Automated financial advice – South Africans show some appetite
South Africans are amenable to using automated financial advice and are prepared to pay for it. This is one of the conclusions of Deloitte’s Automation of Financial Advice report. The main objective of the report was to assess the appetite for and attitude towards automated financial advice for various scenarios ranging from saving, investing, retirement […]
CIS industry stats – Investors undeterred by volatility
The Association for Savings and Investment South Africa (ASISA) recently released the Collective Investment Schemes (CIS) industry statistics for the third quarter ending September 2018. Besides the stock market volatility, a troubled economy and the turmoil in emerging markets, local investors still committed a healthy R54 billion in net inflows to the industry. These inflows pushed the […]
Services under Supervision Proposals
This is the time of year when a vitamin B jab becomes obligatory if you want to make it to the festive season. To make matters worse, the burden of budgeting for 2019 also starts rearing its unwelcome head. A recent consultation paper, published by the FSCA, contains some very relevant issues which may have […]
Medical Schemes Amendment Bill – How it might impact premiums
Medical Schemes Amendment Bill – How it might impact premiums Under the heading, Bill ups medical scheme costs for over-34s, Legalbrief Today recently reported as follows: “Medical scheme premiums may increase by more than 15% for those over 34 years of age if the government pushes through with the Medical Schemes Amendment Bill, actuaries warn. […]
Non-compliance with FICA
Non-compliance with FICA – Failure to implement proper processes leads to fine The Prudential Authority (PA) has imposed administrative sanctions on the Johannesburg branch of HSBC Bank for non-compliance with aspects of the Financial Intelligence Centre Act. In a statement, the SA Reserve Bank said that the administrative sanctions were imposed because certain weaknesses were […]
Legalisation of usage of dagga
Legalisation of usage of dagga – Currently more industry questions than answers Lots of questions are being asked as a result of a recent Constitutional Court ruling that effectively legalised personal possession and usage of dagga. How will South Africa’s new marijuana laws change driving in the country? How will the traffic police enforce driving […]
Client needs and circumstances
FAIS Ombud Settlement – Always take clients’ needs and circumstances into account Furnishing financial advice means adhering to a set of legislative requirements as well as keeping to certain principles. One of the settlements discussed in the latest FAIS Ombud Annual report puts the emphasis on a few provisions of the General Code of Conduct […]
Retirement – Products need to adjust to stay relevant
The way we live has changed dramatically. This has an impact on the financial services industry as well. This is illustrated in a recent article written by Patrick Cairns in Moneyweb. Cairns rightfully asks the question: “Why save for retirement if you don’t intend to retire?” He questions how financial products being offered to employees […]
Debarment – what does the characteristic of honesty and integrity imply?
In the November 8 edition of the Moonstone Monitor, the first ground for the request to the Tribunal for a reconsideration of the decision to debar Ms X was discussed. That article dealt with the formal procedures that are required when a debarment is intended. The second ground for the request to reconsider the decision to […]
FAIS Ombud Settlements
Learn from compliance mistakes made by FSPs An FSP’s interaction with clients must at all times meet the standards set out in the General Code of Conduct. The FAIS Ombud’s Annual report highlighted a few settlements that particularly challenged the adherence to two such standards. The first settlement relates to Section 7 of the Code that […]