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SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED QUALIFICATION: 

Higher Certificate in Financial Products 
SAQA QUAL ID QUALIFICATION TITLE
97754  Higher Certificate in Financial Products 
ORIGINATOR
Milpark Education (Pty) Ltd 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY NQF SUB-FRAMEWORK
CHE - Council on Higher Education  HEQSF - Higher Education Qualifications Sub-framework 
QUALIFICATION TYPE FIELD SUBFIELD
Higher Certificate  Field 03 - Business, Commerce and Management Studies  Finance, Economics and Accounting 
ABET BAND MINIMUM CREDITS PRE-2009 NQF LEVEL NQF LEVEL QUAL CLASS
Undefined  120  Not Applicable  NQF Level 05  Regular-Provider-ELOAC 
REGISTRATION STATUS SAQA DECISION NUMBER REGISTRATION START DATE REGISTRATION END DATE
Registered-data under construction  EXCO 0324/24  2024-07-01  2027-06-30 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2028-06-30   2031-06-30  

Registered-data under construction

The qualification content is currently being updated for the qualifications with the status “Registered-data under construction” or showing “DETAILS UNDER CONSTRUCTION” to ensure compliance with SAQA’S Policy and Criteria for the registration of qualifications and part-qualifications on the National Qualifications Framework (NQF) (As amended, 2022). These qualifications are re-registered until 30 June 2027 and can legitimately be offered by the institutions to which they are registered.

 

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.  

PURPOSE AND RATIONALE OF THE QUALIFICATION 
Purpose:
The purpose of this industry oriented qualification is to provide learners with the basic introductory knowledge, cognitive and conceptual tools and practical techniques for their current roles in industry and for further higher education studies. The knowledge emphasises general principles applicable to long-term insurance and the application of these principles in the financial services industry. This qualification signifies that the learner has attained a basic level of higher educational knowledge and competence in the field of long-term insurance and is capable of applying such knowledge and competence in the workplace.

The purpose of this Higher Certificate is twofold:
  • To enable a large section of "representatives" who advise clients on basic risk and savings products, as defined by the FAIS Act, to gain the necessary knowledge and skills to provide sound advice relating to financial products to clients.
  • To widen access to higher education through an industry oriented qualification.

    Upon completion of the qualification learners will be able to demonstrate the following:
  • Operate in a compliant manner as a representative in the financial services industry.
  • Demonstrate an informed understanding of the structure and nature of long - term insurance and the role-players involved in the industry.
  • Recommend suitable financial products based on the outcome of a needs analysis.
  • Demonstrate personal selling skills in the financial services context.

    Rationale:
    The financial services industry has undergone significant changes in the past 10 years, since the introduction of the Financial Advisory and Intermediary Services Act (FAIS Act). This Act has introduced the minimum qualification requirements for learners who operate as representatives and financial services providers in the industry.

    The institution has been offering a range of qualifications tailored for the needs of the different categories of role-players in the industry. The target group for the qualification is the so-called "Category B1 and B2" learners who are only allowed to market a basic range of products. Even though these learners can only market basic products, they need to adhere to the legislative requirements set by the FAIS Act in terms of the way in which these products may be marketed to the public. In addition, they need to have a basic understanding of the wider financial services industry about the more advanced products available, should their clients already own some of these products. These learners are, mostly employed by Financial Services Providers as agents/brokers and hence the provisions applicable to the establishment and running of a financial services provider business are not covered in this qualification.

    It is important to distinguish between the responsible and compliant sale of a financial product with comprehensive financial planning as a field of study. The compliant sale of a financial product is done through an analysis of the client's need, where after a suitable product is recommended for that particular need and the rationale for the recommendation is explained to the client, as prescribed by the FAIS General Code of Conduct. The Higher Certificate in Financial Products focuses on this process only and while the regulatory environment is similar, comprehensive financial planning is not covered in this qualification. 
    		•

    LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    Recognition of Prior Learning:
    RPL access: mature age applicants may be considered. Recognition of prior learning assessment will be considered in terms of the competencies required by the qualification.

    Information is available in the following documents: Programme fact sheets, Website and Prospectus for admission through a RPL process.

    Entry Requirements:
    Admission requirement for the qualification:
  • Senior Certificate (SC).
  • National Senior Certificate (NSC) passed with Higher Certificate studies.
  • National Certificate Vocational (NCV). 
    		•

    RECOGNISE PREVIOUS LEARNING? 
    Y 

    QUALIFICATION RULES 
    This qualification consists of compulsory modules at NQF Level 5, totalling 120 Credits.
  • Regulatory Environment, 20 Credits.
  • Long-term Insurance: Environment and Concepts, 20 Credits.
  • Risk Products, 30 Credits.
  • Investment and Savings Products, 30 Credits.
  • Personal Selling Skills, 20 Credits. 
    		•

    EXIT LEVEL OUTCOMES 
    1. Operate in a compliant manner as a representative in the financial services industry.
    2. Demonstrate an informed understanding of the structure and nature of long-term insurance and the role-players involved in the industry.
    3. Recommend suitable financial products based on the outcome of a needs analysis.
    4. Demonstrate personal selling skills in the financial services context. 

    ASSOCIATED ASSESSMENT CRITERIA 
    Associated Assessment Criteria for Exit Level Outcome 1:
  • Knowledge of relevant legislation to scenarios is applied in the sales process in order to ensure compliance.
  • Relevant sections of legislation applicable to financial products are identified and knowledge of these provisions are applied to select suitable products for clients.
  • The impact of marital regimes on the ownership of financial products is explained.
  • An understanding of the typical ethical dilemmas in the industry is displayed with reference to the possible reactions in such scenarios.

    Associated Assessment Criteria for Exit Level Outcome 2:
  • Role-players in the industry are identified and their roles and responsibilities are explained.
  • The structure of long-term insurance products is explained and the different roles involved in policy ownership are identified with reference to their rights and responsibilities.
  • Key terms and concepts used in the long-term insurance and investment industries are explained.

    Associated Assessment Criteria for Exit Level Outcome 3:
  • A budget for a client is drafted.
  • A basic capital needs analysis is conducted for death, disability and retirement, with their associated time value of money calculations.
  • Financial products are compared on the basis of suitability in a particular client scenario.
  • The features and benefits of insurance products are explained to clients in a way that will enable them to make informed decisions.
  • Compliance requirements are identified and met in the sales process.

    Associated Assessment Criteria for Exit Level Outcome 4:
  • The basic sales process in insurance is outlined with reference to roles, responsibilities and compliance requirements for each step.
  • Effective communication skills are displayed in client interaction.
  • The principles of 'Treating Customers Fairly' are explained.
  • The sales process is managed from prospecting to review phases.

    Integrated Assessment:
    The quality of the assessment is vital in order to provide credible certification and recognition of achievement. The institution makes every effort to ensure credibility in assessment through the application of clear and rigorous procedures and practices. These procedures and practices are controlled by the principles of fairness, validity, reliability and practicability. By implementing these principles, all parties concerned (including learners, employers and learning institutions) may be assured of the credibility of the assessment process. It is in this way that accurate information about the learner's performance against the associated assessment criteria may be provided.

    Integrated assessment will be used extensively across the qualification, particularly in the case studies. Formative assessment will take place through case studies, assignments, including the writing of proposals and financial plans. Summative assessments will be integrated into the learning in that such assessments will take place at the end of each of the constituent modules of the qualification. 
    		•

    INTERNATIONAL COMPARABILITY 
    International comparability studies were conducted with similar international qualifications from the United Kingdom and Australia.

    The Higher Certificate compares in content and purpose to the UK-based Certificate in Financial Planning. It provides a solid grounding in the financial services market in general and financial planning advice in particular. The Certificate develops knowledge and understanding of:
  • Regulatory issues.
  • The mechanics and purpose of the main investment products.
  • The process of giving advice to clients.

    The qualification is however aimed at support staff, whilst their Diploma in Regulated Financial Planning, at Level 4 (equivalent to first year university, or NQF level 5), is aimed at new industry entrants working towards becoming financial advisers in the UK. The Higher Certificate covers some of the areas covered in this Diploma, which focuses on financial services, regulation and ethics; investment principles and risk; personal taxation; pensions and retirement planning; financial protection; and financial planning practice.

    The Diploma of Financial Planning offered in Australia can be considered at the same NQF Level as the Higher Certificate in Financial Products as the Australian NQF Level 5 qualifications are titled 'Diploma' instead of 'Higher Certificate'. This Australian qualification is aimed at learners entering the financial services industry or transferring to a position where they are required to provide advice to retail clients. In line with Regulatory Guide 146 (RG 146), it is a requirement of the corporate regulator that financial planners complete the minimum skills and knowledge components of the Diploma of Financial Planning before receiving authorisation to provide personal advice in the areas of investment planning, superannuation and insurance with consideration for the client's needs and risk profile.

    The qualification will assist learners to attain the technical knowledge and skills requirements to conduct themselves professionally as authorised representatives. With this Diploma of Financial Planning as a nationally recognised qualification, learners will have the confidence as they will be equipped with the skills and knowledge gained from a credible industry-endorsed qualification that employs best practice assessment standards, helping them to be at the leading edge of their chosen field. The qualification will assist learners who need the skills and knowledge to advice clients with broad and complex needs.

    The qualification outcome(s):
    The Diploma of Financial Planning will introduce learners to the financial planning process and equip them with the technical skills and knowledge required to:
  • Engage effectively with a broad client base, identify various financial planning needs and risk profiles and the different strategies they require.
  • Provide financial planning advice to meet the objectives of retail clients in the areas of insurance, investment and superannuation.
  • Become a successful professional in the Financial Services industry.

    Conclusion:
    The financial regulatory environment in the UK and Australia are very similar in nature to the South African regulatory bodies who assist in the development of qualifications. Thus qualifications from these countries are similar with the current one in terms of the purpose, content and modules. However, it should be noted that even though there are similarities, the duration of the qualification differs. 
    		•

    ARTICULATION OPTIONS 
    The qualification articulates horizontally and vertically as follows:

    Horizontal Articulation:
  • National Higher Certificate Taxation, at NQF Level 5.

    Vertical Articulation:
  • Advanced Certificate in Financial Planning, at NQF Level 6.
  • Diploma in Accounting and Taxation, at NQF Level 6. 
    		•

    MODERATION OPTIONS 
    N/A 

    CRITERIA FOR THE REGISTRATION OF ASSESSORS 
    N/A 

    NOTES 
    N/A 

    LEARNING PROGRAMMES RECORDED AGAINST THIS QUALIFICATION: 
     
    NONE 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS QUALIFICATION: 
    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. Milpark Education (Pty) Ltd 


    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.