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January 2018

Twin Peaks: A New Regulatory Era

The Financial Sector Regulation Act (FSR Act) was signed into law by the President on 21 August 2017. The Act aims to consolidate the regulation and supervision of the financial sector and its various subsectors - namely banking, insurance, financial products and services and market infrastructure - to ensure that each subsector is subject to financial regulation. This regulation requires financial firms to control risks and hold adequate capital as defined by capital requirements (Prudaential requirements) and consumer protection rules in the form of market conduct supervision.  

Economic and Market Overview

Global 2017 turned out to be a buoyant year on the global economic front. Leading indicators in most developed economies were trending up and talk about a synchronised global recovery has been widespread. This was evident in capital market performance over the last twelve months.   The manufacturing PMI lead indicators have been particularly strong towards the end of 2017: the ISM indicator in the US rose to its highest level since 2004, the Chinese official PMI is the highest since 2012, and the European composite is its highest since 2011.

The Outlook for Agriculture in 2018

The South African agricultural sector has gone through a turbulent time over the past year, with many farmers facing a battle of survival in drought-stricken areas.  In the first of a two-part series, Kim Cloete speaks to Jo Viviers, a partner in the Moore Stephens Humansdorp office, about prospects for the industry and how Moore Stephens is helping to advise farmers.