Articles and Events Summary

Compliance Obligations under New Payment Services Act

Payment Services Act (“the Act”) came into force on 28 January 2020 providing new framework for the regulation of payment systems and payment service providers in Singapore.  The Act consolidates the previous Payment Systems (Oversight) Act 2006 and the Money-Changing and Remittance Business Act 1979.

You can read about the key compliance obligations here.

Corporate Financial Advisory In Singapore: A Comparison of the Regulatory Frameworks Applicable

Companies providing corporate financial advisory in Singapore are governed by the regulations under the Securities and Futures Act (SFA). Corporate finance advisors should take into consideration not just their business model and strategy, but also the costs of implementing and maintaining the various requirements of each framework.

We have compiled a comparison of the Regulatory Frameworks applicable.

You can view the article here.

Singapore Budget 2020- Key Highlights

As the world prepares to deal with challenges such as the Coronavirus outbreak and its economic impact, Singapore’s Deputy Prime Minister Heng Swee Keat presented the Budget for 2020 on 18 Feb 2020. The key focus is support packages to businesses, Singaporeans and Tax updates on Financial institutions.

Read the Key Highlights of the Budget here.

Singapore New Fund Structure – Variable Capital Company (VCC)

Singapore introduced an alternative fund framework, Variable Capital Company (VCC),  to encourage more funds to be domiciled in Singapore and enhance the jurisdiction’s value as an international fund management centre. VCC came into operation in Singapore on 14 January 2020 which allows set up of collective investment schemes, whether open-end or closed-end.

We have highlighted some key points to consider when setting up Singapore VCC structures and what are the basic requirements of Singapore VCC .

Read the Highlights here.

Industry News

Cayman Islands Government issues The Private Funds Bill 2020 And Mutual Funds (Amendment) Bill 2020

After a period of industry consultation, the Cayman Islands Government issued the Private Funds Bill 2020 and the Mutual Funds (Amendment) Bill. The goal of these Bills is to bring closed-ended and private funds within the scope of regulation and to modernise the regulation of both open-ended and closed-ended funds.

To read the full article, please click here.

EU puts Cayman Islands on tax haven blacklist

The European Union has added Cayman Islands to its tax havens blacklist along with Oman, Fiji and Vanuvatu accusing it of failing to crack down adequately on tax abuse. Other countries to be added to the blacklist are Panama, Palau and the Seychelles.

To read the full article, please click here.

Regulatory Updates

I

6 February 2020 – Consultation Paper on Proposed Requirements on Insurers’ Charging of Expenses to the Participating Fund

This consultation paper sets out MAS’ proposals to revise the requirements in the area of expense charging and allocation to the participating fund.

To view the paper, please click here.

10 February 2020 – Form 10 – Information to be Submitted by a Licensed Payment Service Provider under Section 16(1) of the Payment Services Act 2019

Payment service providers are required to submit information under section 16(1) of the Payment Services Act 2019 using the format given in the form.

To view the form, please click here.

10 February 2020 – Form 5 – Information to be Submitted by a Participant, Operator, or Settlement Institution of Payment Systems

Participants, operators, and settlement institutions of payment systems are required to submit information in the format given in the form.

To view the form, please click here.

11 February 2020 – Guidelines on Margin Requirements for Non-Centrally Cleared OTC Derivatives Contracts [SFA 15-G03]

These guidelines explain how MAS expects non-centrally cleared OTC derivatives contracts to be margined. In particular, guidance is provided on the following areas:

  • Scope of products and entities.
  • Margin calculations and methodologies.
  • Eligible collateral and haircuts.

To view the guidelines, please click here.

14 February 2020 – Private Banking Sales and Advisory Practices

MAS conducted thematic inspections on the sales and advisory practices of selected financial institutions operating in the private banking industry over 2018 and 2019. This information paper highlights inspection observations and MAS’ supervisory expectations that relevant financial institutions should benchmark themselves against.

To view the document, please click here.

18 February 2020 – CMI 03/2020 Circular to inform that MAS Will Not Introduce Collateral Requirement for the Trading of Listed Securities

This circular is to inform financial institutions and investors that MAS will not be implementing the collateralised trading requirement for listed securities.

To view the circular, please click here.

18 February 2020 – CMI 04/2020 Circular on Good Practices in Managing Customers’ Credit Risks

This circular sets out MAS’ expectations on financial institutions’ credit risk management for their customers’ trading activities.

To view the circular, please click here.

20 February 2020 – Form 6 – Application for Approval of CEO or Director of an Operator of a Designated Payment System

Form for entities to apply for the approval of a Chief Executive Officer or Director of an operator of a designated payment system under the Payment Services Act 2019. Submissions must be made via the online form, while the PDF specimen form given may be used as reference for preparations.

To view the form, please click here.

25 February 2020 – Securities and Futures (Reporting Of Derivatives Contracts) Regulations 2013

Regulations setting out reporting requirements for OTC counterparties for OTC derivatives.

To view the regulations, please click here.

27 February 2020 – FAQs on Licensing and Business Conduct (Other than for Fund Management Companies)

Provides guidance on:

  • the scope of capital markets services licensing (other than for fund management companies)
  • appointment of representatives
  • business conduct rules
  • the application of the SFA and SF(LCB)R to banks, merchant banks, finance companies and insurers.

To view the FAQs, please click here.

28 February 2020 – Notice 133 Valuation and Capital Framework for Insurers

Sets out the requirements under the risk-based capital framework for all licensed insurers, including the way in which assets and liabilities are to be valued.

To view the notice, please click here.

28 February 2020 – ID 07/20 Issuance of Insurance (Valuation And Capital) (Amendment) Regulations 2020 and New MAS Notice 133 on Valuation and Capital Framework for Insurers

Informs all licensed insurers of the issuance of the Insurance (Valuation and Capital) (Amendment) Regulations 2020 and new MAS Notice 133 on Valuation and Capital Framework for Insurers.

To view the circular, please click here.

GET IN TOUCH

Argus specializes in regulatory compliance and provides objective insights, subject expertise and a simple approach to all your compliance-related needs. Our diversified client base spans start-ups to mature businesses. We partner with our clients to serve all their compliance needs from the initial phase to ongoing support, training, audit, risk management and governance.

Pin It on Pinterest

Contact us
close slider
Contact us
Fill up the form below to get in touch with us!
=