Many of our readers can attest to being duped by inferior training services providers when the scurry was on to obtain 30 or 60 credits before the end of 2009. This was one of the factors that eventually led to the introduction of the regulatory examinations.
There was little or no regulation of their activities. This led to FSPs attending training which did not conform to the specified quality standards. Many attained worthless credits, or duplications. The latter resulted in a certificate claiming 120 credits, of which only 20 or so were valid.
The regulator intends preventing this from happening again by ensuring that only approved providers will be allowed to present CPD training. The content of such training will also be subject to approval before it may be presented.
“CPD provider” means an organisation that is approved by the Registrar to provide CPD programmes and/or activities, including but not limited to, regulators, industry associations, professional bodies, financial advisor networks, compliance practices, training providers, institutions of Higher Education, employers and product suppliers who offer annual CPD programmes to members, employees and other participants, whereby such participation and completion is verifiable by the CPD provider;
Specific Conditions for CPD Providers
The specific conditions that apply to CPD Providers are:
(1) An organisation that offers CPD programmes to members or employees can apply for recognition as a CPD provider.
(2) The CPD Provider is required to:
(a) annually provide their CPD programme for the next year to the Registrar, within the timeframes and in the form and manner stipulated by the Registrar.
(b) provide monthly registers to the Registrar, updating the individual records of sole proprietors, key individuals and/or representatives participating in the CPD programme, in the timeframes, form and manner prescribed by the Registrar.
(3) Organisations can apply to have individual CPD activities recognised, where such activities are available to non-members or fall outside of the ambit of their CPD programme.
(a) Such application must be provided in the form and manner prescribed by the Registrar.
(4) Recognition as a CPD provider will:
(a) Allow the addition of the CPD provider to the Registrar’s list of recognised CPD providers; and
(b) Enable the CPD provider to report the attendance and/or completion by sole proprietors, key individuals and/or representatives.
(5) CPD providers will be required to update the Registrar’s records in respect of attendance/completion of their CPD programmes by attendees, on a monthly basis.
(a) Updates must be provided in the electronic format prescribed by the Registrar.
(b) Failure to submit the records for two consecutive months will result in:
(i) the removal of the CPD provider from the Registrar’s list of recognised CPD providers;
(ii) The removal of access to update registers electronically to the Registrar; and
(iii) The requirement for such providers to submit a new application for approval and recognition as a CPD provider.
(6) CPD providers may be required to provide additional details in respect of the participation and/or completion of the CPD requirements set by the relevant CPD provider, should the Registrar request it.
(7) CPD providers are required to retain records of CPD programmes and/or activities and the attendance/ completion thereof for a period of five years.
In part III of this series we discuss the record keeping obligations applicable to FSPs.