Subject Title - INSETA

Representatives are not authorised or „licensed‟ – if they meet all therequirements they are included on the representative register, which meansthat they may provide financial services on behalf of a specific FSP in aspecific capacity.Representatives are appointed by the FSP, either through contract ofemployment or through another mandate agreement.Representatives act on behalf of the FSP and the FSP is responsible for theactions of the representative insofar as the representative provides a financialservice in respect of FAIS products.As such, the FSP must maintain a register of all the representatives and keyindividuals employed or mandated by the FSP.Part of the management and oversight duties of a key individual, within theFSP is to oversee and manage all aspects relating to representatives.3.3 FIT AND PROPER REQUIREMENTS FOR REPRESENTATIVES3.3.1 Overview of the fit and proper requirements for representativesThe fit and proper requirements for honesty and integrity are the same forboth representatives and key individuals. The main difference between the fitand proper requirements for these two role players comes in with therequired competence and CPD.Remember, the FSP, appoints or mandates a representative to act for and onbehalf of the FSP. This also means that the FSP is responsible, in terms of theFAIS Act, to ensure that the appointed/mandated representatives meet allthe FAIS Act requirements, including fit and proper.It is important to understand what is meant by „date of first appointment‟, asit indicates the type of qualification and experience needed in the variouscategories.The date of first appointment means the date on which a person was firstdeployed in a FAIS role – it does not mean the date on which they started towork in the current organisation.© INSETA - Section 1 12a 61