Subject Title - INSETA

Example 1:CBA Financial services is a sole proprietor with Sarah as the owner. CBA, as ajuristic body, is authorised by the FSB as an FSP. Sarah operates on her ownand she is therefore the key individual as well.Sarah provides her clients with financial services, therefore, she acts as arepresentative as well.As the key individual for CBA Financial services, Sarah must oversee andmanage all the activities of CBA for which a key individual is responsible interms of the FAIS Act.Example 2:InsCo is an insurance company with 200 employees and authorised to sellCategory I products. It is very likely that InsCo will have at least two (2) keyindividuals to manage and oversee the activities and functions of the FSP.2.1.3 Management responsibilitiesThe key individual has the responsibility of management and oversight of theFSP that performs the activities relating to the rendering of financial services,which includes the provision of advice and intermediary services in respect ofsuch a licence. The key individual must have the required experience inmanagement before the Registrar will approve the appointment.The experience must include practical experience in the management oroversight of the services similar to or corresponding to the financial servicesrendered by the FSP.The key individual is responsible, amongst other things, for therepresentatives, as well as the overall business management of the FSP.In the chapters to follow we discuss all the responsibilities that keyindividuals have in terms of the FAIS Act.24 © INSETA - Section 1 12a