Minimum Competency Requirements & Annual Fitness & Probity Due Diligence
Thu Nov 12 2020
Minimum Competency Requirements
As we approach the end of the year, it is timely to remind members of their CPD requirements under the Minimum Competency Code. All individuals whether Grandfathered or Qualified are required to complete 15 formal hours of CPD per annum, of which 1 hour must relate to Ethics per year.
Outlined below are the categories of accreditation under the Minimum Competency Code.
- Life Assurance
- Savings and Investments
- Personal General Insurance
- Commercial General Insurance
- Private Medical Insurance and Associated Insurances
- Housing Loans, Home Reversion Agreements and Associated Insurances
- Consumer Credit and Associated Insurances
The content of CPD hours must be directly relevant to the functions of the Grandfathered person, e.g. If as a Grandfathered individual you advise on Life, Pensions, Savings & Investments and Mortgages, then at least one hour of CPD completed must be directly relevant to the functions undertaken i.e. a hour CPD in each of the Categories 1,2,3 & 7.
Qualified Individuals *
The content of CPD hours must be relevant to each category of retail financial product in which you are accredited. For example, an individual holding the QFA must complete one hour CPD in categories 1, 2, 3, 7 & 8. When all of the ‘one-hour’ and Ethics requirements have been met, the remaining hours (to make up the overall 15 hour requirement) can be made up of other CPD hours, provided they are relevant to any of the five categories.
* ACII qualified individuals – please refer to the following link.
Annual Fitness & Probity Due Diligence
Under the Central Bank’s Fitness & Probity requirements, on an annual basis firms must carry out an audit of persons who hold a PCF( Pre-Approved function) or CF (Controlled Function) role within their brokerage. All persons who act as a PCF or CF should be asked to certify that they are aware of Fitness and Probity Standards and that they agree to continue to abide by those Standards. They are also required to confirm whether they are aware of any material developments in relation to their compliance with the Fitness & Probity Standards since due diligence was last carried out.
All persons holding a PCF/CF must read the Fitness & Probity Standards and complete the required Controlled Function Annual Declaration. This declaration is required to be completed on letterhead and retained on file.
NOTE: There will be a separate requirement to submit an annual PCF declaration on the Central Bank’s online reporting system – this is normally completed in Jan/Feb. Brokers Ireland will update members when this return is available for completion.