Requirements for Registration of Service Providers

Officers of the Authority are available to assist and guide you in the process
Tel: 2809000
Page-1
REQUIREMENTS FOR REGISTRATION OF SERVICE PROVIDERS  Provisions of Section 22, 22A, 23 and 25 of the Retirement Benefits Act  Specific Regulations  Retirement Benefits (Managers & Custodians) Regulations, 2000  Retirement Benefits (Administrators) Regulations, 2007 KEY ISSUES FOR CONSIDERATION

Specific criteria for suitability of applicant as provided under Section 22A of the
Retirement Benefits Act
 The financial status of the applicant (requirements for capitalization provided under the specific regulations).  Solvency of the applicant.  Educational or other qualifications or experience of the applicant having regard to nature of functions for which, if application is granted, the person shall perform.  Ability of the applicant to carry on the regulated activity competently, honestly and fairly. Top Management and Board of Directors of the applicant should also have the necessary educational, professional or other qualifications and experience having regard to the nature of the functions to be performed.  Status of any other license or approval granted to the person by any financial sector regulator.  Reputation, character, financial integrity and reliability of applicant.

Officers of the Authority are available to assist and guide you in the process
Tel: 2809000
Page-2

Operational systems in place to offer respective services including internal control
procedures and risk management systems.
APPLICATION FOR REGISTRATION
The following will be required to enable the Authority consider an application for registration.  Application in the prescribed form, copies available on our website Form A1 - Custodian; Form A2 - Manager; Form A6 - Administrator  The prescribed application for registration fee, currently Kshs.50,000.00 payable to the Authority and submitted with application.  Applicant’s latest full set of audited Financial Statements  Certificate of incorporation of Applicant  Memorandum and Articles of Association of the Applicant – objective to carry out specified service should be in the Memorandum.  Curriculum vitae for Key Technical Staff.  Copies of current registration license, if, the applicant is licensed by any other Financial Sector Regulators.  For custody applications, registration as Authorized Depository by CMA and as a CDS Agent by CDSC are prerequisites to registration.  Applicants should have a minimum paid up share capital including unimpaired reserves – current Kshs.10 million for the Manager and Administrator; Kshs.250 million for the Custodian.  If documents are complete and satisfactory, the Authority will thereafter carry out a due diligence onsite inspection to assess the applicant’s capability to carry on respective services before application for registration is finalized. Some issues during the inspection include and are not limited to the following:

Officers of the Authority are available to assist and guide you in the process
Tel: 2809000
Page-3
The inspection entails:
a) A review of the operational capacity

Information Technology systems including interrogating of the system to
ascertain its functionality.
Other necessary operating facilities including the premises of the applicant
to enable conduct of business. b) A review of the technical capacity
Organization structure
Staffing and roles of the staff
Knowledge and understanding of the business.
c) A review of the draft operational procedure manuals, service level agreements, internal controls/risk management controls and business strategy to be adopted to grow the pension industry.

Requirements for Registration of Service Providers

Similar documents from other regulators