FSB -
Failure in Protecting South Africa's Financial Services Industry
Thinking back on the last 5 years, the Financial Services Board has gone to great lengths to get FSPs and Financial Advisers compliant with new regulations, which I may add must have brought in millions and cost FSPs millions. All aimed at the good of the industry which I am for, but what has the FSB done to protect the public?
One can only wonder how many investors have lost money it what seemed to be all above board investments. These are just a few that come to mind: Sharemax, Kings Financial Services, PIC, Blue Pointer, City Capital, Blue Zzone, Treoc,Fedsure and now the Hedge Fund RVAF managed by Herman Pretorouis.
The investments lost must amount to billions, all these investment schemes operated right under the noses of the FSB, in fact most of these schemes carried FSB approval as licensed FSPs!
An extract from a recent article in Personal Finance:
Fall-out from ‘hedge fund’ shooting
Personal Finance asked the FSB to investigate Pretorius in May 2011.
This week, Gerry Anderson, FSB deputy executive in charge of market conduct, said that following Personal Finance’s request for an investigation, “the FSB engaged with Mr Pretorius, a former policeman, and was satisfied with the answers he provided at the time”.
This can only make one wonder about the extent and credibility of the FSB?
If they had done proper investigations to these schemes they could have protected the public against loosing billions!
Now, every one is looking around who is to blame? My opinion is the FSB has failed to protect the public and should be liable and should be held accountable for the tragic blow to investors and the financial services industry.
What are you thoughts?
