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: 

Demonstrate an understanding of the core concepts of the money market 
SAQA US ID UNIT STANDARD TITLE
13376  Demonstrate an understanding of the core concepts of the money market 
ORIGINATOR
SGB Banking and Micro Finance 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
BANKSETA - Banking Sector Education and Training Authority 
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 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
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 for people who are able to demonstrate an understanding of the core concepts of the money market.

The qualifying learner is capable of:
  • Demonstrating an understanding of the role of the money market in the South African Financial system
  • Identifying similarities and differences between major products and key interest rates in the money markets
  • Identifying the banking sector`s liquidity management in the money market
  • Operating within the ethical, professional and legal limits of the South African legislation and codes of practice regulating the financial markets
  • Demonstrating an understanding of derivative instruments and markets 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    The learner must be able to work within a treasury or investment environment and to understand the commercial objectives of the operation in which they work. 

    UNIT STANDARD RANGE 
    The typical scope of this unit standard is a treasury or investment environment. 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Demonstrate an understanding of the role of the money market in the South African financial system 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The different components in the financial system are identified and their roles are explained. 

    ASSESSMENT CRITERION 2 
    2. Financial intermediaries are classified and contrasted. 

    ASSESSMENT CRITERION 3 
    3. The assets and liabilities of financial intermediaries, and the place of different types of marketable financial instruments are explained. 

    ASSESSMENT CRITERION 4 
    4. The primary and secondary market, market participants and importance of the money market are correctly identified. 

    ASSESSMENT CRITERION 5 
    5. The use of repurchase agreements and securities lending in the capital markets is described. 

    ASSESSMENT CRITERION 6 
    6. Disintermediation and securitisation in relation to capital adequacy is identified. 

    SPECIFIC OUTCOME 2 
    Identify similarities and differences between major products and key interest rates 
    OUTCOME NOTES 
    Identify similarities and differences between major products and key interest rates in the money markets. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The main features of a broad range of money market products are explained. 

    ASSESSMENT CRITERION 2 
    2. Negotiable certificates of deposit, Bankers' Acceptances and Treasury Bills are described and explained. 

    ASSESSMENT CRITERION 3 
    3. The rationale for differing returns from differing products are explained. 

    ASSESSMENT CRITERION 4 
    4. The interrelationship between the different products is correctly identified. 

    ASSESSMENT CRITERION 5 
    5. The different types of repos are listed. 

    ASSESSMENT CRITERION 6 
    6. The terminology of the repo market, why they are used and the main characteristics of repos are delineated. 

    SPECIFIC OUTCOME 3 
    Identify the banking sector's liquidity management in the money market 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. The monetary functions and duties of the South African Reserve Bank are correctly delineated. 

    ASSESSMENT CRITERION 2 
    2. The accommodation facilities of the South African Reserve Bank are correctly identified. 

    ASSESSMENT CRITERION 3 
    3. The role of the marginal lending facility is correctly identified. 

    ASSESSMENT CRITERION 4 
    4. Levers that can be used to change monetary policy are explained. 

    ASSESSMENT CRITERION 5 
    5. The role of under and over supply at the repo rate is identified. 

    SPECIFIC OUTCOME 4 
    Operate within the ethical, professional and legal limits of the South African legislation 
    OUTCOME NOTES 
    Operate within the ethical, professional and legal limits of the South African legislation and codes of practice regulating the financial markets. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. An understanding of the regulations and legalities of the South African financial system is demonstrated. 
    ASSESSMENT CRITERION RANGE 
    Regulatory objectives, structures, principles, philosophy and historical perspectives.
     

    ASSESSMENT CRITERION 2 
    2. Information within the legislation regulating the financial markets is correctly located. 

    ASSESSMENT CRITERION 3 
    3. Legislation regulating the Financial Markets is complied with. 

    ASSESSMENT CRITERION 4 
    4. Ethical and professional behaviour is demonstrated according to current Codes of Conduct of the South African Institute for Financial Markets. 

    SPECIFIC OUTCOME 5 
    Demonstrate an understanding of the derivative instruments and markets 
    OUTCOME RANGE 
    Future, option, warrant, swaps, forward rate agreements. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    1. Derivative products are described and compared. 

    ASSESSMENT CRITERION 2 
    2. The driving forces of the derivatives market are identified. 

    ASSESSMENT CRITERION 3 
    3. The pricing of derivative instruments is explained. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
    Accreditation for this Unit Standards shall be from the relevant education and Training Quality Assurer through formative and summative assessment by a registered Assessor. Assessment should be contextual and be conducted in the workplace as far as possible.

    The relevant NSB and SGB should be notified of any feedback related to this qualification.
  • Assessors must be registered as an Assessor with the relevant ETQA
  • Moderators must be registered as assessors with the relevant ETQA
  • Training providers must be accredited by the relevant ETQA
  • Moderation should include both internal and external moderation where applicable
  • The relevant ETQA will co-ordinate all moderation activities in accordance with their policies and procedures 

  • UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    Learners can:

    1. Apply knowledge of the money market
    2. Apply understanding of differences between major products in the money markets
    3. Identify derivative products 

    UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    The learner is able to identify and solve problems relating to the completeness, correctness and accuracy of the information received. 

    UNIT STANDARD CCFO WORKING 
    The learner is able to work effectively with others as a member of a team, group, organisation or community. 

    UNIT STANDARD CCFO COMMUNICATING 
    The learner is able to communicate effectively using basic mathematical and/or language skills in the modes of oral and/or written persuasion when communicating with relevant parties regarding the application. 

    UNIT STANDARD CCFO SCIENCE 
    The learner is able to use science and technology effectively and critically in applying the use of the company system to process applications. 

    UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

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

    UNIT STANDARD NOTES 
    Terminology:

    The learner should be able to define and contextualise the following terms:

    Bankers Acceptances, Derivative Instruments, Disintertermediation, Negotiable Certificates of deposit, Primary market, Secondary Market, Securitisation, Treasury Bills, Repo Rate.

    Values:

    The use of tasks and materials in the learning event plan should not discriminate against learners on any grounds prescribed in the Bill of Rights and should promote the orientations outlined in the critical cross-field outcomes. 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Elective  20185   Further Education and Training Certificate: Banking  Level 4  NQF Level 04  Reregistered  2023-06-30  BANKSETA 


    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.
     
    1. Absa Learning & Development 
    2. Bidvest Bank 
    3. Chartall Business College 
    4. Cornerstone Performance Solutions (Pty) Ltd 
    5. Felix Risk Training Consultants 
    6. Firstrand Bank - Benmore 
    7. Nedbank Ltd 
    8. The Facilitation Workshop 



    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.