MET Collective Investments (MetCI) plans to appeal the Financial Sector Conduct Authority’s (FSCA) decision to fine it a R100 million for contravening various sections of the financial sector laws.
We are aware of the findings made by the FSCA regarding administrative issues with the Third Circle MET Target Return Fund and are considering the determination and reasons thereof.
In an emailed statement to CNBC Africa, MetCI said it: “will appeal this decision given that we disagree with the content of the report. The quantum of the penalty is entirely disproportionate with the alleged breaches. It is also inconsistent with previous industry penalties.
We would like to specify that this fund was managed by Third Circle Asset Management, an independent financial services provider, under a co-naming agreement with MetCI. MetCI immediately took action in December 2015 when we became aware of problems with Third Circle’s management of the fund. We subsequently took over the management of the fund from Third Circle and closed the fund.
We take our fiduciary responsibility very seriously and will always act in the best interest of our clients and financial advisers.
At this stage however we cannot go into more detail, since we have started the appeal process.