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

If an FSP provides financial services in multiple categories (e.g., Category I and Category II), the KI must be approved by the FSCA for:

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

  1. a) Only one of the categories.
  2. b) The category with the lowest risk.
  3. c) Only Category I.
  4. d) All categories in which the FSP is licensed.Correct

Why this is the answer

A Key Individual must meet the Fit and Proper requirements (Sec 8(1)(a)), including competence, for the specific categories of financial services they are appointed to manage. If the FSP is licensed for Cat I and Cat II, the KI must be approved for both to oversee them.

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