GEN 5.3.19 Guidance
Past version: effective from 01/07/2008 - 27/04/2011
To view other versions open the versions tab on the right
1. When considering whether an
Employee is fit and proper, competent and capable, an Authorised Firm should consider any training undertaken or required by an Employee, the nature of the Clients to whom an Employee provides Financial Services, and the type of activities performed by an Employee in the provision of such Financial Services including any interface with Clients.
2. When assessing the fitness and propriety of
Employees, an Authorised Firm should be guided by the matters set out in AUT section A1.3 and should also monitor conflicts or potential conflicts of interest arising from all of the individual's links and activities.
3. When assessing the competence and capability of an
Authorised Firm should:
a. obtain details of the skills, knowledge and experience of the
Employee relevant to the nature and requirements of the role;
b. take reasonable steps to verify the relevance, accuracy and authenticity of any information obtained;
c. determine, in light of the
Employee's relevant skills, knowledge and experience, that the Employee is competent and capable of fulfilling the duties of the role; and
d. consider the level of responsibility that the
Employee will assume within the Authorised Firm, including whether the Employee will be providing Financial Services to Retail Clients in an interfacing role.
Authorised Firm should also satisfy itself that an Employee:
a. continues to be competent and capable of performing its the role;
b. has kept abreast of market, product, technology, legislative and regulatory developments that are relevant to the role, through training or other means; and
c. is able to apply his knowledge.