FAIS certificate for South African brokers: requirements, exams and registration

Contents

1. The documents behind "FAIS certificate"
2. Step by step: from no FAIS status to appointed representative
3. The exams in one table
4. Pitfalls that cost new representatives their status
5. When a client asks for proof on WhatsApp
6. Frequently asked questions

There is no single document called a "FAIS certificate". When people in South African insurance say they are "FAIS certified" or need their FAIS certificate, they mean one of two things: the FSP licence that the Financial Sector Conduct Authority (FSCA) issues to a brokerage under section 8 of the FAIS Act, or the set of competence records that lets an individual act as a representative of that brokerage. An individual adviser never receives a licence of their own. They are appointed by a licensed financial services provider (FSP), listed on its register, and must meet the fit and proper requirements: a recognised qualification, the regulatory examination, class of business and product specific training, and continuous professional development. The path is therefore: join or set up a licensed FSP, get appointed, then collect each piece of evidence before its deadline.

This guide is written for someone entering the industry and for the principal or compliance officer who onboards them. It sorts the documents people call a FAIS certificate, the order in which you obtain them, and what to send when a client asks for proof that you are allowed to advise.

The documents behind "FAIS certificate"

Document	Who holds it	Who issues it	What it proves
FSP licence and certified copies	The brokerage (the licensee)	FSCA, under section 8(5)	The firm may render financial services in the categories and product subcategories on the licence
Confirmation of representative status	The individual, given to clients	The FSP, certified by the provider, under section 13(1)(b)(i)	A mandate exists and the FSP accepts responsibility for the representative's activities within it
Regulatory examination result (RE1, RE5)	The individual	Written through the Moonstone examination body, content set by the FSCA	The person passed the exam that applies to their role
Recognised qualification	The individual	The education provider	The qualification requirement for the products the person is appointed for
Class of business and product specific training records	The individual, filed by the FSP	The training provider or product supplier	Competence for a given class of business and a given product
Entry on the FSCA register	Public	FSCA, from the FSP's submissions	The person is listed as a representative or key individual of a named FSP

The second row is the one most aspirant brokers have never heard of, and it is the closest thing the Act has to a personal FAIS certificate. Section 13(1)(b)(i) says a person may not act as a representative unless, before rendering a financial service, they provide clients with confirmation, certified by the provider, that a service contract or other mandate to represent the provider exists, and that the provider accepts responsibility for what the representative does within that mandate. Section 13 also requires the representative to meet the fit and proper requirements.

Step by step: from no FAIS status to appointed representative

1. Choose your route. Most new entrants join an existing licensed brokerage as a representative. Applying for your own FSP licence is a separate project: under section 8(1) the application goes to the FSCA in the form and manner it determines, with information showing that the applicant meets the fit and proper requirements, and for a company, that every key individual does too.
2. Get appointed by the FSP. The FSP signs a mandate with you, records the products and classes of business you are appointed for, and adds you to its representative register. Your date of first appointment (DOFA) for each product starts the competence clocks.
3. Complete product specific training first. It is required before you render a service on that product, so the brokerage should schedule it before your first client conversation, not after.
4. Work under supervision while you finish the rest. FSCA FAIS Notice 86 of 2018 lets a new representative render services under supervision while meeting the remaining requirements: class of business training within 12 months of first appointment for a product, the regulatory examination within two years, the qualification within six years. Our guide to onboarding a representative under supervision sets out the supervision agreement and the file behind it.
5. Register for and pass the right exam. Representatives write the RE5; FSPs, key individuals and compliance officers write the RE1. Registration runs through Moonstone, by telephone or online, and you need your ID or passport number and the FSP number. The detail is in our guides to the RE5 exam and the RE1 exam for key individuals.
6. Complete the recognised qualification that matches the products on your appointment, before the six-year window closes.
7. Check the public register. Once the FSP has submitted your appointment, confirm your name appears against the right FSP; our walkthrough on checking your name on the FSCA register shows where to look.
8. Keep it alive. Continuous professional development applies from the moment you meet the qualification, exam and class of business requirements, and your status follows the FSP: if you leave, your new FSP must appoint you again.

The exams in one table

The FSCA lists four regulatory examinations. Which one applies depends on your role, not on your preference.

Exam	Who writes it
RE1	FSPs, key individuals and compliance officers in all categories
RE3	FSPs and key individuals in Categories II and IIA, in addition to the RE1
RE4	FSPs and key individuals in Category III, in addition to the RE1
RE5	Representatives in all categories of FSPs

The RE5 has 50 multiple-choice questions with four options each, and the pass mark is 65%: you need at least 33 correct answers. The FSCA also lists representatives who are not required to write the RE5, including those appointed only for funeral and friendly society benefits and those appointed only for Tier 2 products listed in Board Notice 194 of 2017. That exemption is tied to the products, so a later appointment for other products brings the exam back.

Pitfalls that cost new representatives their status

• Treating a course certificate as a FAIS certificate. A training provider's certificate proves one requirement, for example class of business training. It does not appoint you, and it does not let you advise without an FSP.
• Losing track of DOFA. The date follows you from one brokerage to the next, so a move does not restart the clocks. Keep your appointment letters.
• Advising outside your appointment. Being on the register for short-term personal lines does not cover life products. The confirmation you give clients should match the products you are actually appointed for.
• Leaving the licence copy on the office wall only. Section 8(8) requires the licensee to display a certified copy of the licence in every business premises, to refer to the licence in business documentation and promotional material, and to produce it immediately or within a reasonable time to a person who asks for proof of licensed status in order to do business with the firm.
• Saying you are licensed when you are a representative. Section 8(9) prohibits any act indicating that a person is authorised or appointed when they are not. The accurate sentence is "I am a representative of {FSP name}, FSP {FSP number}".

When a client asks for proof on WhatsApp

Clients increasingly ask for proof before they share an ID number or bank details, and they ask in the chat. Answer from the brokerage number, with facts the client can verify themselves:

Hi {first name}, good question. I am a representative of {FSP name}, an authorised financial services provider, FSP number {FSP number}. You can check both the firm and my name on the FSCA register at fsca.co.za. I am appointed for short-term personal lines; for life cover I will introduce you to a colleague who is. I will send you our written confirmation of my mandate now.

A representative still under supervision can say so plainly without sounding unqualified:

Hi {first name}, I work under the supervision of {supervisor name} at {FSP name}, FSP {FSP number}, who reviews my advice. Your quote comes from the brokerage, and {supervisor name} can see this conversation if you would like to speak to them directly.

When those conversations sit on the customer record in a shared inbox rather than on a personal handset, the supervisor can read them and the firm keeps the record if the adviser leaves. In ORIS, replies suggested by the AI arrive as drafts for a person to review, auto-reply runs only under rules the firm sets and never gives advice, and audit logs show who did what. None of that replaces the exam, the qualification or the mandate: it keeps the evidence of supervised advice in one place.

For the legal frame behind every step here, from licensing to the Ombud, see our guide to the FAIS Act.

Frequently asked questions

Can I get a FAIS certificate on my own, without a brokerage?

Not as an individual adviser. You either apply to the FSCA for your own FSP licence, meeting the fit and proper requirements as the applicant and key individual, or you are appointed as a representative by an existing licensed FSP. Courses and exams alone do not authorise you to advise clients.

Is the RE5 the FAIS certificate?

No. The RE5 is the regulatory examination for representatives and is one competence requirement among several. You also need the appointment by an FSP, product specific and class of business training, the recognised qualification within its deadline, and ongoing CPD.

Can I advise clients before passing the RE5?

Yes, under supervision, within the products you are appointed for and once product specific training is done. FSCA FAIS Notice 86 of 2018 gives a supervised representative two years from the date of first appointment to complete the regulatory examination.

What should a client receive to confirm I am a representative?

Section 13(1)(b)(i) of the FAIS Act requires a confirmation, certified by the FSP, that a mandate to represent the provider exists and that the provider accepts responsibility for your activities within it. The client can also check the FSCA register using the FSP number.

Does my FAIS status move with me if I change brokerage?

Your exam results, qualification and training records stay yours, and your date of first appointment follows you. The appointment does not: the new FSP must appoint you, add you to its register and give you a fresh confirmation of your mandate.