Legislative Changes and Developments
Personal information protection regulations finalised
Regulations relating to the protection of personal information were gazetted in December 2018 but have yet to come into effect, reports CompliNEWS contributor Pam Saxby. Released in draft form in September 2017 for comment, the final regulations include forms to be completed for every situation likely to be encountered, including ...
Revised Expropriation Bill available for comment until 19 February 2019
Stakeholders have until 19 February 2019 to comment on the draft revised Expropriation Bill, which casts some light on the circumstances in which ‘nil compensation’ for land expropriated in the public interest ‘may be just and equitable’, CompliNEWS contributor Pam Saxby reports. Almost identical to a ‘D’ version of the 2015 ...
Minimum wage and other regulations in force
Regulations on the process of qualifying for an exemption from paying the national minimum wage came into force on 1 January 2019, when the National Minimum Wage Act 9 of 2018, became operational, CompliNEWS contributor Pam Saxby reports. The regulations were gazetted with: a code of good practice on collective bargaining ...
Comment sought on Competition Bill regulations by 31 January 2019
Draft COFI Bill published for comment
News from the Regulators
Low income insurance, investment product remuneration policy consultations begin; comments by 15 February 2019
The Financial Services Conduct Authority (FSCA) has released a paper aimed at eliciting stakeholder input on outstanding issues requiring attention in developing a policy position on ‘a specific remuneration dispensation’ for the suppliers of life insurance and investment products to low income consumers. Once finalised, the policy is expected to ...
FSCA releases PFA guidance note on how to apply default regulations by retirement funds
The Minister of Finance issued the Default Regulations with effect from 1 September 2017. They prescribe conditions for default investment portfolios, default preservation and portability, and annuity strategies for funds. All new default arrangements that came into operation on or after 1 September 2017 must comply with the requirements set out in the Default ...
Update on future of premium collection regulatory framework under the Short- and Long-term Insurance Acts
The Financial Sector Conduct Authority (FSCA) released an update on its technical work aimed at further refining the premium collection regulatory framework for short- and long-term insurers in December 2018.
On 28 September 2018, National Treasury published amendments to the Regulations under the Short-term Insurance Act 53 of 1998, and ...
STANLIB fined R500 000 for CISCA non-compliance
The Financial Services Conduct Authority (FSCA) has taken enforcement action against STANLIB for contravention of paragraph 1(i) of Schedule 1 to the Collective Investment Schemes Control Act 45 of 2002 (CISCA). STANLIB is a registered Manager in accordance with CISCA.
During an on-site visit conducted by FSCA’s predecessor, the Financial Services Board ...
Legal challenges hampering FAIS Ombud's progress in finalising complaints – Oldacre/Bujok vs D Risk Insurance Consultants
The FAIS Ombud
Following a protracted legal battle in the above matters, the Financial Sector Tribunal dismissed the appeals with costs in a decision issued on 19 December 2018. What follows, is a summary of the decision.
During 2012, the Office made two determinations in respect of Mr & ...
Two FST decisions released this week
The Financial Services Tribunal (FST) at the Financial Services Conduct Authority (FSCA) has released two new decisions this week.
- Decision 1 - S NAIR v BROPRO regarding a failure to meet the competency requirements in terms of the Determination of Fit and Proper Requirements (Board Notice 194 of 2017). The order ...
FAIS Ombud determination summary – short-term insurance
The FAIS Ombud's Office
In the matter between Bongani Nxumalo and Central Financial Advisors (Pty) Ltd t/a Coler Financial Services Providers.
Mr Bongani Nxumalo, an adult male, whose full details are on file with this Office, lodged a complaint against Central Financial Advisors (Pty) Ltd t/a Coler ...
FST case summary involving D Risk Insurance Consultants CC
The UK's FCA and Brexit
This week the UK's Financial Conduct Authority (FCA) published two further consultations to prepare for the UK’s exit from the EU. It has published proposals to introduce the financial services contracts regime (FSCR) as well as proposed fees for regulating securitisation repositories.
It is continuing to plan for a range of ...
Australia releases consultation paper on reform of fees and costs disclosure for superannuation and investment schemes
The Australian Securities & Investments Commission (ASIC) this week released a consultation paper seeking feedback on proposed changes to the fees and costs disclosure regime for managed investment schemes and superannuation.
To assist industry in understanding the proposals, the consultation paper includes a proposed updated Regulatory Guide 97 Disclosing fees and ...
FCA (UK) opens fire on defunct FX scam-turned-crypto broker
The UK's Financial Conduct Authority (FCA) has issued a warning to investors over an unregistered brokerage firm that appears to be offering cryptocurrency-related derivatives in the country.
The UK’s financial regulator in a statement red-flagged a firm called SafeMarkets, saying the Estonia-based broker is not authorised to be targeting UK ...
Impact of FAIS Notice on FAIS regulatory exams
Regulatory changes have always had a huge impact on the content of the Regulatory Exams.
The latest FSCA FAIS Notice 86 that comes into effect on 1 February 2019 is no exception.
Compli-Serve notes that, due to the publication of new requirements and regulations for supervision which come into effect on 1 February 2019, the ...
Services under Supervision: Exemption Conditions Quick Tip (8 of 2018) based on FSCA FAIS Notice 86 of 2018
Dr Des Leatt, Compli-Serve SA
The long awaited Exemption of Services under Supervision has finally arrived! In a nutshell, Services under Supervision are now fully aligned with the competency requirements of the new Fit and Proper Requirements for Financials Services Providers, published in BN 194 of 2017, that came into ...
Compliance function at inflection point
McKinsey’s benchmarking survey of leading banks helped identify five steps toward transforming the efficiency and effectiveness of the compliance function.
Institutions have heavily invested in compliance over the past decade. With costs increasing at such a rapid rate, banks are now seeking to improve the efficiency as well as the ...
POPI Regulations, 2018
It’s a new year!
By Lee Rossini
After the 2018 end of year busy-ness followed by a well-deserved break, it is time to gear up and start planning for the New Year. Now is the time to set your business up for success in 2019 by deciding on the right strategies and goals. The ...