All RE5 questions
Licensing Qualifications FAIS Act
A new representative for a Tier 1 product holds a recognised honours degree in financial planning. He argues that, with a qualification at that level, he need not write the RE5 or attend the FSP's product training. Which statement is correct?
RE5 practice question with a worked answer. This is one of hundreds of FSCA RE5 questions in the RegulatoryExams question bank.
- a) He is wrong about the RE5 only, because product training applies to unqualified representatives.
- b) He is right about product training, because a qualified person is presumed to understand products.
- c) He is wrong, because the qualification, the examination and product training are separate.Correct
- d) He is right about the RE5, because a recognised qualification at honours level includes it.
Why this is the answer
Competence is made up of distinct requirements: experience, a recognised qualification, the regulatory examination, class of business training, product-specific training and CPD. Each must be met in its own right. A qualification, however advanced, does not replace the examination on the legislation or training on the particular products he will sell.
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