Beneficial holdings data services discontinued due to POPIA requirements
Strate fully supports the Protection of Personal Information Act (POPIA), which came into full operation on 1 July 2021. Due to the requirements of POPIA, we have ceased to provide beneficial holdings data services to clients from 30 June 2021. The last instance in which holdings data services were provided is in the last shareholder reports issued and dated 25 June 2021.
The data that Strate provided in respect of the beneficial holders of listed and unlisted securities falls directly within the ambit of POPIA.
We recognise that this data promotes the transparency of the South African financial markets and is essential to the services provided by some of our clients. We have had constructive engagements with the Financial Sector Conduct Authority (FSCA) to obtain guidance on the impact of POPIA on these data services and providing the holdings data to clients.
The FSCA has sought direction on this matter from the POPIA Information Regulator, which monitors and enforces compliance with the provisions of POPIA. We await the outcome of these engagements. The regulatory requirements of POPIA are clear about the rights of data subjects and non-compliance with the Act carries substantial regulatory sanctions. In light of this, the decision was taken to uphold the right to privacy and to stop providing this data until there is clear guidance on the matter.
We will continue to engage with the regulators in the hope of achieving an exemption or other regulatory guidance to promote transparency in the South African financial markets. We will keep our clients informed of any updates.