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The ABC of learning options for FAIS compliancy

01 April 2007 Nikki Wouterse, ICG Learning Solutions

It is very important for advisers to understand their learning options before embarking on any form of training

Since the implementation of FAIS Act, financial advisers have been exposed to a wide variety of training options. The choices are vast and offer maximum flexibility to cater to differing needs – whether you choose to study entirely on your own or through classroom and practical training.

"With this in mind it is very important for advisers to understand their learning options before embarking on any form of training," says Nikki Wouterse, CEO of ICG Learning Solutions, the division of Educor working with INTEC School of Insurance to offer flexible and customised learning solutions in response to government initiatives to upgrade national skills.

"Understanding the terminology is the first step to ensure that you register for training that meets your needs, and culminates in a full qualification, without having to repeat previous studies."

Qualification vs. learning programme

The essential difference between a qualification and a learning programme is that a qualification is a learning outcome, and a learning programme is the process one embarks upon in fulfillment of that outcome.

A qualification means the formal recognition of the achievement of learning. A qualification is characterised by learning outcomes – critical cross-field and specific outcomes – which provide the learner with opportunities for further lifelong learning.

A learning programme is a provider-specific course or programme offered to learners against a particular qualification, and is subject to quality assurance by an accredited Education and Training Quality Assurance Body. Learning programmes, then, cannot be registered on the National Qualifications Framework.

Qualification vs. skills programme

A skills programme is a form of learning programme consisting of a unit standard or a cluster of unit standards that is large enough for the outcome to allow the learner to be employable. This cluster of unit standards, when put together, allows for skills to be acquired that provide immediate access to income generation but do not result in a qualification upon completion. They can, however, form a building block or part of a full qualification.

"Therefore, advisers must be aware that while skills programmes can meet short-term training needs to be FAIS compliant, they must be carefully selected as a means to build towards a full qualification, which is expected to be ultimately be required by the Financial Services Board," Wouterse explains.

What is a learnership?

Learnerships are work-based education and training programmes comprising structured theoretical training and practical experience."While qualifications provide the required knowledge, they do not always give the person entering the working world a clear understanding of how to use that knowledge on the job," says Wouterse.

The incentives that are currently available to corporates who undertake learnership programmes for their employees are substantial. In many cases these incentives can match and even surpass the cost of the learnership programmes.The incentives come in the form of grants which are channelled through the sectoral educational and training authorities (SETAs), as well as attractive tax incentives."For this reason, many corporates have selected to assist their employees to become FAIS compliant through learnerships which lead to a full qualification."

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