Subject Title - INSETA

PurposeIn Chapter 12 you will find the requirements relating to record-keeping – asrequired by the FAIS Act as well as the FAIS General Code. It is importantthat key individuals manage and oversee the record-keeping processes andsystems of the FSPs, as failure to do so may constitute an offence under theAct.12.1 RECORD-KEEPING OBLIGATIONS UNDER THE FAIS ACT12.1.1 Record-keeping obligations in terms of the FAIS ActThe FSP, (and by implication it will be part of the management duties of akey individual) must ensure that records are kept for a minimum of five (5)years – except if the Registrar allowed specific exemptions in this regard.Section 18 of the FAIS Act requires that certain records be kept for five (5)years (unless the Registrar granted an exemption in this regard).These records include the following:1. Records of known premature cancellations of transactions or financialproducts by clients of the FSP2. Records of complaints received and information on whether thecomplaints have been resolved3. Records of ongoingcompliance with theKey individuals must ensure continuedfitness and propriety and changes in therequirements of Section 8 information of key individuals,of the FAIS Act.representatives, directors, members,trustees or partners of the FSP, as thecase may be.4. Records of instances of non-compliance with the Act as well as reasonsfor non-compliance.218 © INSETA - Section 1 12a