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  • TC-2 TC-2 General Requirements

    • TC-2.1 TC-2.1 Recruitment and Assessing Competence

      • Recruitment and Appointment

        • TC-2.1.1

          If a licensee recruits or promotes an individual to undertake a controlled function, it must first file Form 3 (Approved Persons) with the CBB and obtain the express written approval of the CBB for that person to occupy the desired position. In its application, the licensee must demonstrate to the CBB that full consideration has been given to the qualifications and core competencies for controlled functions in Appendix TC-1. (See Article 65(b) of the CBB Law and Paragraph AU-2.3.1).

          January 2014

        • TC-2.1.2

          Licensees should refer to Module AU (Authorisation) providing detailed requirements on the appointment of individuals occupying controlled functions (approved persons).

          January 2014

        • TC-2.1.3

          A licensee proposing to recruit an individual has to satisfy itself, of his/her relevant qualifications and experience. The licensee should:

          (a) Take into account the knowledge and skills required for the role, in addition to the nature and the level of complexity of the controlled function; and
          (b) Take reasonable steps to obtain sufficient information about the individual's background, experience, training and qualifications.
          January 2014

        • TC-2.1.4

          The licensee must retain the recruitment records of controlled functions for a minimum period of five years following termination of their services or employment with the licensee. Such records must include, but are not limited to, the following:

          (a) Results of the initial screening;
          (b) Results of any employment tests;
          (c) Results and details of any interviews conducted;
          (d) Background and references checks; and
          (e) Details of any professional qualifications.
          January 2014

      • Assessing Competence

        • TC-2.1.5

          Licensees must not allow an individual to undertake or supervise controlled functions unless that individual has been assessed by the licensee as competent in accordance with this Section.

          January 2014

        • TC-2.1.6

          In the case of new personnel, the licensee should ensure that they work under proper supervision. Where a person is working towards attaining a level of competence, they should be supervised by a competent person until they can demonstrate the appropriate level of competence. It is the licensee's responsibility to ensure that such arrangements are in place and working successfully.

          January 2014

        • TC-2.1.7

          In determining an individual's competence, licensees may assess if the person is fit and proper in accordance with Chapter AU-3.

          January 2014

        • TC-2.1.8

          Licensees must assess individuals as competent when they have demonstrated the ability to apply the knowledge and skills required to perform a specific controlled function.

          January 2014

        • TC-2.1.9

          The assessment of competence will be dependent on the nature and the level of complexity of the controlled function. Such assessment of competence of new personnel may take into account the fact that an individual has been previously assessed as competent in a similar controlled function with another licensee.

          January 2014

        • TC-2.1.10

          If a licensee assesses an individual as competent in accordance with Paragraph TC-2.1.8 to perform a specific controlled function, it does not necessarily mean that the individual is competent to undertake other controlled functions.

          January 2014

        • TC-2.1.11

          A financing company should use methods of assessment that are appropriate to the controlled function and to the individual's role.

          January 2014

      • Record Keeping

        • TC-2.1.12

          A licensee must, for a minimum period of five years, make and retain updated records of:

          (a) Its recruitment procedures;
          (b) The criteria applied in assessing competence; and
          (c) How and when the competence decision was arrived at.
          January 2014

        • TC-2.1.13

          For purposes of Paragraph TC-2.1.12, the record keeping requirements apply to both current employees as well as to employees following termination of their services or employment with the company, for a minimum period of five years.

          January 2014

        • TC-2.1.14

          The recruitement procedures referred to in Subparagraph TC-2.1.12(a) should be designed to adequately take into account proof of the candidates' knowledge and skills and their previous activities and training.

          January 2014

    • TC-2.2 TC-2.2 Training and Maintaining Competence

      • TC-2.2.1

        A licensee must annually determine the training needs of individuals undertaking controlled functions. It must develop a training plan to address these needs and ensure that training is planned, appropriately structured and evaluated.

        January 2014

      • TC-2.2.2

        The assessment and training plan described in Paragraph TC-2.2.1 should be aimed at ensuring that the relevant approved person maintains competence in the controlled function. An individual can develop skills and gain experience in a variety of ways. These could include on-the-job learning, individual study, and other methods. In almost every situation, and for most individuals, it is likely that competence will be developed most effectively by a mixture of training methods.

        January 2014

      • TC-2.2.3

        The training plan of licensees must include a programme for continuous professional development training ('CPD') for their staff.

        January 2014

      • TC-2.2.4

        Approved persons may choose to fulfil their CPD requirements by attending courses, workshops, conferences and seminars at local or foreign training institutions.

        January 2014

      • TC-2.2.5

        The annual training required under Paragraph TC-2.2.1 must also include the quarterly updates, if any, to the CBB Volume 5 (Financing Companies) Rulebook, in areas relevant to each controlled function.

        January 2014

      • TC-2.2.6

        Licensees should maintain appropriate training records for each individual. Licensees should note how the relevant training relates to and supports the individual's role. Training records may be reviewed during supervisory visits to assess the licensee's systems and to review how the licensee ensures that its staff are competent and remain competent for their roles.

        January 2014

      • Maintaining Competence

        • TC-2.2.7

          A licensee must make appropriate arrangements to ensure that approved persons maintain competence.

          January 2014

        • TC-2.2.8

          A licensee should ensure that maintaining competence for an approved person takes into account:

          (a) Application of technical knowledge;
          (b) Application and development of skills; and
          (c) Any market changes and changes to products, legislation and regulation.
          January 2014

        • TC-2.2.9

          A licensee may utilise the CPD schemes of relevant professional bodies to demonstrate compliance with Paragraph TC-2.2.1. In-house training, seminars, conferences, further qualifications, product presentations, computer-based training and one-to-one tuition may also be considered to demonstrate compliance with Paragraph TC-2.2.1.

          January 2014

      • Record Keeping

        • TC-2.2.10

          A licensee must, for a minimum period of five years, make and retain records of:

          (a) The criteria applied in assessing continuing competence;
          (b) The annual assessment of competence; and
          (c) Record of CPD hours undertaken by each approved person.
          January 2014

    • TC-2.3 TC-2.3 Transitional Period

      • TC-2.3.1

        The requirements of this Module for licensees are effective from the issuance date of this Module.

        January 2014

      • TC-2.3.2

        New applications for approved persons are subject to the requirements of this Module (See Paragraph TC-B.1.3).

        January 2014

      • TC-2.3.3

        Approved persons occupying controlled functions at the time this Module is issued will be grandfathered and not subject to the requirements of this Module, with the exception of CPD requirements in Paragraph TC-1.2.1 and Paragraph BR-1.1.2(k). However, should the approved person move to another controlled function, Paragraph TC-2.3.4 will apply.

        Amended: April 2017
        January 2014

      • TC-2.3.4

        In instances, where an approved person in one licensee moves to another licensee and occupies the same function, the CBB will exercise its discretion on whether to grandfather such approved person from the required qualifications and competencies outlined in Appendix TC-1 into the new licensee. The grandfathering criteria used by the CBB will include a comparison of the scope and size of both positions. This will also apply in instances where an approved person in one licensee moves from one department to another within the same licensee.

        January 2014