FSCA Publishes Conduct Standard for Collective Investment Scheme Managers

Posted 15 August 2025 Written by Acts Online
Category Financial Sector

Brought to you by SA Legal Academy: The Financial Sector Conduct Authority (FSCA) has finalised and published a conduct standard setting out requirements for managers of collective investment schemes.

In terms of the Financial Sector Regulation Act, No. 9 of 2017, the FSCA has issued the conduct standard following a consultation process that began with the release of a draft version in November 2023. The standard is designed to enhance the regulatory framework for managers registered under the Collective Investment Schemes Control Act, No. 45 of 2002 (CISCA).

The conduct standard prescribes specific requirements to be met by managers in respect of:

  • Governance frameworks and risk management processes;
  • Operational requirements and internal controls; and
  • Conduct of business standards, including disclosure obligations to investors.

It is important to note that the conduct standard does not apply to managers of collective investment schemes in participation bonds, who remain subject to existing regulatory requirements specific to those schemes.

What this means for you, your business, or your clients

  • For yourself: No direct individual obligations; impact is channelled through professional advisory roles regarding compliance with the Collective Investment Schemes Control Act, No. 45 of 2002.
  • For your business: Compliance officers and auditors must update their monitoring programmes and audit scopes to include the specific governance and operational requirements set out in the new FSCA standard.
  • For your clients: Managers of collective investment schemes (excluding participation bonds) must perform a gap analysis of their current governance and disclosure practices against the new standard to ensure full compliance.

Originally published at https://legalacademy.co.za/news/read/financial-sector-conduct-standard-published-for-collective-investment-scheme-managers

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