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News

Implications of differing qualifications for wholesale and retail staff

22/07/08

The SII have recently issued a statement regarding the implications of differing qualifications for wholesale and retail staff. The statement is shown below.

With differing examination requirements for retail and wholesale staff, some staff are still unsure what (if any) additional examinations they need to take when moving from wholesale to retail clients. To clarify, staff moving from working with wholesale to working with retail clients:

• If they qualified through Certificate in Securities/Certificate in Securities and Financial Derivatives prior to 19th November 2007, then they don’t need to take Investment and Risk if they start working with retail clients. However, if they change technical area e.g. they hold the Certificate in Securities and now want to advise retail clients on derivatives, then they have to pass the Derivatives unit.

• Staff completing the wholesale route for Certificate in Securities or Certificate in Securities and Financial Derivatives post 19th November 2007, who subsequently want to advise retail clients, must pass Investment and Risk to gain the retail version of the Certificates. Further, if staff change technical function e.g. they hold the Certificate in Securities and want to advise retail clients on derivatives, then they must pass the Derivatives unit as well as Investment and Risk to gain the Certificate in Derivatives - Retail.

• These same rules apply to candidates who have passed the Certificate in Derivatives/ Certificate in Financial Derivatives. Since 1st May 2008, there has been a retail version of these Certificates, where candidates take Investment and Risk. Staff moving from working with wholesale to working with retail clients after 1st May 2008 will have to sit Investment and Risk; those who passed these Certificates prior to 1st May 2008 do not need to pass Investment and Risk.

If you are uncertain of any of the information contained in the above statement, we recommend contacting the SII directly.