Are you still on track regarding your CPD requirements?

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Are you still on track regarding your CPD requirements?

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Deadlines are important in helping us achieve our goals. While we hate having looming deadlines, we should instead see them as a source of inspiration, for purpose and a motivation.

We all set personal deadlines (from ‘I have to leave by 8 AM if I hope to get to the interview on time’ to ‘I want to lose 5 kilos in three months’ time’) and we have the sole responsibility of meeting them. While we might think it’s okay to miss them, we will later see the impact on our daily tasks and personal lives. So, why did I start this message with the importance of meeting deadlines? While the events in the last couple of weeks would have had a tremendous impact on our daily lives, disrupting our plans and our goals, there are still obligations to fulfill and deadlines to meet. Did we adapt our plans to changing circumstances? Did we follow these amended plans to complete our tasks? Surely, we would have then been on track?

Unfortunately, this is not true for all of us. We are getting close to the end of the CPD cycle and you still haven’t completed your required CPD points for the cycle to meet your Fit and Proper requirements as per FAIS legislation. Remember the important CPD goals you set for the year.

Let us again look at the importance of completing CPD. CPD must be planned, implemented, maintained and monitored by the FSP on an on-going basis to ensure that the FSP, Key Individual and Representative:

  • maintains existing knowledge and skills appropriate to the activities and responsibilities of the affected persons;
  • updates knowledge and skills on a continuous basis; and
  • acquires new knowledge and skills to assist with their current activities and responsibilities/functions contemplated in the future.

Therefore, we need to continuously upskill ourselves. Now more than ever we should not be complacent about the direction the industry would go. The financial services industry was greatly affected by the COVID-19 pandemic and, certainly, we could foresee some legislative changes. Some of the providers will have to look at current policy wordings in order to assess the insurance exposure related to the pandemic. Certainly, you must upskill and be willing to seek out skills enhancement opportunities more vigorously, as this will be so important, in ever-changing times.

The Financial Sector Conduct Authority (the Authority) also acknowledges the impact of the COVID-19 on South Africa, in general, and the financial services industry, specifically. The Authority is aware of the challenges the regulated entities might face in complying with various regulatory requirements. Extensions have therefore been provided in order to comply with the fit and proper-related deadlines.

The extensions, as compiled by the FSCA, are as follows:

Regulatory Examinations

  • All Regulatory Examinations with a 2020 deadline will be extended to a deadline of 15 December 2020.

Class of Business (COB) Training

  • COB deadlines that were due for completion in 2020 will be extended to a deadline of     15.December 2020.
  • FSPs will have to extend the supervision period for such affected representatives.

Qualifications

  • All qualification deadlines that were due for completion during 2020 will be extended to a deadline of 15 December 2020. This date will be subject to review.

Continuous Professional Development (CPD)

The 2019/2020 cycle:

  • Due to the cancellations of CPD activities in March and April, FSPs, key individuals and representatives will be granted an additional three months (until 31 August 2020) to meet the CPD requirements for this cycle.

The 2020/21 CPD cycle:

  • The CPD requirements for this cycle will start on 1 September 2020 and end on 31 May 2021. The CPD hours for this cycle will be calculated on a pro rata basis, i.e. calculated for nine months instead of 12 months, and will be reduced pro rata with three months.

The FSCA also supports alternative methods to face-to-face events to obtain CPD hours/points, which could include webinars and on-line activities.

So, let us use the lockdown period to reflect on our personal dreams, and how we can yet meet our goals by using the time to upskill and acquire more knowledge for personal development – and for others.

 

Article by Deon Macauley, Academic Manager – School of Financial Planning and Insurance

 

Reference

Board Notice 194 of 2017. FINANCIAL SERVICES BOARD.2017 [Online] Available from:

https://www.fsca.co.za/Notices/Board%20Notice%20194%20of%202017.pdf

[Accessed:2020-04-10]

FSCA. COMMUNICATION 9.2020 [Online] Available from:

https://www.fsca.co.za/Regulatory%20Frameworks/Temp/FSCA%20COMMUNICATION%209%20OF%202020%20(GENERAL).pdf

[Accessed:2020-04-21]

 

 

© 2020 Milpark Education (Pty) Ltd. All rights reserved. The content of this article is provided for general information purposes only, and does not constitute financial, legal, planning, investment or other professional advice, or an opinion of any kind. Visitors to this article are advised to seek specific guidance on financial-planning issues from recognised CFP® professionals, who are members of the Financial Planning Institute of Southern Africa, and who are in good standing. Milpark Education does not warrant or guarantee the quality, accuracy or completeness of any information in this article. The article is current, as of the original date of publication, but should not be relied upon as accurate, timely or fit for any particular purpose. Views expressed are those of the author(s) and do not necessarily represent the views of Milpark Education.

 

 

23 Apr 2020