The owner of a brokerage asked the Financial Services Tribunal to award him R2 million in damages because the FSCA refused to grant his firm an FSP licence. The regulator rejected the firm’s licence application because its sole key individual, director and shareholder did not comply with the fit and proper requirements. The tribunal also […]
The FSCA has withdrawn a proposed conduct standard for retirement fund investments in hedge funds, saying subsequent events have made the standard unnecessary. The draft standard was published by the erstwhile Financial Services Board for public comment in 2015. The FSCA published a revised draft in October 2020. The draft standard proposed that retirement funds […]
Average administrative costs per retirement fund member increased from 2006 to 2018, but this overall increase conceals that average costs have fallen for particular fund types and classes and benefit structures. This is one of the findings contained in a report, published by the FSCA and National Treasury, on the economies of scale in the […]
The FAIS Ombud will ask the FSCA to investigate whether a broker, her supervisor and the key individuals of AIK Brokers are fit and proper to act as FSPs after her office found that the broker knowingly provided an insurer with false information when a vehicle policy was taken out. Advocate Nonku Tshombe also ordered […]
Netwerk24 reports that Markus Jooste’s legal team holds that the FSCA’s R241 million penalty is shockingly inappropriate in that he is also held accountable for the transgressions of those he advised to sell their Steinhoff shares days before the implosion of the conglomerate. In addition, the FSCA did not take into account that he was […]
The FSCA is launching an integrated web service for FSPs to update their representative registers, and the uploading of registers in text format or as Excel spreadsheets will cease to be an option after 31 March next year. The new electronic channel will enable an FSP to upload its representative register in XML format using […]
The FSCA recently sent out a notification informing financial institutions – “data subjects” in the parlance of POPIA – that it will “continue taking necessary measures to safeguard the personal information it processes to ensure compliance to relevant sections of POPIA”. As those who have undergone the FSCA’s licensing process well know, the FSCA holds […]
A provident fund’s poor governance processes were to blame for the administrative problems that delayed a benefit transfer, and it had not made a valid case for being granted another extension to effect the transfer. This was the finding of the Financial Sector Tribunal when it dismissed the fund’s application for the FSCA to reconsider […]
On 26 October, alone, the FSCA issued six warnings to the public against providers of financial services which the regulator suspected were conducting unregistered business. Four of the six were involved in the funeral business. Not a week goes by without at least a couple of cautions against potential transgressors being published via email to […]
“Merely claiming” that compliance with the financial soundness requirements will create hardship is not “reasonable grounds” for justifying an exemption from section 45(2) of Board Notice 194 of 2017. Such claims must be “adequately” supported at the time an exemption application is made. This was the finding of the Financial Sector Tribunal when it upheld […]
