SAQA

All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.

SOUTH AFRICAN QUALIFICATIONS AUTHORITY

REGISTERED UNIT STANDARD THAT HAS PASSED THE END DATE:

Demonstrate knowledge and insight into the Unit Trust Control Act (1981 amended 1988)

SAQA US ID	UNIT STANDARD TITLE
12165	Demonstrate knowledge and insight into the Unit Trust Control Act (1981 amended 1988)
ORIGINATOR
SGB Insurance and Investment
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-
FIELD			SUBFIELD
Field 03 - Business, Commerce and Management Studies			Finance, Economics and Accounting
ABET BAND	UNIT STANDARD TYPE	PRE-2009 NQF LEVEL	NQF LEVEL	CREDITS
Undefined	Regular	Level 4	NQF Level 04	2
REGISTRATION STATUS		REGISTRATION START DATE	REGISTRATION END DATE	SAQA DECISION NUMBER
Passed the End Date - Status was "Reregistered"		2018-07-01	2023-06-30	SAQA 06120/18
LAST DATE FOR ENROLMENT		LAST DATE FOR ACHIEVEMENT
2024-06-30		2027-06-30

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.

This unit standard does not replace any other unit standard and is not replaced by any other unit standard.

PURPOSE OF THE UNIT STANDARD

This unit standard is intended for learners who give financial advice and learners who work in Unit Trust Management Companies.

The qualifying learner is capable of:

Explaining how the Unit Trust Control Act regulates the industry, management companies and fund managers.

Explaining how the Act protects the unit holder.

LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING

There is open access to this unit standard. Learners should be competent in Communication and Mathematical Literacy at Level 3.

UNIT STANDARD RANGE

The typical scope of this unit standard is

1. Activities as required by the Act.

Specific Outcomes and Assessment Criteria:

SPECIFIC OUTCOME 1

Explain the role of the Unit Trust Control Act in the unit trust industry.

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The role and functions of the Financial Services Board in the unit trust industry is explained with reference to what the board is and its role in developing financial legislation.

ASSESSMENT CRITERION 2

2. The need for regulation of the unit trust industry is explained with reference to the determination of ethical practices within the Financial Services industry.

ASSESSMENT CRITERION 3

3. The reason for the existence of the Association of Unit Trusts (AUT) is indicated in terms of the Unit Trust Control Act.

ASSESSMENT CRITERION 4

4. The difference between legislation and standards set by AUT is identified with examples of how AUT standards expand on the Act.

SPECIFIC OUTCOME 2

Explain the role of the Unit Trust Control Act in the regulation of management companies.

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The requirements for the establishment of a management company are listed in terms of the required registration and documentation.

ASSESSMENT CRITERION 2

2. The requirements and limitations placed on unit trust management companies are identified in terms of the legislated criteria.

ASSESSMENT CRITERION 3

3. The reasons for the inclusion of commission disclosure are given with reference to the benefits to the consumer.

ASSESSMENT CRITERION 4

4. The effect of the requirements of commission disclosure on the broker and the market are analysed and debated and a decision is made that offers a personal point of view and substantive argument.

ASSESSMENT CRITERION 5

5. The contents, format and manner of issue of the statutory notice are explained and an indication is given of the responsibilities of the client, the intermediary and the insurer.

ASSESSMENT CRITERION 6

6. Requirements regarding the use of language in disclosure and other documents are indicated with reference to actual documents.

ASSESSMENT CRITERION 7

7. Disclosure and other related policy documents are analysed for contraventions and compliance and reasons are given to motivate changes if necessary.

SPECIFIC OUTCOME 3

Explain how the Unit Trust Control Act regulates fund managers.

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The function of the fund manager within a unit trust management company is explained and an indication is given of the role s/he plays in managing unit trusts.

ASSESSMENT CRITERION 2

2. The requirements and limitations on fund managers are explained as indicated in the Act.

SPECIFIC OUTCOME 4

Explain how the Unit Trust Control Act protects the unit holder.

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The Unit Trust Control Act is analysed and the ways in which the Act protects the individual unit holder are presented in a summary.

ASSESSMENT CRITERION 2

2. The importance of health warnings within the unit trust industry is outlined with reference to transparency.

UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS

This unit standard will be internally assessed by the provider and moderated by a moderator registered by INSQA or a relevant accredited ETQA. The mechanisms and requirements for moderation are contained in the document obtainable from INSQA, - INSQA framework for assessment and moderation.

Critical Cross-field Outcomes (CCFO):

UNIT STANDARD CCFO IDENTIFYING

Learners can make a responsible decision, offer a point of view and substantiate an argument on the effect of the requirements for commission disclosure on the broker and the market.

UNIT STANDARD CCFO COLLECTING

Learners can collect, organise and critically evaluate information in analysing the Act and identifying ways in which the consumer is protected.

UNIT STANDARD CCFO COMMUNICATING

Learners can communicate effectively when explaining how the Act regulates the unit trust industry.

UNIT STANDARD CCFO DEMONSTRATING

Learners can demonstrate an understanding of the world as a set of related systems by explaining the need for regulation of the unit trust industry and the role of AUT.

UNIT STANDARD CCFO CONTRIBUTING

Learners can participate as responsible citizens in understanding health warnings and the need for transparency in the unit trust industry.

REREGISTRATION HISTORY

As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015.

QUALIFICATIONS UTILISING THIS UNIT STANDARD:

	ID	QUALIFICATION TITLE	PRE-2009 NQF LEVEL	NQF LEVEL	STATUS	END DATE	PRIMARY OR DELEGATED QA FUNCTIONARY
Core	20638	National Certificate: Collective Investment Schemes	Level 4	NQF Level 04	Passed the End Date - Status was "Registered"	2004-12-05	INSETA
Elective	48494	National Certificate: Financial Services Management	Level 3	NQF Level 03	Passed the End Date - Status was "Reregistered"	2012-06-30	INSETA
Elective	20773	National Certificate: Long Term Insurance	Level 4	NQF Level 04	Passed the End Date - Status was "Registered"	2004-12-05	INSETA

PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD:

This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.

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