On the 23rd of February 2024, the Monetary Authority of Singapore (MAS) has revised its Guidelines on Licensing and Business Conduct for Fund Management Companies [SFA 04-G05]. This guideline provides fund managers with the requirements necessary to quality as fund managers and how to supervise and regulate their businesses.
The Guidelines on Licensing and Business Conduct for Fund Management Companies [SFA 04-G05] displays the pre-requisites criteria, application procedures, ongoing business conduct requirements for Licensed Fund Management companies (LFMCs), Venture Capital Fund Managers (VCFMs) and Registered Fund Management companies (RFMCs).
| Key Changes | Previous Guideline | Revised Guideline |
| Compliance Arrangements | In the revised guidelines (29 November 2023), it required in house compliance officers to not only be familiar but regularly and appropriately trained on the rules and regulations applicable to the fund management company. (FMC) ‘Where an FMC has an inhouse compliance officer, the individual is expected to have relevant experience for example, in regulatory compliance, audit or risk management and be familiar with and regularly and appropriately trained on the rules and regulations applicable to the FMC.’ | The revised guideline (23rd February 2024) still requires for in house compliance officers to be familiar, regularly, and appropriately trained on the rules and regulations applicable to the FMC. However, it provides additional information on what an FMC should do when queries arise, where and how they can find this information. ‘As a matter of principle, an FMC should consult its in-house compliance officer or third-party service provider, where it has queries on the applicability of rules and regulations. If there is a need to seek clarification from MAS, the FMC should set out its detailed assessment of the specific regulatory query and/or issue that it wants to clarify or seek approval for. MAS has information resources on our website to assist FMCs in complying with the relevant requirements. These are set out in the Compliance Toolkit for Approvals, Notifications and Other Regulatory Submissions to MAS for Fund Managers and FAQs on the Licensing and Registration of Fund Management Companies, which include aspects such as regulatory filing requirements and entry requirements for representatives.’ |
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