Foreign FSPs and the Regulatory Examinations

Dr. Des Leatt kindly provided us with the following clarification from the FSB on this topic.

There appears to be some confusion regarding the Level 1 Regulatory Exams as they apply to Foreign FSPs. I received the following clarification from the office of the Regulator. An important determinant in this matter is Board Notice 119, published in June 2013, which clarifies a range of Regulatory Exam exemptions and deadlines.

In essence, there are two kinds of Foreign FSPs:

1. A Foreign FSP which has a branch office or a representative in South Africa: NO exemption applies to key individuals and representatives of that Foreign FSP and they must satisfy the same Regulatory Exam requirements, deadlines etc. as will apply to local FSPs.
2. In the case of a Foreign FSP which is NOT domiciled in SA, OR does NOT have a branch or representative office in South Africa, the key individuals and representatives of that Foreign FSP are currently exempt from writing their applicable Level 1 Regulatory Exams until the fee issue is resolved. This exemption is of course not permanent and will be repealed and a revised deadline for these Foreign FSPS will be published as soon as the Minister of Finance has determined the overseas exams fee.