14 Vermooten Street

Brackenhurst Alberton

[email protected]

Dedicated Support

Mo. to Fr.

08h30 to 16h00

3.2 Financial Sector Regulation Act (Twin Peaks)

The Twin Peaks approach came into effect in the Financial Sector Regulation Act and separates prudential and market conduct regulation and supervision and make this applicable across all financial services institutions. Within this approach, a new Prudential Authority (PA), a division of the South African Reserve Bank (SARB), is responsible for regulating the prudential aspects […]

3.1 Introduction

This topic considers the various pieces of legislation and regulatory initiatives applicable to the financial services sector.

2.2 Regulatory Authorities

A. Financial Sector Conduct Authority In terms of the Financial Sector Regulation Act, the Financial Services Board changed on 1 April 2018 to become the new Financial Services Conduct Authority (FSCA), and its new main role will be to oversee market conduct in the entire financial services sector. B. The South African Reserve Bank (SARB) […]

2.1 Overview of the Financial Services Sector in South Africa

The financial services sector provides the necessary infrastructure that allows people to make day-to-day economic transactions, such as paying for goods through a credit card; to save for their future goals and retirement needs; and to insure themselves against risks, such as damage to their property, or loss of income due to a disability. The […]

1.5 Regulatory Developments Following the World Economic Crisis

The Finance Ministers and Central Bank Governors of the Group of 20 (G-20), established by industrialized and emerging market countries to discuss global economic stability, met on various occasions to ensure a uniform and coherent response to prevent further meltdown in the global financial system and henceforth to ensure that transparency is improved, systemic risk […]

1.4 Financial Regulation

Financial regulation subjects financial institutions to requirements, restrictions and guidelines, aiming the integrity of the financial system. The Dutch were the pioneers in financial regulation, in early modern times. The objective of financial regulation are as follows: Market confidence: This is to promote confidence in the financial system by ensuring the solvency and financial soundness […]

1.3 Sources of Law

Those places where laws can be found are called sources of law. For South African law there are basically four main sources: common law, customary law, judicial precedent and legislation. A. Common law  Common law is a body of unwritten laws based on legal precedents established by the courts. Common law influences the decision-making process in unusual cases where the […]

1.2 Elements of Regulation

Regulation can have several elements: Public statutes, standards, or statements of expectations. A registration or licensing process to approve and permit the operation of a service, usually by a named entity or person. Monitoring whether the statues, standards and expectation are complied with, including reporting. Enforcing those rules by acting against those persons not complying […]

1.1 Introduction

Regulation is generally defined as legislation imposed by a government on individuals and private sector businesses in order to regulate and modify economic behaviors. Conflict can occur between public services and commercial procedures, the interests of the people using these services, and also the interests of those not directly involved in transactions. Most governments, therefore, […]