Task 7 — General Code of Conduct

The General Code of Conduct for Authorised Financial Services Providers and Representatives (Board Notice 80 of 2003, as amended) prescribes how every FSP and representative must behave when interacting with a client. It is the most heavily examined task in RE5 because it governs daily practice: suitability, disclosure, advertising, record of advice, complaints handling and conflict-of-interest management.

• 01Render financial services honestly, fairly, with due skill, care and diligence, in the client's interest and the integrity of the financial-services industry.
• 02Conduct a documented suitability analysis: identify the client's needs, objectives, financial situation and risk profile before recommending any product.
• 03Disclose product features, fees, commissions, monetary obligations and material conflicts of interest before the client is bound.
• 04Keep a Record of Advice in durable form for at least five years from the date of termination of the product or relationship.

• 01The six-step suitability process and the consequences of an inadequate needs analysis.
• 02Mandatory disclosures: product, FSP, representative, fees, commissions, complaints route.
• 03Conflict-of-interest policy, gift-register thresholds and the definition of 'material interest'.
• 04Specific Code provisions on advertising, direct marketing and electronic communications.