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RE5 Study Guide: how to prepare for the Regulatory Exam for Representatives
The RE5 is the regulatory exam every Representative of a FAIS licensed Financial Services Provider must pass. This guide explains what RE5 covers, how the questions are weighted, a six-week study plan and the common traps we see candidates fall into. Written by our RE5 qualified consultants.
Why every Representative writes RE5
The RE5 (Regulatory Examination for Representatives) is administered by the Financial Sector Conduct Authority (FSCA). It tests whether a Representative understands the legislation that governs financial advice and intermediary services in South Africa — primarily the FAIS Act, the General Code of Conduct and Board Notice 194 of 2017 (Fit and Proper Requirements).
New Representatives must pass RE5 within their qualifying period (currently two years from the date of first appointment). Without it, an FSP may not keep you on its register. For senior Underwriters, Claims Administrators and anyone advising on or arranging financial products, RE5 is the baseline that every employer in the market expects.
Key Individuals write a related exam, RE1. The two exams overlap heavily, so a strong RE5 foundation makes RE1 considerably easier later.
What RE5 covers, and how it is weighted
The qualifying criteria published by the FSCA group the syllabus into seven knowledge areas. The percentages below are indicative weightings — study time should follow them.
Purpose of the FAIS Act and the regulatory framework
~21%The Financial Advisory and Intermediary Services Act, 37 of 2002 (FAIS) regulates the giving of financial advice and the rendering of intermediary services. Understand the role of the FSCA, the difference between advice and intermediary services, and the categories of financial product covered.
Authorisation of FSPs and the FAIS licensing regime
~16%FSP categories (I–IV), Key Individuals, Representatives and the obligations attached to each. Know what triggers a debarment, when a Representative may operate under supervision, and how amendments to a licence are processed.
Fit and Proper requirements
~19%Honesty and integrity, competence (qualifications, experience, regulatory exams, CPD), operational ability and financial soundness. This block tests Board Notice 194 of 2017 in detail — learn the experience tables and CPD cycle.
General Code of Conduct for Authorised FSPs and Representatives
~13%Disclosures to clients, record keeping, conflicts of interest management, complaints resolution and the duties owed by Representatives when rendering advice or intermediary services.
Specific Code provisions (direct marketing, replacement, robo-advice)
~10%Targeted obligations that apply to telephonic direct marketing, replacement of long term insurance and automated advice. Pay particular attention to the additional disclosures and waiting periods.
Compliance, complaints, FAIS Ombud and reporting obligations
~9%The role of a Compliance Officer, internal complaints procedures, the Office of the FAIS Ombud and the reports an FSP must submit to the FSCA.
Earnings, supervision, debarment and enforcement
~12%Permissible remuneration structures, supervision agreements for Representatives not yet meeting Fit and Proper, the debarment process, administrative penalties and other enforcement actions available to the FSCA.
A realistic study plan for a working professional
Most candidates we place are studying around a full-time role. Six weeks of consistent evenings and weekends is enough to pass comfortably if the time is structured.
- 1Weeks 1–2
Read the FAIS Act, the General Code of Conduct and Board Notice 194 once end to end. Don't try to memorise yet — build a map.
- 3Weeks 3–4
Work through the FSCA's preparation guide section by section. Make one-page summaries for each task in the qualifying criteria.
- 5Week 5
Drill the high-weight blocks: FAIS purpose, Fit and Proper, and FSP authorisation. Practise scenario questions, not just definitions.
- 6Week 6
Full-length mock exams under timed conditions. Review every wrong answer against the source legislation, not the explanation alone.
- wExam week
Light revision of your own summaries. Sleep, ID document, and arrive 30 minutes early. The exam is computer-based and closed book.
Exam day tactics that actually move the score
- Read every question twice. RE5 questions often turn on a single qualifying word like 'must', 'may' or 'except'.
- Eliminate the two obviously wrong answers first, then choose between the remaining two on the strength of the legislation.
- Flag uncertain questions and move on. Two hours sounds long, but pacing slips fast when scenarios get dense.
- Treat scenario questions as a compliance review. Ask 'what does the Code require here?' before picking an answer.
- Watch for distractor answers that are true in general but wrong for the specific scenario. RE5 loves these.
- Trust your first answer unless you find a clear reason in the question to change it.
Common mistakes we see
Reading study notes instead of the Act. Study guides paraphrase. RE5 tests the wording. Read the FAIS Act, the General Code of Conduct and Board Notice 194 directly at least once.
Ignoring the qualifying criteria document. The FSCA publishes the qualifying criteria for RE5. Each task on that list maps to a possible question. Tick them off as you go.
Cramming definitions and skipping scenarios. About half of RE5 is applied: a short case study and four answers that all sound plausible. The only way to prepare for those is timed practice questions.
Booking the exam too early. The booking fee is meaningful and a fail extends your qualifying period clock. Sit a full mock exam under timed conditions first and only book once you are consistently above 75%.
RE5 done? Let's talk about your next move.
Once you are RE5 qualified, you have access to a wider set of senior roles across Insurance, Banking and Wealth. Our consultants are RE5 qualified themselves and will give you an honest read on where your profile sits in the market.