Solvency II is the new European Union (EU) legislation which will replace the capital adequacy regime for the insurance industry. Considering that the banking sector has experienced a similar change through the different Basel Accords (Basel), there is an opportunity for the insurance industry before The results indicate similar distortions between developing countries while the major driver behind the cost of capital for developing countries is equity market volatility, and not credit risk as might have been expected. Finally, the fourth research problem relates to another objective of financial regulations: to reflect the risks that financial institutions face. The risk sensitivities of economic and regulatory capital for credit risk are investigated empirically using a dynamic optimisation model in one of the first studies of its kind. Results show that economic capital is a superior risk measure to regulatory capital from a systemic- and institution-specific risk perspective. This, along with calls to strengthen Pillar 2 disciplines following the financial crisis, leads to a suggestion that economic capital could be considered as a Pillar 1 capital requirement, replacing the current forms of Pillar 1 regulatory capital. the implementation of Solvency II to learn from the weaknesses and shortcomings in Basel to ensure that the design of Solvency II will, as far as possible, compensate for these. The financial crisis of 2007 to 2010 highlighted certain weaknesses and shortcomings of Basel and there is accordingly an opportunity for the insurance industry to learn from these deficiencies and to strengthen Solvency II to help prevent similar events in the insurance industry. This thesis investigates these weaknesses in Basel in an attempt to determine the extent to which these are inherently included in Solvency II. The first research problem of this thesis examines these weaknesses in Basel and relates them back to Solvency II to determine which, and to what extent, some of them may have been included in Solvency II. The second research problem leads from the first and critically explores an objective of financial regulations, namely to provide financial institutions with equal competitive conditions (the so-called ‘level playing field’) from a regulatory perspective. To achieve this objective, there is an implicit assumption that the cost of capital between countries is equal. Investigation into the cost of capital between both developed and developing countries using a modified weighted average cost of capital model indicates that the cost of capital between developed and developing countries differs and that regulations based on capital requirements tend to favour developed countries. This means that current financial regulations cannot achieve this objective as intended. The third research problem investigates the cost of capital between various developing countries to determine firstly whether similar competitive distortions exist among such countries, while secondly exploring the drivers behind the cost of capital in such countries through linear regression analyses. / PhD (Risk Management), North-West University, Potchefstroom Campus, 2013

Solvency II is the new European Union (EU) legislation which will replace the capital adequacy regime for the insurance industry. Considering that the banking sector has experienced a similar change through the different Basel Accords (Basel), there is an opportunity for the insurance industry before The results indicate similar distortions between developing countries while the major driver behind the cost of capital for developing countries is equity market volatility, and not credit risk as might have been expected. Finally, the fourth research problem relates to another objective of financial regulations: to reflect the risks that financial institutions face. The risk sensitivities of economic and regulatory capital for credit risk are investigated empirically using a dynamic optimisation model in one of the first studies of its kind. Results show that economic capital is a superior risk measure to regulatory capital from a systemic- and institution-specific risk perspective. This, along with calls to strengthen Pillar 2 disciplines following the financial crisis, leads to a suggestion that economic capital could be considered as a Pillar 1 capital requirement, replacing the current forms of Pillar 1 regulatory capital. the implementation of Solvency II to learn from the weaknesses and shortcomings in Basel to ensure that the design of Solvency II will, as far as possible, compensate for these. The financial crisis of 2007 to 2010 highlighted certain weaknesses and shortcomings of Basel and there is accordingly an opportunity for the insurance industry to learn from these deficiencies and to strengthen Solvency II to help prevent similar events in the insurance industry. This thesis investigates these weaknesses in Basel in an attempt to determine the extent to which these are inherently included in Solvency II. The first research problem of this thesis examines these weaknesses in Basel and relates them back to Solvency II to determine which, and to what extent, some of them may have been included in Solvency II. The second research problem leads from the first and critically explores an objective of financial regulations, namely to provide financial institutions with equal competitive conditions (the so-called ‘level playing field’) from a regulatory perspective. To achieve this objective, there is an implicit assumption that the cost of capital between countries is equal. Investigation into the cost of capital between both developed and developing countries using a modified weighted average cost of capital model indicates that the cost of capital between developed and developing countries differs and that regulations based on capital requirements tend to favour developed countries. This means that current financial regulations cannot achieve this objective as intended. The third research problem investigates the cost of capital between various developing countries to determine firstly whether similar competitive distortions exist among such countries, while secondly exploring the drivers behind the cost of capital in such countries through linear regression analyses. / PhD (Risk Management), North-West University, Potchefstroom Campus, 2013

There has been a continuous increase in the popularity of interactive gambling in South Africa due to the wide range of channels in which the public can now quickly and easily access gambling opportunities. Although there is uncertainty related to whether or not interactive gambling is considered to be legal in South Africa, the total value of income earned from interactive gambling by South African residents is conservatively estimated to be between R4 billion and R10 billion per year. Unfortunately, due to the fact that interactive gambling does not have national boundaries, it is difficult to determine the true worth of the industry. There appears to be no academic research which has examined whether income received from interactive gambling qualifies to be taxed in terms of the Income Tax Act 58 of 1962. This study will contribute to an academic understanding of the interactive gambling industry in South Africa and an understanding of the South African Revenue Service’s (SARS’s) policies and practices relating to the taxation of income earned from interactive gambling by resident South African individuals. The purpose of this study was to critically analyse whether income earned from interactive gambling by resident South African individuals should be taxed by SARS. This study also investigated which laws currently regulate the interactive gambling industry within South Africa and how the regulation and taxation of interactive gambling in South Africa compares to that of other developing and developed countries. This study also investigated the legality and estimated value of interactive gambling income earned in South Africa by resident South African individuals. This study concluded that income earned from interactive gambling should be subject to either normal income tax or to capital gains tax (CGT), depending on the intention of the taxpayer. This study noted that enforcing regular reporting from local licensed interactive gambling service providers would be the best method of effectively collecting tax that is owed by interactive gamblers on income generated from this form of gambling in South Africa. This study further concluded that the most appropriate regulatory model to be applied in South Africa would be a protectionist model. This model protects the residents of a country by having a regulated interactive gambling industry that is protected from outside intruders. A regulated industry will result in economic benefits such as taxation, investment and employment within South Africa. The difficulties associated with electronic-commerce could be overcome through regulation of the industry which would be beneficial to SARS. AFRIKAANS : Inter-aktiewe dobbel onder die Suid-Afrikaanse publiek is baie populêr en het ‘n voortgesette toename vanweë die beskikbaarheid en toeganklikheid wat deur tegnologie daargestel word. Alhoewel daar onsekerheid is aangaande of inter-aktiewe dobbel wettig is al dan nie, word die inkomste wat deur Suid Afrikaanse inwoners verdien word konserwatief geraam en beloop tussen R4 en R10 biljoen per jaar. Aangesien die toeganklikheid wat deur die internet gebied word nie net tot Suid-Afrika beperk is nie, maar wêreldwyd strek, is dit feitlik onmoonlik om die waarde van die industrie te bepaal. Daar is tot op hede geen akademiese navorsing gedoen om te bepaal of inkomste verdien uit inter-aktiewe dobbel belasbaar is ingevolge die Inkomstebelastingwet 58 van 1962. Hierdie studie sal bydra tot ‘n akademiese begrip van SARS se beleid en die toepassing daarvan op inkomste verdien uit inter-aktiewe dobbel deur Suid-Afrikaanse individue. Dus was die doel van hierdie navorsingstudie om te bepaal of inkomste verdien uit interaktiewe dobbel deur ‘n Suid Afrikaanse individu deur SARS belasbaar is of nie en die aspekte krities te analiseer. Hierdie studie ondersoek ook die wette wat huidiglik die belasbaarheid van inkomste uit inter-aktiewe dobbel in Suid Afrika reguleer asook hoe die regulasies vergelyk met die van ander ontwikkelende en onwikkelde lande. Verder word ondersoek ingestel om die wettigheid van inter-aktiewe dobbel en die waarde daarvan te bepaal. Die gevolgtrekking is dat inkomste verdien uit inter-aktiewe dobbel onderhewig moet wees aan of normale belasting of kapitaalwinsbelasting. Die navorsing en studie toon ook dat daar gelisensieerde inter-aktiewe dobbel diensverskaffers moet wees wat dan die invordering van die inkomste uit hierdie tipe dobbel kan beheer en dat inter-aktiewe dobbelaars wel die nodige belasting oorbetaal uit inkomste verdien in Suid-Afrika op hierdie manier. Ter afsluiting van die navorsing word daar ‘n model voorgestel wat toegepas moet word in Suid-Afrika, eerstens om die inwoners van die land te beskerm deur ‘n goed-gereguleerde inter-aktiewe dobbel stelsel daar te stel en tweedens moet daar ook die nodige beskerming verleen word teen buitelandse indringers. ‘n Goed gereguleerde model vir die industrie sal voordelig wees vir Suid Afrika deurdat die belasbaarheid van die inter-aktiewe dobbelinkomste ‘n inspuiting vir die ekonomie kan wees, sowel as werkskeppingvoordele bied. Wetstoepassing en regulering van die industrie sal ook voordelig wees vir SARS aangesien die probleme wat nou geassosieer word met elektroniese-handel voorkom en tot die minimum beperk kan word. / Dissertation (MCom)--University of Pretoria, 2010. / Taxation / unrestricted

Abstracts in English, Afrikaans and Xhosa / Green information and communication technology (ICT) is viewed as a pioneering initiative that plays a key role in reducing the negative impact of ICT on the environment. The research problem of the study was the low green ICT adoption rate in South African small and medium enterprises (SMEs). The primary objective was to identify the most prominent barriers resulting in this low adoption rate. The first secondary objective was to determine the barrier with the strongest underlying correlation resulting in the low adoption rate of green ICT in South African SMEs. The second secondary objective was to recommend strategies on how to improve the adoption rate of green ICT. A self-administered questionnaire was used to collect data through electronic and paper-based surveys. A census study was conducted among owners and managers of high-technology-based SMEs located in Gauteng. An exploratory factor analysis was employed to identify the barriers resulting in the low adoption rate of green ICT. These barriers were found to be a lack of funding, awareness, legislation, skills, and knowledge based on complexity and uncertainty. A lack of funding was identified as the most prominent barrier to adopting low green ICT. Although five constructs were discussed in the literature, the overall results presented six components, with the construct of knowledge being made up of two parts – complexity and uncertainty. This study recommends that SMEs align green ICT initiatives with their strategic goals and that government consider more adequate support structures for SMEs. The study confirmed a low green ICT adoption rate in South African SMEs, and more research is required to explore the impact of each of the factors above on the environment. / Met groen inligting-en-kommunikasietegnologie (IKT) word baanbrekerswerk gedoen om die nadelige uitwerking wat IKT op die omgewing het, te verklein. Die trae tempo waarteen Suid-Afrikaanse klein en medium ondernemings (KMO’s) groen IKT aanneem was die navorsingsprobleem van hierdie studie. Die primêre oogmerk was om die grootste struikelblokke vir die aanneem van groen IKT aan te toon. Die eerste sekondêre oogmerk was om die struikelblok met die sterkste onderliggende korrelasie met die trae tempo waarteen Suid-Afrikaanse KMO’s groen IKT aanneem, te bepaal. Die tweede was om met strategieë te kom om die tempo te versnel waarteen groen ITK aangeneem word. Data is met ʼn selfvraelys deur elektroniese en papieropnames versamel. ʼn Sensusstudie is onder die eienaars en bestuurders van hoëtegnologie-KMO’s in Gauteng gedoen. Struikelblokke wat vir die trae aanneming van groen ITK verantwoordelik is, is met ʼn verkennende faktoranalise aangetoon. Daar is bevind dat gebrekkige befondsing en bewustheid, wetgewing, ʼn gebrek aan vaardighede en kennis weens die kompleksiteit en onsekerheid struikelblokke is. ʼn Gebrek aan befondsing was die grootste struikelblok vir die aanneem van groen IKT. Hoewel vyf konstrukte in die literatuur bespreek is, het die uitslag aangedui daar is ses. Die konstruk kennis is uit twee dele saamgestel: kompleksiteit en onsekerheid. Hierdie studie beveel aan dat KMO’s hulle groen IKT-inisiatiewe met hulle strategiese doelwitte in ooreenstemming bring, en dat die regering KMO’s beter ondersteun. Die studie bevestig die trae tempo waarteen Suid-Afrikaanse KMO’s groen ITK aanneem. Die invloed van elk van die bogenoemde faktore op die omgewing moet in verdere navorsing verken word. / Ulwazi lwezeMvelo kanye nobuchwepheshe bezokuxhumana (ICT) kuphawuleka njengemizamo yamaqhinga amasha adlala indima esemqoka ekunciphiseni umthelela omubi we-ICT kwezemvelo. Inkinga exazululwayo kucwaningo kwabe kuyizinga eliphansi lomthintela we-ICT kwezemvelo kumabhizinisi amancane nalawo asafufusa (SMEs) eNingizimu Afrika. Inhloso yokuqala kwabe kuwukuthola izikhinyabezo ezigqamile eziholela ekutheni kube nezinga eliphansi lokwamukela ezemvelo. Inhloso yokuqala esesigabeni sesibili kwabe kuwukuthola isikhinyabezo esinezimpawu ezihambisanayo kakhulu esidala izinga eliphansi lokwamukela ezemvelo kwi-ICT. Inhloso yesibili yesigaba sesibili kwabe kuwukuncoma amasu angasetshenziswa ukuthuthukisa izinga lokwamukelwa kwezemvelo kwi-ICT. Umbhalo wemibuzo ehlelwe wumcwaningi ngokwakhe wasetshenziswa ukuqoqa idatha ngohlelo lwesaveyi eyaqhutshwa ngekhomphyutha nangephepha. Ucwaningo lohlelo lokubalwa kwabantu/lwesensasi lwenziwa phakathi kwabanikazi kanye nabaphathi bamabhizinisi amancane nasafufusa esifundazweni saseGauteng, amabhizinisi encike kubuchwepheshe beqophelo eliphezulu. Uhlelo lokuhlaziya oluhlolayo lwasetshenziswa ngesizathu sokuthola izihibhe ezidala izinga eliphansi lokulandelwa kwezemvelo ku-ICT. Lezi zihibhe zatholakala ukuthi ukuswela uxhaso lwezimali, ukwexwayiswa, umthetho, izakhono zomsebenzi kanye nolwazi olwencike phezu kwesimo esixubene kanye nokungabi nesiqinisekiso. Ukuswela ukuxhaswa ngezimali kwabonakala njengesikhinyabezo esikhulu mayelana nokwamukelwa kwezinga eliphansi lwe-ICT yezemvelo. Yize kuye kwaxoxwa ngezakhiwo ezinhlanu kumbhalo wobuciko, yonke imiphumela iveze izigaba eziyisithupha, ngesakhiwo solwazi esahlukene izingcezu ezimbili – isimo esixubene kanye kanye nokungabi nasiqinisekiso. Ucwaningo luncoma ukuthi amabhizinisi amancane nasafufusa (SMEs) ahambisana nemizamo yohlelo lwe-ICT olulandela ezemvelo kanye nezimpokophelo zamasu kanye nokuthi uhulumeni ubhekelele ukuthi kube nezakhiwo eziningi nezanele zokuxhasa amabhizinisi amancane nasafufusa (SMEs). Ucwaningo luqinisekisile ukuthi kunezinga eliphansi lokubhekelelwa amabhizinisi amancane nasafufusa mayelana nezemvelo kwi-ICT eNingizimu Afrika, kanti kudingeka ucwaningo oluningi ukuhlola umthintela wazo zonke izinto ezingenhla mayelana nezemvelo. / Business Management / M. Com. (Business Management)