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Fit & Proper FSP License (Fit & Proper/Operational Ability)
A newly appointed representative is working under supervision. What must happen regarding their disclosure to clients?
RE5 practice question with a worked answer. This is one of hundreds of FSCA RE5 questions in the RegulatoryExams question bank.
- a) The supervised status must be disclosed to clients where required, so clients know the person is working under supervision.Correct
- b) The supervised status must be hidden from clients to avoid alarming them.
- c) Clients must be told the representative is fully competent in all products immediately.
- d) The representative must claim to be a key individual.
Why this is the answer
Where a representative acts under supervision, that status must be disclosed to clients as required, so they understand the arrangement. Concealing it, or misrepresenting the person's status, breaches the conduct requirements.
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