Board Notice 194 of 2017 contains the latest information on who should write which exams.
The competence requirements relating to regulatory examinations determine that all FSPs, key individuals and representatives should write and pass the relevant regulatory exam, as indicated in the table below:
| Column A (Category I) |
Column B (Category II) |
Column C (Category IIA) |
Column D (Category III) |
Column E (Category IV) |
|
| FSP | RE 1 | RE 1; and RE 3 |
RE 1; and RE 3 |
RE 1; and RE 4 |
RE 1 |
| Key Individual |
RE 1 | RE 1; and RE 3 |
RE 1; and RE 3 |
RE 1; and RE 4 |
RE 1 |
| Represen- tative |
RE 5 | RE 5 | RE 5 | RE 5 | RE 5 |
Of particular significance is the apparent removal of the unnecessary obligation for both key individuals and sole proprietors to write the RE 5 in addition to the RE 1. We are in the process of ascertaining with the FSB whether this also means that a KI who is also a rep in the same FSP now no longer has to write the RE 5.
The following people are exempt from this requirement:
- A Category I FSP, its key individuals and representatives in respect of the Long-term Insurance subcategory A and/or Friendly Society Benefits only and
- A representative of a Category I FSP appointed only to perform the execution of sales in respect of a Tier 1 financial product, and those who render financial services in respect of a Tier 2 financial product.
Moonstone’s RE department is currently extremely busy with new registrations as the June deadline draws nearer. They have asked that we remind candidates to make sure that they are liable to write before registration, as there are specific terms and conditions for cancellation which we have to adhere to.
An interesting development is that many of our corporate clients are encouraging their staff to write the regulatory exams despite not being required to do so. The motivation is twofold: Firstly to help them understand better what is required of them, and secondly to enhance their career prospects.
Click here to read the full section on REs in the F & P Determination.
