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SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD: 

Explain common transactions in a collective investment scheme portfolio 
SAQA US ID UNIT STANDARD TITLE
243135  Explain common transactions in a collective investment scheme portfolio 
ORIGINATOR
SGB Insurance and Investment 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Finance, Economics and Accounting 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 3  NQF Level 03 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Reregistered  2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2024-06-30   2027-06-30  

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.  

This unit standard replaces: 
US ID Unit Standard Title Pre-2009 NQF Level NQF Level Credits Replacement Status
9001  Explain basic transactions in the collective investment industry  Level 3  NQF Level 03   

PURPOSE OF THE UNIT STANDARD 
This Unit Standard provides a broad introduction to the collective investment industry and will be useful for learners in Administration in collective investment managers. It builds on the Unit Standards, Describe collective investment schemes, Outline the structure of the collective investment industry and the Unit Standard, and Indicate how collective investment scheme portfolios are reported.

The qualifying learner is capable of:
  • Demonstrating knowledge and understanding of the concept of buying participatory interest in collective investment scheme portfolios.
  • Explaining the concept of repurchasing of participatory interest in collective investment scheme portfolios.
  • Explaining the concept of switching in the collective investment industry.
  • Explaining the concept of cessions. 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    It is assumed that learners are competent in Communication and Mathematical Literacy at Level 2. 

    UNIT STANDARD RANGE 
    The typical scope of this Unit Standard is:
  • Processes include the buy, sell, switch, cede processes and timing.
  • Advantages and disadvantages of ceding include, but are not limited to short term bridging finance and the effect on the long term nature of the investment. 

  • Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Demonstrate knowledge and understanding of the concept of buying participatory interest in collective investment scheme portfolios. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The fees associated with the purchase of participatory interest in collective investment scheme portfolios are identified with reference to the Collective Investment Schemes Act, no 45 of 2002 (CISCA), the deed of a selected collective investment scheme and deed of the portfolio within a scheme. 

    ASSESSMENT CRITERION 2 
    The concept of unit creations applied by collective investment scheme managers is explained with reference to new investments in the fund. 

    ASSESSMENT CRITERION 3 
    Knowledge of the Financial Intelligence Centre Act (FICA) is applied to the purchase and repurchase of participatory interest in collective investment schemes. 

    SPECIFIC OUTCOME 2 
    Explain the concept of repurchasing of participatory interest in collective investment scheme portfolios. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The price used to repurchase participatory interest in a collective investment scheme portfolio is identified from a daily newspaper. 

    ASSESSMENT CRITERION 2 
    The obligation of the manager to repurchase is explained with reference to net asset value of the participatory interest in a collective investment scheme portfolio. 

    ASSESSMENT CRITERION 3 
    The concept of unit cancellation and liquidation applied by collective investment scheme managers is explained with reference to investors leaving the fund. 

    ASSESSMENT CRITERION 4 
    The concept of ring fencing is explained with reference to block repurchasing of units. 

    SPECIFIC OUTCOME 3 
    Explain the concept of switching in the collective investment industry. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The term switching is explained as it is used in the collective investment industry. 

    ASSESSMENT CRITERION 2 
    Rules associated with switching are explained in the context of a particular Collective Investment Schemes Manager. 

    ASSESSMENT CRITERION 3 
    The benefits of switching within a Management Company, switching between collective investment scheme managers and switching within a Linked Investment Service Provider (LISP) are compared from an investor's perspective. 

    SPECIFIC OUTCOME 4 
    Explain the concept of cessions. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The concepts of cessions and transfers are explained and an indication is given of when each may be used by an investor. 

    ASSESSMENT CRITERION 2 
    The rules relating to cessions are explained within the context of a particular Collective Investment Schemes Manager. 

    ASSESSMENT CRITERION 3 
    The advantages and disadvantages of ceding participatory interest in a collective investment scheme portfolio are explained with reference to a particular investment objective. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • Anyone assessing a candidate against this Unit Standard must be registered as an assessor with the relevant ETQA or ETQA where a Memorandum of Understanding (MOU) exists with the relevant ETQA.
  • Any institution offering learning that will enable achievement of this Unit Standard must be accredited as a provider through the relevant ETQA or ETQA where a Memorandum of Understanding (MOU) exists with the relevant ETQA.
  • Moderation of assessment will be overseen by the relevant ETQA according to the moderation guidelines and the agreed ETQA procedures. 

  • UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    N/A 

    UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO COLLECTING 
    The learner is able to collect, organise and evaluate information effectively by identifying what supplementary documentation is required by a particular Collective Investment Schemes Manager. 

    UNIT STANDARD CCFO COMMUNICATING 
    The learner can communicate effectively using visual, mathematics or language skills when explaining the concept of cessions and the disadvantages of ceding and repurchasing of participatory interest in a collective investment scheme portfolio. 

    UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

    REREGISTRATION HISTORY 
    As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015. 

    UNIT STANDARD NOTES 
    This unit standard replaces unit standard 9001, ' Explain basic transactions in the collective investment industry ', Level 3, 2 credits. 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Elective  66613   Further Education and Training Certificate: Wealth Management  Level 4  NQF Level 04  Passed the End Date -
    Status was "Reregistered" 
    2021-06-30  As per Learning Programmes recorded against this Qual 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    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. African Resources & Financial Training (Pty) Ltd 
    2. CKP Development Agency (Pty) Ltd. 
    3. De Vries Management & Training Services cc 
    4. Faisit (Pty) Ltd 
    5. Masifunde Training Centre (Pty) Ltd 
    6. Ray Strodl Consulting (Pty) Ltd 
    7. RJM Educational Consulting (Pty) Ltd 
    8. Sanlam Life Insurance 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.