1. Other regulatory updates Town Hall Meeting June 2013 Adri Messerschmidt

2. Pension Funds Act • Conditions in terms of section 13B of the Pension Funds Act • Second draft August 2012 • FSB Consultation Workshop on 15 May 2013 • Expect a third draft to be released for comment • Will be applicable to benefit administrators only • Investment administrators will be regulated under FAIS • Good Governance Directive (PF130) • PF130 (guidance) to be made a directive • ASISA represented on FSB Working Group to prepare draft for comment • Financial Services Laws Amendment Bill creates provision • Working Group has met 4 times since late 2010 to discuss a first draft • FSB in the process of preparing a legal draft • Release date of draft for public comment unknown.

3. Pension Funds Act • Regulation 28 • Derivatives Notice • Second draft June 2012, submitted comments on 23 July 2012 • Discussed with FSB September 2012 • Discussed further at two meetings during May 2013 • Third draft notice expected to be released for comment • Hedge Funds Notice • First draft June 2012, submitted comments on 23 July 2012 • Discussed with FSB September 2012 and May 2013 • ASISA requested the FSB not to include requirements in respect of structures ahead of the implementation of a regulated product structure in CISCA, under consideration • Second draft expected to be released for comment

4. FAIS • Requirements for nominees • Draft amendments applicable to all nominees published July 2012, submitted comments on 31 July 2012 • Amendments to FAIS Regulations and Code of Conduct for Administrative and Discretionary FSPs i.r.o. nominees will follow • Second draft amendments expected to be published • Financial Soundness Requirements • Published 11 December 2012 • Provision that assets invested in related parties and entities to whom financial services are rendered be excluded from the capital requirement problematic, may apply for exemption • FSB approval of specimen mandates • Cat II & IIA FSPs • FAIS SC will propose alternative to FSB

5. FAIS • Compliance Report for Long-term Insurance Category A and Friendly Society Benefits • Being developed by FSB, ASISA part of Working Group • List of recognised qualifications • Will address practical difficulties with the list with the FSB • Continuous Professional Development • General exemption published in October 2012 • Requirements to be re-designed • Consultation expected to start Q3 2013

6. FAIS • Compliance Officer Regulatory Exams • FSB will soon put out tender for development and maintenance of exams • Envisaged that the exams will be ready by February 2014 • Second level (product) regulatory exams • FSB informed examination bodies of intention to suspend exams • Intention to consult with industry to find alternative solutions to problems experienced with first level exams and to address unique challenges of these exams • Time periods to pass the exams • ASISA requested alignment with period as applicable to services under supervision • Draft amendments to Fit and Proper Determination being awaited

7. New Acts • Credit Rating Services Act • Regulates credit rating agencies and the publication of credit ratings • Came into operation 15 April 2013 • Credit rating agencies have until 17 December 2013 to be registered • Financial Markets Act • Replaces Securities Services Act • Regulates financial markets, exchanges, central securities depositories, clearing houses, trade repositories, securities trading, clearing and settlement, custody and administration of securities, insider trading and other market abuses • Came into operation on 3 June 2013

8. F S L G A B • Financial Services Laws General Amendment Bill • Tabled in Parliament September 2012 • Public hearings in Parliament concluded in April 2013 • NT and the FSB will respond to public hearings 18 June 2013 (provisional date) • Main concern that extended powers granted to the FSB should be balanced by an appropriate prescribed consultation process