3.1 Introduction NRS
As a newly established authority, the FSCA has much work to do to ensure that it delivers on its mandate. FSCA need to focus the FSCA’s energies and resources on initiatives that FSCA believe are most likely to enable the FSCA to achieve the FSCA’s statutory objective and policy goals. FSCA have identified six strategic […]
2.6 Engaging with the FSCA
The FSCA strongly believes that shared stakeholder commitment to financial sector policy goals and its own statutory objectives is best achieved through open, honest and constructive collaboration with stakeholders. FSCA, therefore, welcome the fact that the FSR Act enjoins the FSCA to be transparent and open to consultation. FSCA also recognises that the FSCA itself […]
2.5 The FSCA in Context
The FSCA’s strategic priorities and approach in carrying out the FSCA’s functions are a function of the environment within which FSCA operate. The FSCA is part of a broader regulatory framework for the South African financial sector made up of a range of authorities and laws, with complementary objectives, working together to deliver and support […]
2.4 The FSCA’s New Functions
As a result of its expanded mandate and scope, the FSCA has jurisdiction over a number of types of financial institutions, products and services that did not fall under the jurisdiction of the FSB. These new aspects of the FSCA’s jurisdiction will need to be addressed in detail in the FSCA’s future regulatory frameworks, in […]
2.3 How is the FSCA to Deal with Unregistered Business and Illegal Activities
A person or entity performs unregistered business where it purports to provide otherwise legitimate financial products, financial services or a market infrastructure without the appropriate license to do so. The culprit could either have no financial services license at all, or could be an entity that has a license, but is performing financial activities that […]
2.2 Matters Outside the FSCA’s Scope
Despite the breadth of the FSCA’s mandate, there are a number of legal and practical limitations on the scope of the FSCA’s activities. FSCA are not a general consumer protection agency for all types of consumer goods and services. FSCA focus exclusively on regulating and supervising the conduct of entities that provide the financial products […]
2.1 The FSCA’s Objective and Scope
A. The FSCA’s objective The FSCA was created by the Financial Sector Regulation Act, 9 of 2017 (the FSR Act), which sets the objective for the FSCA as follows: Enhance the efficiency and integrity of financial markets. Promote fair customer treatment by financial institutions. Provide financial education and promote financial literacy. Assist in maintaining financial […]
1.6 The Approach of FSCA
The strategy document concludes by confirming the approach and guiding principles the FSCA will adopt in carrying out their regulatory, supervisory and enforcement functions. The FSR Act provides the FSCA with a comprehensive set of tools to deliver on the FSCA’s mandate, balancing these powers with strict checks and balances to ensure that FSCA use […]
1.5 Strategic Priorities
Section 1 of the strategy document explains the FSCA’s new scope and functions, the policy context in which FSCA operate and how the FSCA’s stakeholders can expect the FSCA to engage with them as FSCA implement the new responsibilities. The strategic priorities for the next three years for FSCA are as follows: Building a new […]
1.4 The Financial Sector Regulation Act
The subsections following considers key extracts from the Financial Sector Regulation Act. A. Section 7: Object of the Act The object of this Act is to achieve a stable financial system that works in the interests of financial customers and that supports balanced and sustainable economic growth in the South Africa, by establishing, in conjunction […]