Purpose
In accordance with the Financial Advisory and Intermediary Services Act, 37 of 2002 (FAIS), and the General Code of Conduct, the FSP has adopted a Conflict-of-Interest Management Policy to ensure that financial services are rendered in a fair, objective, transparent, and client-focused manner.
Optivest Health Services and its representatives are committed to acting in the best interests of clients and to avoiding conflicts of interest wherever reasonably possible. Where a conflict of interest cannot be avoided, appropriate measures are implemented to identify, manage, mitigate, and disclose such conflicts in a manner that supports fair client outcomes.
- What Is a Conflict of Interest?
A conflict of interest arises where the FSP or its representatives have an actual or potential interest that could influence, or reasonably be perceived to influence, the impartial and objective provision of financial services to a client.
- Key Definitions
For reference purposes, the following high-level definitions apply:
- FSP (Financial Services Provider)
Optivest Health Services (Pty) Ltd, FSP No: 13475 - Conflict of Interest
Any situation where an interest may compromise the fair, unbiased, and objective provision of financial services to a client. - Financial Interest
Any benefit, consideration, or reward received by the FSP or its representatives, including commission, fees, gifts, hospitality, sponsorships, or other incentives, as permitted by law. - Immaterial Financial Interest
A minor benefit of limited value that does not reasonably influence decision-making, as defined in applicable legislation. - Ownership Interest
Any ownership, equity, or proprietary interest held in a product supplier, provider, or related entity, including any financial benefit derived from such interest. - Third Party
Any product supplier, provider, associate, distribution channel, or other entity that provides a financial interest to the FSP or its representatives. - Associate
A person or entity with a close personal, business, or ownership relationship with the FSP or its representatives.
- Identifying a Conflicts of Interest
All representatives and relevant personnel are responsible for remaining alert to situations that may give rise to actual or potential conflicts of interest throughout the provision of financial services.
Where a situation may reasonably be perceived to influence objectivity, independence, or the ability to act in the client’s best interests, such situation must be identified and assessed in line with this policy.
- Financial Interests, Remuneration, and Incentives
The FSP and its representatives may only receive financial interests that are permitted under applicable legislation.
All remuneration, fees, commission, or incentives:
- Must be reasonably proportionate to the services rendered;
- Must not result in duplicate remuneration for the same service; and
- Must not compromise the fair treatment of clients.
The FSP does not permit remuneration structures that prioritise the quantity of business secured over the delivery of fair client outcomes.
- Product Selection, Distribution Channels, and Referrals
The FSP may have contractual arrangements with specific product suppliers or distribution channels. Such arrangements are managed to ensure that client interests remain priority.
Where product limitations, eligibility criteria, or budget constraints prevent the FSP or its representatives from meeting a client’s needs, the client may be referred to another appropriate provider. Such referrals are made with due regard to fairness, transparency, and client choice.
- Avoiding and Mitigating a Conflicts of Interest
Where an actual or potential conflict of interest is identified, the FSP will:
- First assess whether the conflict can be avoided; and
- Where avoidance is not reasonably possible, implement appropriate mitigation measures to reduce the risk of client prejudice.
Mitigation measures may include increased oversight, restrictions on certain activities, or other controls designed to protect client interests.
- Disclosure to Clients
Disclosure forms an essential part of managing conflicts of interest.
Clients will be informed of any actual or potential conflict of interest relevant to the financial services provided to them. Disclosure will:
- Be made in writing at the earliest reasonable opportunity;
- Describe the nature of the conflict or relationship giving rise to it; and
- Explain the measures taken to avoid or mitigate the conflict.
- Governance, Oversight, and Monitoring
The governing body of the FSP is responsible for the effective implementation of the Conflict-of-Interest Management Policy.
The appointed Compliance Officer monitors ongoing compliance with the policy and ensures that it is reviewed regularly to remain effective and aligned with regulatory requirements.
The governing body of the FSP shall continue to maintain a Gift Register and shall ensure that all gifts received from a third party with an estimated value of R500 or more are recorded in the FSP’s Gift Register
- Consequences of Non-Compliance
Failure by any employee or representative to identify, disclose, or appropriately manage a conflict of interest may result in corrective or disciplinary action in accordance with applicable laws and internal processes.
- Access to the Full Policy
This disclosure provides a summary of the FSP’s approach to managing conflicts of interest.
The full Conflict-of-Interest Management Policy, including detailed definitions, procedures, internal controls, and governance processes, is maintained by the FSP and is available upon request.