Prepare Your Financial Advisory Business for the Future of Regulation. Stay ahead with comprehensive COFI compliance solutions.
Failure to comply can lead to business closure, fines up to R10 million, and loss of reputation. Start preparing now.
The Conduct of Financial Institutions (COFI) Bill is the upcoming regulatory framework that will reshape how South African financial institutions operate. It focuses on conduct, customer outcomes, ethics, fairness, transparency, and accountability.
Once implemented, COFI will consolidate multiple existing laws under a single regulatory standard driven by Treating Customers Fairly (TCF) outcomes.
COFI will apply to all financial sector participants, including financial advisers, insurers, administrators, product suppliers, intermediaries, investment managers, and call centre-based distribution teams.
Being ready early protects your license, strengthens your business model, and gives you a competitive advantage
Non-compliance can result in license suspension or complete business shutdown.
Fines of up to R10 million for failure to meet COFI requirements.
Increased risk of Ombud complaints and regulatory legal proceedings.
Loss of client trust and competitive positioning in the market.
Increased regulatory oversight and mandatory compliance audits.
Your business must have these key areas in place to be COFI compliant
Clearly defined value proposition, business goals, and client segments with documented strategic direction.
Clear roles, Key Individuals, decision-making structures, and comprehensive risk oversight frameworks.
Evidence-based operations including onboarding, advice processes, complaints handling, and TCF alignment.
Comprehensive framework covering POPIA, FICA, COFI, cybersecurity, data governance, and due diligence.
Products must match target markets and client needs with documented suitability assessments.
Training records, CPD tracking, RE exams, competence assessments, and Fit & Proper compliance.
Demonstrable evidence of how each of the 6 Treating Customers Fairly outcomes is achieved.
Fair, clear, timely, and documented communications with no misleading advice or information.
Complete fact-finds, needs analysis, disclosures, Statement of Advice, and client sign-off documentation.
Evidence-based compliance with Treating Customers Fairly principles
Customers are confident they are dealing with a fair and trustworthy firm.
Products and services are designed for specific client needs and target markets.
Clear information provided before, during, and after the advice process.
Products consistently deliver what was promised to clients.
No unreasonable post-sale barriers to change, switch, or cancel products.
Clients are treated fairly even when things go wrong or issues arise.
Essential components your business needs for compliance
Organogram with clear roles, responsibilities, and Key Individual appointments
Written business plan with value proposition and target market definitions
Documented client advice process, complaints procedure, and audit trails
POPIA, FICA, cybersecurity controls, and due diligence procedures
Annual competency reviews, CPD tracking, and RE5/RE1 evidence
Documented proof for all 6 TCF outcomes across your operations
A phased approach to ensure your business is ready
Comprehensive gap analysis against COFI requirements to identify areas needing attention and establish your baseline compliance score.
Build required frameworks, policies, and procedures with expert templates and guidance tailored to your business model.
Roll out training programs, align systems, define roles clearly, and embed compliance into daily operations.
Establish monitoring systems, reporting structures, and upgrade CRM/data management for ongoing proof of compliance.
Continuous improvement through regular compliance checks, updates, and staying ahead of regulatory changes.
Comprehensive solutions to prepare your business for regulatory excellence
Comprehensive scoring model across governance, strategy, advice, risk, systems, and competence.
Professional, COFI-compliant templates for all required policies, procedures, and frameworks.
CPD-accredited courses covering COFI, TCF, and all compliance requirements for your team.
Advanced recordkeeping, automated review systems, and compliance monitoring technology.
One-on-one guidance from COFI specialists to tailor compliance solutions to your business.
Independent compliance audits and file reviews to identify gaps and ensure ongoing adherence to COFI requirements.
It is the opportunity to build stronger, client-centric, future-proof financial advisory businesses in South Africa. Early preparation is your strategic advantage.
A structured COFI Readiness Assessment will give you a comprehensive score across governance, strategy, client value, advice processes, risk management, systems capability, documentation, and ongoing competence.
Once implemented, COFI will not ask what you say you do — it will ask if you can prove you did it.