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Key Individual Role of the Key Individual in terms of the FAIS Act

What is the core statutory function of a key individual within an FSP?

RE5 practice question with a worked answer. This is one of hundreds of FSCA RE5 questions in the RegulatoryExams question bank.

  1. a) To manage and oversee the financial-services activities of the FSP (or the part of them they are responsible for).Correct
  2. b) To personally guarantee every client’s investment returns.
  3. c) To act as the FSP’s external auditor.
  4. d) To handle only the FSP’s social-media accounts.

Why this is the answer

A key individual is the person responsible for managing or overseeing the FSP's financial-services activities (or a defined portion of them). They do not guarantee returns, audit the FSP, or merely run marketing.

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