Subject Title - INSETA

Non-cash incentives offered and/or other indirect consideration payable byanother provider, a product supplier or any other person to the providercould be viewed as a potential conflict of interest. 71The Code of Conduct for FSPs and their Representatives involved in forexinvestment business requires the following in respect of conflict of interestmanagement:avoid any conflict between their own interestsand the interests of a client and where aconflict of interest does arise, the forexA forex investmentintermediary must: 72 investment intermediary must: adequately disclose details of suchconflict to the client while maintainingthe confidentiality of other clients; or decline to act for that clientIn addition to the above, the General Code was amended in 2010 73 to includemore stringent measures relating to managing conflicts of interest.Below are a few more definitions in order to understand the impact of Section3 and 3A.Associate includes:In the case of a Natural person, the spouse (including partner, civil union partner) child (including stepchild, adopted child, out of wedlock child andspouse of child) parent or stepparent of the Natural Person (and spouse of parent) the person managing the affairs of the Natural person (and spouse ofthat person) the commercial partner of the Natural Person.In the case of a Juristic Person, an Associate is:In the event of a Company – any subsidiary or holding company ofthe company, subsidiary of the holding company and other companyof which the holding company is a subsidiary.In the event of a Close Corporation – any member of the CC.71 Sections 3(1)(b) & (c) of the General Code72 Section 3(h)(i)& (ii) of the Forex Code73 Section 3A of Board Notice 58 of 2010© INSETA - Section 1 12a 145