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Why CPD is important?
COMPETENCE

Competence requires :

  • reaching and continuing an excellent level of knowledge, skills, and abilities in the delivery of professional services;
  • the wisdom to recognise one’s limitations and when in doubt, seek advice and refer customers to other experts in the field;
  • a commitment to continued learning and professional development.

FSP’s, key individuals, and representatives must adhere to the general competence requirements in section 12 of BN 194:

  • have adequate, appropriate and relevant skills, knowledge and expertise in respect of the financial services, financial products and functions that it performs;
  • comply with the minimum requirements set out in Part 2,3,4 and 5 of this Chapter, and
  • maintain their competence (this refers to CPD).

FSP’s must also adhere to the responsibilities of the FSP in section 13 of BN 194.

  1. (1) An FSP must establish, maintain and apply adequate policies, internal systems, control and monitoring mechanisms to ensure that it, its key individuals and representatives-

(e)     undertake CPD to maintain and update the knowledge and skills that are appropriate for their activities

13 (3) An FSP must be able to demonstrate and record that it has evaluated and reviewed at regular and appropriate intervals-

  • ..
  • the appropriateness of the training and CPD referred to in subsection 1(d) and (e)

13 (4) The evaluation and review contemplated in subsection (3) must, inter alia, take into account-

  • technical knowledge and its application
  • skills and expertise and
  • changes in the market, to financial products, financial services and,

Section 13 (5) refers to the Competency Register that the FSP must establish and maintain. This register will in essence replace the Representative Register the FSPs have and must contain the following information of all key individuals and representatives:

  • all qualifications obtained
  • successfully completed regulatory examinations product-specific training
  • Class of business training
  • CPD

FSP’s must ensure that KI’s and representatives complete CPD activities relevant to the financial services they rendered with consideration of the license categories and class of business that the KI and representative are licensed for.

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