As I reflect on South Africa’s evolving retirement landscape, I see the need to address recent policy shifts, especially the introduction of the two-pot retirement system. At the Financial Planning Institute of Southern Africa NPC (FPI), we remain committed to advocating for fair, transparent, and sustainable retirement reforms that prioritise the financial well-being of all South Africans. In this article, I’ll share key developments from the past quarter, drawing from the January 2025 edition of FPI Times and our formal response to the 2025 Draft Revenue Laws Amendment Bill (RLAB) submitted to National Treasury and SARS.
The two-pot system: Progress and concerns
The implementation of the two-pot system is both a step forward and a challenge. While it introduces much-needed flexibility by allowing members to access part of their retirement savings during financial hardships, it also raises concerns about fairness.
Specifically, the treatment of vested rights for members over the age of 55 in occupational provident funds is inconsistent with the protections offered to those in individual provident preservation funds.
In our submission on the draft Revenue Laws Amendment Bill 2025 to National Treasury and SARS, we highlighted the need for equitable treatment across all fund types.
Currently, members of occupational provident funds are automatically included in the two-pot system when transferred to another provident fund, which can compromise their vested rights. Meanwhile, individuals moving between provident preservation funds retain their rights seamlessly. This disparity creates confusion and may pressure individuals into decisions that don’t align with their long-term financial goals.
Advocating for legislative clarity
We strongly believe that all retirement fund members deserve the same rights and protections, regardless of their fund type. That’s why we proposed specific legislative amendments to ensure:
Protection of Vested Rights: Members over 55 should retain full portability of their vested rights during transfers, aligning the rules for occupational and individual provident funds.
Member Choice: Rather than automatic inclusion, members should have the option to opt into the two-pot system, giving them control over their financial future.
Further updates from FPI
As we embark on 2025, I’m excited to share key updates from the January 2025 edition of FPI Times that reflect our commitment to professionalism, ethical excellence, and continuous growth within the financial planning industry.
The importance of a strong membership culture
At the heart of FPI is a vibrant membership culture rooted in professionalism, ethics, and accountability. A strong membership culture means our members uphold the highest standards, align with the FPI Code of Ethics, and proactively maintain good standing. This includes timely membership renewals, fulfilling CPD requirements, and staying engaged with FPI initiatives. It’s this culture that fosters trust, credibility, and continuous growth within the profession. We encourage all professional members to renew their membership on time and to ensure that they remain in good standing.
Membership growth and milestones
We’ve reached a significant milestone with over 5 000 CFP® professionals now part of our membership, highlighting the growing recognition of the value that professional financial advice brings to South Africans. This achievement reflects our shared dedication to raising the standards of financial planning in the country. Thank you to everyone who helped FPI reach this milestone.
Maximising membership benefits
To ensure our members derive maximum value from their FPI membership, we’ve introduced new and enhanced benefits:
Accredible: Members can showcase their CFP® designation with a digital credential, enhancing professional visibility across platforms like LinkedIn and email signatures. Clients, employers, and the world at large can verify through this credential if you are in good standing and that your membership is valid and up to date.
Lexis Nexis partnership: Our collaboration with Lexis Nexis provides professional members with exclusive access to legal and regulatory resources, ensuring they stay updated with compliance insights and industry best practices. Members can access this benefit via the membership Portal.
Continuous Professional Development (CPD)
Starting in 2025, we’re rolling out Training Tuesdays, a weekly webinar series designed to help professional members stay CPD compliant while gaining valuable insights relevant to financial planning. With over 35 complimentary webinars scheduled throughout the year, members can engage in continuous learning at their convenience. Members should keep a lookout for the FPI mailers that contain more details on this.
Accountability: A core value in our Code of Ethics
In 2025, we introduced Accountability as the ninth principle in our FPI Code of Ethics. This principle highlights the importance of transparency, ownership, and responsibility for one’s professional decisions. Accountability requires members to not only make sound, legally compliant decisions but also to be prepared to explain and justify those actions when needed. It reinforces that, while collaboration is key in financial planning, the ultimate responsibility for decisions rests with the individual professional. This principle strengthens our collective commitment to ethical excellence and professional integrity.
Annual refresher events – #AR2025
Our 2025 Annual Refresher will be held in key towns across South Africa, including Durban, Cape Town, Johannesburg, and Pretoria, with a virtual session available as well. These events will feature thought leaders, industry experts, and networking opportunities to foster collaboration and professional growth. #AR2025 will run from 11 March to 26 March. For more information on this event, visit our website.
Certification and standards update
We’re proud to introduce the New Certification Assessment Pathway (CAP) for CFP® certification, which includes:
- A multiple-choice examination to test theoretical knowledge.
- An eight-week Capstone Course to strengthen practical financial planning skills.
- A professional financial plan submission to demonstrate competency.
The CAP replaces the old format of the FPI’s “board exam” previously known as the Professional Competency Examination (PCE). The new format focuses more on the practical side of financial planning. Our first CAP course kicked off on 27 January with more than 120 registrants. We have more opportunities available throughout the year – email certification@fpi.co.za for more information or visit our website.
Consumer education initiatives
We’re launching a new Consumer Education webinar series to help South Africans make informed financial decisions. Additionally, our participation in Global Money Week 2025 and the launch of the 52 Tips Campaign aim to raise awareness about the importance of financial planning. Make sure that you follow us on social media (LinkedIn, Facebook, Instagram, and YouTube).
In closing
At FPI, our commitment goes beyond certifications and designations—we are dedicated to fostering a professional community grounded in ethics, accountability, and continuous growth. Our focus is on supporting our members in upholding the highest standards in financial planning, ensuring that they have access to valuable resources, professional development opportunities, and a strong support network.
Advocacy remains a cornerstone of our work. It’s essential that our members actively participate in shaping the future of our profession. When regulations are open for public comment, we encourage members to contribute their insights by emailing feedback to CEO@fpi.co.za
Your input strengthens our collective voice and ensures that we represent the best interests of both the profession and the public. Together, we will continue to build a future where financial planning professionals prosper, guided by integrity, professionalism, and a shared commitment to excellence.