Important Qualification Requirements

The regulatory examinations took precedence for most people in the industry, and may have averted the focus from the qualification requirement, particularly in the case of representatives working under supervision.

Industry demands for production of business often take precedence over legal requirements, particularly if the time frame to obtain a qualification is six years. The problem is that, until a suitable qualification is obtained, such a representative must remain under supervision.

The FSB postponed the level 2 RE requirements until further notice to assist the industry in removing the supervision barrier, but failure to comply with the approved qualification requirement will prevent you from making use of this opportunity.

Here is a brief summary of the qualification requirements as it currently stands:

Date of First Appointment Date by which qualifications must be obtained
KI’s and Reps appointed prior to 13/12/2007 30 or 60 credits, depending on licence category, in a registered skills programme by 31/12/2009
KI’s and Reps appointed in 2008 and 2009 Choice:
Skills Program Credits as above, by 31/12/2011; or
A recognised Full Qualification by 31/12/2013
KI’s appointed in 2010 Full qualification as per the list of recognised qualifications in order to be approved as KI.
Reps appointed in 2010 under Supervision Entry level Matric /Grade 12 or School leaving certificate @ NQF level 4 (Excluding Cat 1.1 and 1.19 – minimum ABET Level 1)
The Rep must obtain a Recognised Qualification before the end of the 6 year Supervision Period

N.B. The above information is in very simplified format and for information purposes only. Each individual case should be measured against the actual legislation.

Some KIs and Representatives, appointed in 2008/2009, and who opted to study towards a recognised “full” qualification, may have run out of time to have their qualifications verified by Inseta in time for the 31 December 2013 deadline. The FSB provided a reprieve from this requirement to affected learners late last year:

Providers who were required to obtain a full qualification by 31 December 2013 may apply to the Registrar for an extension provided that-

    • They completed a full qualification by this date
    • such qualification is subject to the verification process of a SETA
    • A certificate of competence was issued by the training provider stating that the competence certificate is subject to SETA verification; and
    • All assessments, assignments, portfolios of evidence and examinations relating to the qualification were completed prior to 31 December 2013.

Applications for extensions should be sent to The application must be accompanied with the certificate of competence referred to above as proof that the final assessment did in fact take place before 31 December 2013.

Those who failed to obtain the required qualification in time faces debarment.

The recently published Board Notice 268 contains the updated list of approved qualifications, and provides a lot of choice for learners. This should form the basis on which your choice of qualification is based. Should you obtain an unapproved qualification, your studies would have been in vain.

In planning for 2014, it is advisable to schedule time for this important requirement in your progress towards becoming a professional financial advisor.

If you require advice or assistance in this regard, please contact Albert Marais, Ronel Nell or Sheila Olckers at Moonstone.

We assist individuals, groups and corporate entities across the whole spectrum of the financial services industry.

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