well.

The survey found that social media has changed the nature of the advisors client relationships a “great deal” in a number of ways:
  • Two-thirds (67%) of advisors find that it is easier to share information with clients

  • Nearly six in ten (59%) report having more frequent communication with clients overall, although 38% say they connect less frequently by phone or in person

  • More than half (54%) of advisors say they have a better professional relationship with their clients, while 47% report a better personal relationship with their clients

  • Half (50%) report decision making is faster and easier

Click here to download the report.
Top of Page
Regulatory Examinations
Regulatory exams banner
RE Study material update
Inseta provided the following update on its website:

RE 1 & RE 5 Material

“INSETA is currently reviewing and updating the Regulatory Material. The estimated time of completion for this exercise is unknown, for further information regarding the Regulatory Material, INSETA advises you to contact the FSCA for further information.”

FAIS Circular 1 of 2018, in which the changes resulting from the new Fit and Proper requirements were announced, states the following:

There are two sets of material which can be used for preparation purposes:
  • The FSCA Preparation Guide for RE1 and RE5 together with the relevant legislation, and

  • The relevant Training Manuals that are made available by the BANKSETA / INSETA on their official websites.

Click on the link above to view and download the guide.

We undertake to place the amended study material on our website the minute it is available.

Frequently asked Questions

Please click here to access a list of questions and answers, including information on what exams to write, the cost thereof, study material, training and a lot more.

Top of Page
 
2018 RE Schedules updated

Details for UK training opportunity

Date: 01 October 2018

Venue: CCT Venues-Barbican Aldersgate House London
Polaris Room

Sessions:
  • 09:00 to 11:30 (RE1 & RE5 & RE3 & RE4)

  • 12:00 to 14:00 (RE5 & RE3 & RE4)

Enquiries:

Please contact Marietjie Grant:

mgrant@moonstoneinfo.com / faisexam@moonstoneinfo.com

Telephone: +27 21 883 8000
Top of Page
Careers Platform
Are you hiring? Advertise your position on Moonstone’s Career Platform
Careers Platform Packages

•   The Moonstone website - www.moonstone.co.za - enjoys an average of 20 000 visits and approximately 39 000 page views per month.
Moonstone boasts an exclusive newsletter mailing list of over 51000 dedicated financial decision makers who receive 2 newsletters per week.
Our audience is relevant and industry specific: individual and corporate advisors and brokers in the following financial sectors: Investment, Risk, Healthcare, Banking, Retirement, and Insurance.


Advertise

Top of Page
 
Featured Positions
  • Key Individual: Destinata Capital Ltd, Faerie Glen, Pretoria & Somerset West - We have a position for a key individual who is licensed for at least category 1.8. Read More

  • Personal Lines Sales/Underwriter: Venshaw Insurance Administrators, Bellville, Western Cape - We are looking for a candidate with 2 years' experience, RE5 and NQF4 (150 credits). Read More

  • Short Term Insurance Representative: External Marketer/Service: Venshaw Insurance Administrators, Bellville, Western Cape - The candidate should be Xhosa speaking, and have completed RE5 and NQF4 (150 credits). Read More

  • Short Term Insurance Representative: Claims Consultant: Venshaw Insurance Administrators, Bellville, Western Cape - The candidate should be Xhosa speaking, and have completed RE5 and NQF4 (150 credits). Read More

Top of Page
In Lighter Wyn
In Lighter Wyn
New Outbreak of Beatle Mania
The picture we placed in Monday’s newsletter elicited a number of comments and queries, so we thought a follow-up might be of interest too.

The album it referred to is, of course, Abbey Road, where the Beatles had their recording studio. The picture was taken on 8 August 1969 by photographer Iain Macmillan and became one of the most iconic album covers ever.

Beatle Mania 1
 

There are two stories related to this album cover which I enjoy.

The first relates to rumours that this is in fact a coded message to say that Paul McCartney had died. John Lennon, in white, is the priest, Ringo Starr, in black, the undertaker and George Harrison the mourner. Paul’s bare feet are apparently the give-away.

A reader, Prem Harrilall, send me this picture, obviously from a die-hard (no pun intended) fan wishing to make sure Paul became a Sir one day.


Beatle Mania 2
 

The second story relates to a persistent rumour about the so-called fifth Beatle. A Wikipedia article provides more information on any number of people who could possibly qualify for this singular honour. That was until a prankster looked more closely at the background and uncovered the truth.

Beatle Mania 3
 

Here is a fascinating article on the Abbey Road topic for all you fellow Beatles Fans.
Top of Page


Reach over 50000 subscribers banner

 

Tel: +27 21 883 8000   |   Fax: +27 21 883 8005
info@moonstoneinfo.com
www.moonstone.co.za


P.O. Box 12662, Die Boord, Stellenbosch, 7613, Republic of South Africa

Disclaimer: Services and products advertised by external product suppliers in this newsletter are paid for by the respective suppliers. Moonstone does not endorse any opinions, conclusions, data, products, services or other information contained in this e-mail which is unrelated to the official business of Moonstone and furthermore accepts no liability in respect of the unauthorised use of its e-mail facility or the sending of e-mail communications for other than strictly business purposes.

The complete disclaimer can be accessed here.
©2015 Moonstone. All rights reserved.