Key Individual

Also known as: KI, key individual

A person responsible for managing or overseeing the financial services activities of an FSP.

A key individual (KI) is the person responsible for managing or overseeing, either alone or together with others, the financial services rendered by an FSP. Every FSP must have at least one approved key individual.

Key individuals must meet stricter Fit and Proper requirements than ordinary representatives — including higher qualification and experience standards and, typically, both the RE5 and the RE1 regulatory examinations.

The KI is accountable for ensuring the FSP and its representatives operate within the law and the General Code of Conduct. A KI cannot delegate this oversight responsibility away.

Related terms

Financial Services Provider (FSP)A person or business licensed by the FSCA to furnish financial advice and/or render intermediary services.RepresentativeA person who renders a financial service to clients on behalf of an FSP — the role the RE5 exam qualifies you for.Fit and Proper RequirementsThe minimum standards of honesty, competence and financial soundness that FSPs, key individuals and representatives must meet.FAIS ActThe Financial Advisory and Intermediary Services Act, 2002 — the law that governs financial advice and intermediary services in South Africa.

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