Financial Advisers Regulations

Financial Advisers Act

(CHAPTER 110, Sections 6(3), 8, 9, 14, 16(2), 18, 19(1), 23, 24, 28, 32, 36(7), 39, 45, 48(1), 56, 57, 63, 94, 100 and 104)

Rg 2

G.N. No. S 462/2002

REVISED EDITION 2004

(29th February 2004)

[1st October 2002]

PART I

PRELIMINARY

Citation

1. These Regulations may be cited as the Financial Advisers Regulations.

Definitions

2.—(1) In these Regulations, unless the context otherwise requires —

“accounting standards” means the accounting standards made or formulated by the Accounting Standards Committee under Part 3 of the Accounting Standards Act 2007;

[S 62/2025 wef 24/01/2025]

“accredited investor” means any of the following persons in relation to a counterparty, if the person has opted to be treated by the counterparty as an accredited investor for all the consent provisions, under regulation 3(2) of the Securities and Futures (Classes of Investors) Regulations 2018 (G.N. No. S 665/2018):

(a)	an individual mentioned in section 4A(1)(a)(i) of the Securities and Futures Act 2001; [S 222/2023 wef 31/12/2021]
(b)	a corporation mentioned in section 4A(1)(a)(ii) of the Securities and Futures Act 2001; [S 222/2023 wef 31/12/2021]
(c)	a trustee mentioned in section 4A(1)(a)(iii) of the Securities and Futures Act 2001; [S 222/2023 wef 31/12/2021]
(d)	a person mentioned in section 4A(1)(a)(iv) of the Securities and Futures Act 2001; [S 29/2019 wef 08/04/2019] [S 222/2023 wef 31/12/2021]

“advertisement” means any dissemination or conveyance of information in connection with a promotion of, or an invitation or a solicitation in respect of, any product or service, by any means or in any form, including by means of —

(a)	publication in a newspaper, magazine, journal or other periodical;
(b)	display of posters or notices;
(c)	circulars, handbills, brochures, pamphlets, books or other documents;
(d)	letters addressed to individuals or bodies;
(e)	photographs or cinematograph films; or
(f)	sound broadcasting, television, the Internet or other media; [S 385/2018 wef 09/07/2018]

“approved exchange” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

“associate”, in relation to an entity (called in this definition the first entity), means —

(a)

any entity in which the first entity controls the composition of the board of directors or such corresponding officers as may be prescribed;

(b)

any entity in which the first entity controls more than half of the voting power or such measure corresponding to voting power as may be prescribed;

(c)

any entity in which the first entity holds more than half of the total number of issued shares or such corresponding interest as may be prescribed;

(d)

a subsidiary of any other entity which is an associate by reason of paragraph (a), (b) or (c);

(e)

any entity (called in this paragraph the second entity) in which —

(i)	the first entity; or
(ii)	any entity which is an associate by reason of paragraph (a), (b), (c) or (d),

has, or the entities in sub-paragraphs (i) and (ii) together have, an interest in shares entitling the beneficial owners of those interests the right to cast (whether by proxy or in person) not less than 20% but not more than 50% of the total votes able to be cast at a general meeting of the second entity, or such corresponding interest as may be prescribed; or

(f)

any entity (not being one which is an associate by reason of paragraph (a), (b), (c), (d) or (e)) the policies of which —

(i)	the first entity; or
(ii)	any entity which is an associate by reason of paragraph (a), (b), (c), (d) or (e),

is, or the entities in sub-paragraphs (i) and (ii) together are, able to control or influence materially;

[S 62/2025 wef 24/01/2025]

“bonds” includes —

(a)	any note, bond or Treasury Bill;
(b)	an option in respect of any note, bond or Treasury Bill; and
(c)	such other securities or class of securities as the Authority may from time to time, by a guideline issued by the Authority, determine;

“capital markets products” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 222/2023 wef 31/12/2021]

“capital markets services licence” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 385/2018 wef 09/07/2018]

[S 222/2023 wef 31/12/2021]

“client’s money or property” has the same meaning as in section 37(4) of the Act;

[S 222/2023 wef 31/12/2021]

“consent provision” and “counterparty” have the same meanings as in regulation 3(9) of the Securities and Futures (Classes of Investors) Regulations 2018;

[S 29/2019 wef 08/04/2019]

“derivatives contract” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

“entity” includes a corporation, an unincorporated association, a partnership and the government of any state, but does not include a trust;

[S 362/2005 wef 01/07/2005]

“ex-accredited investor” means any of the following:

(a)	an individual who was an accredited investor under section 4A(1)(a)(i) of the Securities and Futures Act 2001 as in force immediately before 8 October 2018, but who ceases to be an accredited investor under section 4A(1)(a)(i), read with section 4A(1A), of that Act as in force on or after 8 October 2018; [S 222/2023 wef 31/12/2021]
(b)	a partnership (other than a limited liability partnership within the meaning of the Limited Liability Partnerships Act 2005) in which each partner was an accredited investor under section 4A(1)(a) of the Securities and Futures Act 2001 as in force immediately before 8 October 2018, but any individual partner of which ceases to be an accredited investor under section 4A(1)(a)(i), read with section 4A(1A), of that Act as in force on or after 8 October 2018; [S 222/2023 wef 31/12/2021]
(c)	a corporation (the sole business of which is to hold investments) the entire share capital of which is owned by one or more accredited investors under section 4A(1)(a) of the Securities and Futures Act 2001 as in force immediately before 8 October 2018, but any individual of such accredited investors ceases to be an accredited investor under section 4A(1)(a)(i), read with section 4A(1A), of that Act as in force on or after 8 October 2018; [S 294/2019 wef 08/10/2018] [S 222/2023 wef 31/12/2021]

“exchange-traded derivatives contract” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

“existing customer”, in relation to a person (A), means —

(a)	a person (B) to whom A has provided any financial advisory service before 8 October 2018, and who was treated by A as an accredited investor when A provided that financial advisory service to B; or
(b)	a person (C) with whom A has entered into an agreement before 8 October 2018 to provide any financial advisory service, and who was treated as an accredited investor when A entered into the agreement with C; [S 294/2019 wef 08/10/2018]

“expert investor” has the same meaning as in section 4A(1)(b) of the Securities and Futures Act 2001;

[S 362/2005 wef 01/07/2005]

[S 274/2008 wef 28/05/2008]

[S 222/2023 wef 31/12/2021]

“foreign company” has the same meaning as in section 4(1) of the Companies Act 1967;

[S 222/2023 wef 31/12/2021]

“foreign exchange OTC derivatives contract” means an OTC derivatives contract entered into on a margin basis the value of which is determined by reference to, is derived from, or varies by reference to —

(a)	the value or amount of any currency or currency index; or
(b)	fluctuations in the values or amounts of any currency or currency index; [S 659/2018 wef 08/10/2018]

[Deleted by S 659/2018 wef 08/10/2018]

“futures contract” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

“Government securities” means specified products issued or proposed to be issued by the Government, and includes —

(a)	any debenture, security, stock, bond, certificate or similar instrument issued or proposed to be issued by the Government under any written law or repealed written law; or
(b)	any right or option issued or proposed to be issued by the Government in respect of any instrument mentioned in paragraph (a); [S 700/2021 wef 18/09/2021]

“guideline issued by the Authority” means a guideline or other document issued by the Authority under section 74 of the Act;

[S 222/2023 wef 31/12/2021]

“Guidelines on Fit and Proper Criteria” means the document by that title issued by the Authority and published on its website, as revised from time to time;

[S 62/2025 wef 24/01/2025]

“institutional investor” has the same meaning as in section 4A(1)(c) of the Securities and Futures Act 2001;

[S 362/2005 wef 01/07/2005]

[S 274/2008 wef 28/05/2008]

[S 222/2023 wef 31/12/2021]

“leveraged foreign exchange trading” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

“net asset value”, in relation to a corporation, means the excess of the value of the assets owned by the corporation over its liabilities;

“net head office funds”, in relation to a foreign company, means the net liability of the Singapore branch of that foreign company to its head office and any other branch outside of Singapore;

“on a margin basis”, in relation to a contract, means the entering of a contract by 2 parties where one party provides to the other party (whether directly or indirectly through such party’s agent) with money, securities, property or other collateral which represents only a part of the value of the contract;

[S 659/2018 wef 08/10/2018]

“over-the-counter derivatives contract” or “OTC derivatives contract” means a derivatives contract other than an exchange-traded derivatives contract;

[S 659/2018 wef 08/10/2018]

“overseas exchange” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

“paid-up capital” means ordinary shares and non-redeemable preference shares that have been fully paid for;

[S 383/2012 wef 07/08/2012]

“product advertisement” means an advertisement in respect of any investment product;

[S 385/2018 wef 09/07/2018]

[Deleted by S 659/2018 wef 08/10/2018]

“specified financial adviser” —

(a)	in the case of regulation 39, has the meaning as in regulation 40B; and
(b)	in any other case, means a licensed financial adviser or an exempt financial adviser mentioned in section 20(1)(a), (b), (c), (e), (f), (g) or (h) of the Act; [S 385/2018 wef 09/07/2018] [S 222/2023 wef 31/12/2021] [S 62/2025 wef 24/01/2025]

“specified investment product” means —

(a)

any specified OTC derivatives contract;

(b)

any foreign exchange OTC derivatives contract arranged by —

(i)	any bank that holds a licence granted under section 7 or 79 of the Banking Act 1970; or [S 222/2023 wef 31/12/2021]
(ii)	any merchant bank that holds a merchant bank licence, or is treated as having been granted a merchant bank licence, under the Banking Act 1970; or [S 462/2021 wef 01/07/2021] [S 222/2023 wef 31/12/2021]

(c)

any spot foreign exchange contract for the purposes of leveraged foreign exchange trading arranged by —

(i)	any bank that holds a licence granted under section 7 or 79 of the Banking Act 1970; or [S 222/2023 wef 31/12/2021]
(ii)	any merchant bank that holds a merchant bank licence, or is treated as having been granted a merchant bank licence, under the Banking Act 1970; [S 462/2021 wef 01/07/2021] [S 222/2023 wef 31/12/2021]

“specified OTC derivatives contract” means an OTC derivatives contract the value of which is determined by reference to, is derived from, or varies by reference to —

(a)

the value or amount of any item other than any —

(i)	securities;
(ii)	securities index;
(iii)	currency; or
(iv)	currency index; or

(b)

fluctuations in the values or amounts of one or more items other than any —

(i)	securities;
(ii)	securities index;
(iii)	currency; or
(iv)	currency index; [S 659/2018 wef 08/10/2018]

“specified person” —

(a)

in the case of regulation 40F, has the meaning under that provision; and

(b)

in any other case, means —

(i)	a specified financial adviser; or
(ii)	an appointed representative or a provisional representative of a specified financial adviser; [S 385/2018 wef 09/07/2018]

“specified products” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

“spot foreign exchange contract” has the same meaning as in section 2(1) of the Securities and Futures Act 2001;

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

“venture capital fund” has the same meaning as in regulation 14(8) of the Securities and Futures (Licensing and Conduct of Business) Regulations (Rg 10);

[S 586/2017 wef 20/10/2017]

[S 222/2023 wef 31/12/2021]

“venture capital fund manager” means a holder of a capital markets services licence for fund management under the Securities and Futures Act 2001 who does not carry on business in any regulated activity (as defined in that Act) other than the management of portfolios of specified products on behalf of venture capital funds.

[S 586/2017 wef 20/10/2017]

[S 659/2018 wef 08/10/2018]

[S 222/2023 wef 31/12/2021]

(2) For the purposes of the definition of “net asset value” in paragraph (1) —

(a)

in determining the value of the assets owned by a corporation, any amount on account of goodwill or of any other intangible assets shall be disregarded; and

(b)

in determining the amount of the liabilities of a corporation —

(i)	all contingent or prospective liabilities shall be taken into account; and
(ii)	any amount on account of any liability related to the share capital of the corporation shall not be taken into account.

PART II

CONTROL OF PROVISION OF FINANCIAL ADVISORY SERVICES

Application of section 6 of Act

3.—(1) For the purposes of section 6 of the Act, in determining whether a person is engaging in any activity or conduct that is intended to or likely to induce the public in Singapore or any section thereof to use any financial advisory service provided by the person, regard shall be had to the following considerations:

(a)

whether the person uses any active communication device such as electronic-mail for the purpose of advertising or otherwise transmitting information about the financial advisory service to any person in Singapore;

(b)

where the person issues an advertisement about the financial advisory service —

(i)	whether the advertisement contains a prominent disclaimer containing a statement referred to in paragraph (2);
(ii)	whether the advertisement contains any information specifically relevant to persons in Singapore;
(iii)	whether the advertisement is referred to in, or is directly accessible from, any source which is calculated to draw the attention of persons in Singapore to the advertisement.

(2) For the purposes of paragraph (1)(b)(i), the disclaimer shall contain a statement to the effect that the advertisement to which it relates —

(a)	is directed at persons outside Singapore; or
(b)	may be acted upon only by persons outside Singapore.

Forms

4.—(1) The forms to be used for the purposes of these Regulations are those set out at the Authority’s Internet website at http://www.mas.gov.sg, and any reference in these Regulations to a numbered form shall be construed as a reference to the current version of the form bearing the corresponding number which is displayed at that website.

[S 716/2010 wef 26/11/2010]

[S 383/2012 wef 07/08/2012]

[S 659/2018 wef 08/10/2018]

(2) Any document required to be lodged with the Authority under any provision of the Act or these Regulations shall be lodged in the relevant form and in the manner specified in the website referred to in paragraph (1), or in such other manner as the Authority may specify from time to time.

(3) All forms used for the purposes of these Regulations shall be completed in the English language and in accordance with such directions as may be specified in the form or by the Authority.

(4) The Authority may refuse to accept any form if —

(a)	it is not completed or lodged in accordance with this regulation; or
(b)	it is not accompanied by the relevant fee referred to in regulation 6.

(5) Where strict compliance with any form is not possible, the Authority may allow for the necessary modifications to be made to that form, or for the requirements of that form to be complied with in such other manner as the Authority thinks fit.

[S 362/2005 wef 01/07/2005]

Lodgment of documents and undertaking of responsibilities for representative

4A.—(1) A notice of intent under section 26(1)(a) of the Act by a principal to appoint an individual as an appointed representative in respect of a type of financial advisory service and a certificate under section 26(1)(b) of the Act by the principal as to the fitness and propriety of the individual to be so appointed shall be in Form 3A.

[S 222/2023 wef 31/12/2021]

(2) A notice of intent under section 26(1)(a) of the Act by a principal to appoint an individual as a provisional representative in respect of a type of financial advisory service and a certificate under section 26(1)(b) of the Act by the principal as to the fitness and propriety of the individual to be so appointed shall be in Form 3B.

[S 222/2023 wef 31/12/2021]

(3) A principal who lodges with the Authority the certificate under section 26(1)(b) of the Act shall retain copies of all information and documents which it relied on in giving the certificate for a period of 5 years from the date of lodgment.

[S 222/2023 wef 31/12/2021]

(4) For the purposes of section 26(1)(c) of the Act, a principal shall undertake all of the following responsibilities in relation to its representative:

(a)	to put in place measures to properly supervise the activities and conduct of the representative, including measures to ensure that all obligations assumed and liabilities incurred by him are properly fulfilled, whether actual or contingent and howsoever arising, in relation to the provision of any financial advisory service;
(b)	to put in place measures, including proper training, to ensure that the representative understands and complies with all Singapore laws that are relevant to the financial advisory service provided by him;
(c)	to ensure that the representative is accompanied at all times by any of the persons referred to in paragraph (5) when meeting any client or member of the public in the course of providing any financial advisory service;
(d)	to ensure that the representative sends concurrently to any of the persons referred to in paragraph (5) all electronic mail that he sends to any client or member of the public in the course of providing any financial advisory service;
(e)	to ensure that the representative does not communicate by telephone with any client or member of the public when providing any financial advisory service, other than by telephone conference in the presence of any of the persons referred to in paragraph (5). [S 222/2023 wef 31/12/2021]

(5) The persons referred to in paragraph (4)(c), (d) and (e) are —

(a)	an appointed representative of the principal;
(b)	a director of the principal who is approved under section 63 of the Act; [S 222/2023 wef 31/12/2021]
(c)	an officer of the principal whose primary function is to ensure that the provision of the financial advisory service in question complies with the laws and requirements of the Authority applicable to the financial advisory service in question;
(d)	an officer of the principal appointed by the principal to supervise the representative in providing the financial advisory service in question.

(6) In paragraph (4)(c), (d) and (e), the reference to “client or member of the public” excludes any of the following:

(a)	an accredited investor;
(b)	an expert investor;
(c)	an institutional investor;
(d)	an ex-accredited investor who is an existing customer of the principal, but only in respect of the representative’s provision of any financial advisory service in the period from 8 October 2018 to 7 April 2019 (both dates inclusive). [S 294/2019 wef 08/10/2018] [S 716/2010 wef 26/11/2010]

Provisional representative

4B.—(1) The period which the Authority may specify in the public register of representatives under section 24(2) of the Act as the period which any named individual can be a provisional representative in respect of any type of financial advisory service shall not exceed 3 months from the date his name is entered in the register as a provisional representative.

[S 222/2023 wef 31/12/2021]

(2) For the purposes of section 24(5) of the Act, where a provisional representative in respect of a type of financial advisory service has satisfied the examination requirements specified for that type of financial advisory service, his principal shall inform the Authority of that fact by serving on the Authority —

(a)	a duly completed Form 3D; and
(b)	before the expiry of the period specified against his name in the public register of representatives under section 24(2) of the Act. [S 222/2023 wef 31/12/2021]

(3) For the purposes of section 30(1)(t)(i) and (ii) of the Act, the Authority may refuse to enter the name and other particulars of an individual in the public register of representatives as a provisional representative in respect of a type of financial advisory service if —

(a)	he is not or was not previously licensed, authorised or otherwise regulated as a representative in relation to a comparable type of financial advisory service in a foreign jurisdiction for a continuous period of at least 12 months; or
(b)	the period between the date of his ceasing to be so licensed, authorised or regulated in a foreign jurisdiction and the date of his proposed appointment as a provisional representative exceeds 12 months. [S 716/2010 wef 26/11/2010] [S 222/2023 wef 31/12/2021]

Time for documents to be lodged

5. Where the period of time within which a document required under the Act or these Regulations to be lodged with the Authority is not prescribed, the document shall be lodged within 14 days after the occurrence of the event to which the document relates.

Fees

6.—(1) Subject to this regulation, the fees specified in the Second Schedule are payable to the Authority for the purposes specified therein.

[S 62/2025 wef 24/01/2025]

(2) Where —

(a)	the name of a person is entered in the public register of representatives as a provisional representative;
(b)	he pays the annual fee referred to in section 28(2) of the Act for the retention of his name in the public register of representatives as a provisional representative for a period of time; and [S 222/2023 wef 31/12/2021]
(c)	his name is subsequently entered in the register as an appointed representative at any time during that period or on the business day immediately following the expiry of that period,

then the person is treated as having paid the annual fee for the continuing retention of his name in the register as an appointed representative, in respect of the financial advisory service provided by the person while he was a provisional representative.

(3) For the purposes of sections 11(4) and 28(5) of the Act, the late payment fee is $100 for every day or part thereof that the payment is late subject to a maximum of $3,000.

[S 222/2023 wef 31/12/2021]

(4) Payment of fees may be made through such electronic funds transfer system as the Authority may designate from time to time, whereby payment is effected by directing the transfer of funds electronically from the bank account of the payer to a bank account designated by the Authority.

(5) The Authority may, as it thinks fit, waive the whole or any part of any fee payable under section 7, 11, 12, 21 or 28 of the Act.

[S 716/2010 wef 26/11/2010]

[S 222/2023 wef 31/12/2021]

Manner of application for financial adviser’s licence

7. An application for the grant of a financial adviser’s licence shall be in Form 1 and shall be lodged with the Authority together with any relevant annex and information as may be specified in the Form or by the Authority from time to time.

[S 362/2005 wef 01/07/2005]

[S 716/2010 wef 26/11/2010]

Lapsing of financial adviser’s licence

8.—(1) For the purposes of section 15(1)(b) of the Act, where the Authority has not revoked or suspended the licence of a financial adviser under section 15(2) or (3) of the Act, respectively, the licence shall lapse —

(a)

if the financial adviser has not commenced business in at least one of the financial advisory services authorised to be provided by the licence for a continuous period of 6 months after the grant of the licence (or such longer period as the Authority may allow), immediately upon the expiry of that period; or

(b)

if the financial adviser —

(i)	has ceased to carry on business in providing all of the financial advisory services authorised to be provided by the licence;
(ii)	has not resumed business in any of those financial advisory services for a continuous period of 2 months from the date of such cessation of business; and
(iii)	has not notified the Authority of such cessation of business at any time during that period of 2 months,

immediately upon the expiry of that period of 2 months.

[S 716/2010 wef 26/11/2010]

[S 222/2023 wef 31/12/2021]

(2) [Deleted by S 716/2010 wef 26/11/2010]

Cessation of status of appointed representative

8A. For the purpose of section 23(4)(e) of the Act, unless the Authority has revoked the status of an individual as an appointed representative under section 30(1) of the Act or suspended that status under section 30(2)(a) of the Act, the individual shall cease to be an appointed representative in respect of all types of financial advisory service if —

(a)

before the end of the period of 6 months (or such longer period as the Authority may allow in any particular case) starting on the date on which the individual’s name was entered in the public register of representatives as an appointed representative, the appointed representative has not commenced to act as a representative in at least one of the financial advisory services that the individual was appointed to provide as a representative; or

[S 659/2018 wef 08/10/2018]

(b)

the appointed representative —

(i)	has ceased to act as a representative in respect of all of the financial advisory services he was appointed to provide as a representative; and
(ii)	has not resumed acting as a representative in respect of any of those financial advisory services for a continuous period of one month from the date of cessation,

and his principal has not notified the Authority of such cessation at any time during that period of one month.

[S 716/2010 wef 26/11/2010]

[S 222/2023 wef 31/12/2021]

Variation of financial adviser’s licence

9.—(1) An application for the variation of a financial adviser’s licence under section 12 of the Act shall be in Form 2 and shall be lodged with the Authority together with any relevant annex and information as may be specified in the Form or by the Authority from time to time.

[S 222/2023 wef 31/12/2021]

(2) Where the Authority adds to, varies or revokes any condition or restriction of a financial adviser’s licence under section 10(3) of the Act or imposes further conditions or restrictions on such a licence, the Authority may cancel the licence and issue a new licence to the licensed financial adviser indicating the applicable conditions or restrictions.

[S 222/2023 wef 31/12/2021]

[S 62/2025 wef 24/01/2025]

(3) Where the Authority —

(a)

has approved an application of a licensed financial adviser under section 12(1)(a) of the Act to add to its licence one or more types of financial advisory service authorised to be provided by its licence; or

[S 222/2023 wef 31/12/2021]

(b)

has approved an application of a licensed financial adviser under section 12(1)(b) of the Act to add to its licence one or more of the following types of investment product in relation to which it provides any financial advisory service:

(i)	securities; [S 659/2018 wef 08/10/2018]
(ii)	units in a collective investment scheme; [S 659/2018 wef 08/10/2018]
(iii)	exchange-traded derivatives contracts; [S 659/2018 wef 08/10/2018]
(iv)	OTC derivatives contracts; [S 659/2018 wef 08/10/2018]
(iva)	spot foreign exchange contracts; [S 659/2018 wef 08/10/2018]
(v)	life policies;
(vi)	structured deposits,

the Authority may cancel the licence and issue a new licence to the licensed financial adviser indicating the added type of financial advisory service or type of investment product.

[S 222/2023 wef 31/12/2021]

[S 62/2025 wef 24/01/2025]

(4) [Deleted by S 62/2025 wef 24/01/2025]

Change in particulars and additional financial advisory service of representative

10.—(1) An appointed representative shall notify his principal of any change in any of his particulars, being particulars set out in Form 3A, within 7 days after the occurrence of such change.

(2) A provisional representative shall notify his principal of any change in any of his particulars, being particulars set out in Form 3B, within 7 days after the occurrence of such change.

(3) [Deleted by S 659/2018 wef 08/10/2018]

(4) [Deleted by S 659/2018 wef 08/10/2018]

(5) [Deleted by S 659/2018 wef 08/10/2018]

(6) Any person who, without reasonable excuse, contravenes paragraph (1) or (2) shall be guilty of an offence.

[S 659/2018 wef 08/10/2018]

(7) For the purposes of section 26(6) of the Act, the principal of an appointed or a provisional representative shall notify the Authority of a change in the particulars of the representative in Form 18.

[S 222/2023 wef 31/12/2021]

(8) A notice under section 29(2) of the Act by a principal of its intention to appoint an appointed representative in respect of a type of financial advisory service in addition to that indicated against the appointed representative’s name in the public register of representatives shall be in Form 7.

[S 716/2010 wef 26/11/2010]

[S 222/2023 wef 31/12/2021]

11. [Deleted by S 716/2010 wef 26/11/2010]

Cessation of financial advisory service by financial adviser

12.—(1) Where a licensed financial adviser ceases to provide every type of financial advisory service authorised by its licence, it shall lodge with the Authority a notice in Form 5 within 14 days from the date of cessation.

(2) Where a licensed financial adviser ceases to provide any type of financial advisory service authorised by its licence but has not ceased to act as a financial adviser, it shall, within 14 days from the date of cessation, lodge with the Authority a notice in Form 5.

[S 62/2025 wef 24/01/2025]

(3) Where a licensed financial adviser ceases to provide financial advisory service in respect of any type of investment product authorised by its licence but has not ceased to act as a financial adviser, it shall, within 14 days from the date of cessation, lodge with the Authority a notice in Form 5.

[S 62/2025 wef 24/01/2025]

(4) Where a licensed financial adviser has not commenced to provide, by the end of the period of 6 months (or such longer period as the Authority may allow in any particular case) from the date of the grant of the licence, every type of financial advisory service to which its licence relates, it shall immediately lodge with the Authority a notice in Form 5.

[S 62/2025 wef 24/01/2025]

(5) Where a licensed financial adviser has commenced to provide, by the end of the period of 6 months (or such longer period as the Authority may allow in any particular case) from the date of the grant of the licence —

(a)	one or more but not all the types of financial advisory service; or
(b)	financial advisory service in respect of one or more but not all the types of investment product,

to which the licence relates, it shall immediately lodge with the Authority a notice in Form 5.

[S 62/2025 wef 24/01/2025]

(6) Upon receipt of the notice mentioned in paragraph (1), (2), (3), (4) or (5) —

(a)	the Authority may cancel the licence; and
(b)	the Authority may issue to the financial adviser a new licence in respect of the remaining type or types of financial advisory service or services and investment product or products authorised by its licence mentioned in paragraph (2), (3) or (5), as the case may be. [S 659/2018 wef 08/10/2018] [S 62/2025 wef 24/01/2025]

[S 62/2025 wef 24/01/2025]

(7) Any licensed financial adviser which, without reasonable excuse, contravenes paragraph (2), (3), (4) or (5) shall be guilty of an offence.

[S 716/2010 wef 26/11/2010]

[S 62/2025 wef 24/01/2025]

Obligation to notify Authority of certain matters

12AA.—(1) A licensed financial adviser must notify the Authority of the following facts, immediately after becoming aware of that fact:

(a)

that any development (including any development in relation to any associate of the licensed financial adviser, or any other entity treated as part of the licensed financial adviser’s group of companies according to the accounting standards applicable to the licensed financial adviser) has occurred or is likely to occur which the licensed financial adviser has reasonable grounds to believe has materially and adversely affected, or is likely to materially and adversely affect —

(i)	the financial soundness or reputation of the licensed financial adviser; or
(ii)	the licensed financial adviser’s ability to carry on business in any type of financial advisory service to which its licence relates;

(b)

that the licensed financial adviser’s chief executive officer or director is, in accordance with the Guidelines on Fit and Proper Criteria, no longer fit and proper to hold that office or appointment;

(c)

that a substantial shareholder of the licensed financial adviser or a person who has effective control of the licensed financial adviser within the meaning of section 65(6)(a) of the Act is, in accordance with the Guidelines on Fit and Proper Criteria, no longer fit and proper to be a substantial shareholder of the licensed financial adviser or to have effective control of the licensed financial adviser, as the case may be;

(d)

that the licensed financial adviser is not likely to be able to conduct its business prudently or to comply with the provisions of the Act and directions made thereunder, having regard to the likely influence over the licensed financial adviser of a substantial shareholder of the licensed financial adviser or a person who has effective control of the licensed financial adviser within the meaning of section 65(6)(a) of the Act.

(2) Any person who contravenes paragraph (1) shall be guilty of an offence.

[S 62/2025 wef 24/01/2025]

Lodgment of particulars of cessation

12A.—(1) For the purposes of sections 23(8) and 24(4) of the Act read with section 23(8) of the Act, particulars that an individual has ceased to be a representative of a principal, or has ceased to provide any type of financial advisory service which he is appointed to provide, shall be furnished to the Authority in Form 10.

[S 222/2023 wef 31/12/2021]

(2) Where an appointed representative has ceased to be a representative by virtue of regulation 8A(a), his principal shall immediately lodge with the Authority a notice of this in Form 10.

[S 716/2010 wef 26/11/2010]

Application for appointment of chief executive officer or director

13.—(1) For the purposes of section 63(1) of the Act, a licensed financial adviser shall submit to the Authority an application for approval of the appointment of a person (referred to in this regulation as the appointee) as its chief executive officer or director, or to change the nature of the appointment of a person as a director from one that is non-executive to one that is executive, in Form 11.

[S 716/2010 wef 26/11/2010]

[S 222/2023 wef 31/12/2021]

(2) For the purposes of section 63(5) of the Act, the Authority shall have regard to the following criteria in determining whether to grant its approval in respect of an application made under paragraph (1):

(a)

whether the licensed financial adviser has provided the Authority with such information relating to the appointee or director as the Authority may require;

[S 716/2010 wef 26/11/2010]

(aa)

whether the appointee or director has had a prohibition order made against him that still remains in force;

[S 716/2010 wef 26/11/2010]

[S 222/2023 wef 31/12/2021]

[S 617/2024 wef 31/07/2024]

(b)

whether the appointee or director is an undischarged bankrupt in Singapore or elsewhere;

[S 716/2010 wef 26/11/2010]

(c)

whether an enforcement order against the appointee or director in respect of a judgment debt has been returned unsatisfied in whole or in part;

[S 716/2010 wef 26/11/2010]

[S 342/2022 wef 04/05/2022]

(d)

whether the appointee or director has, in Singapore or elsewhere, entered into a compromise or scheme of arrangement with his creditors, being a compromise or scheme of arrangement that is still in operation;

[S 716/2010 wef 26/11/2010]

(e)

whether the appointee or director —

(i)	has been convicted, whether in Singapore or elsewhere, of an offence involving fraud or dishonesty or the conviction for which involved a finding that he had acted fraudulently or dishonestly; or
(ii)	has been convicted of an offence under the Act; [S 716/2010 wef 26/11/2010]

(f)

the educational or other qualification, experience or expertise of the appointee or director, having regard to the nature of the duties he is to perform as a chief executive officer, director or executive director, as the case may be, of the licensed financial adviser;

[S 716/2010 wef 26/11/2010]

(g)

whether the appointee or director is a fit and proper person to be a chief executive officer, director or executive director, as the case may be, of the licensed financial adviser;

[S 716/2010 wef 26/11/2010]

(h)

the financial standing of the appointee or director;

[S 716/2010 wef 26/11/2010]

(i)

the past performance of the appointee or director, having regard to the nature of the duties he is to perform as a chief executive officer, director or executive director, as the case may be, of the licensed financial adviser;

[S 716/2010 wef 26/11/2010]

(j)

whether there is reason to believe that the appointee or director will not conduct himself with professionalism or act in an ethical manner in discharging the duties he is to perform as a chief executive officer, director or executive director, as the case may be, of the licensed financial adviser.

[S 716/2010 wef 26/11/2010]

[S 222/2023 wef 31/12/2021]

Duties of licensed financial adviser

14.—(1) A licensed financial adviser shall —

(a)

comply with all laws and rules governing the operations of the financial adviser; and

(b)

in a manner that is commensurate with the nature, scale and complexity of its business —

(i)	implement, and ensure compliance with, effective written policies on all operational areas of the financial adviser, including the financial adviser’s financial policies, and accounting and internal controls; and
(ii)	put in place compliance function and arrangements including specifying the roles and responsibilities of officers and employees of the financial adviser in helping to ensure its compliance with all applicable laws, codes of conduct and standards of good practice in order to protect investors and reduce its risk of incurring legal or regulatory sanctions that may be imposed by the Authority or any other public authority, financial loss, and reputational damage;
(iii)	identify, address and monitor the risks associated with the business activities of the financial adviser;
(iv)	ensure that the business activities of the financial adviser are subject to compliance checks;
(v)	set out in writing the limits of the discretionary powers of each officer, committee, sub-committee or other group of persons of the financial adviser empowered to commit the financial adviser to any financial undertaking or to expose the financial adviser to any reputational risk;
(vi)	keep a written record of the steps taken by the financial adviser to monitor compliance with its policies, its accounting and operating procedures, and the limits on discretionary powers;
(vii)	ensure the accuracy, correctness and completeness of any report, return or statement submitted by the financial adviser to the Authority; and
(viii)	ensure effective controls and segregation of duties to mitigate potential conflicts of interest that may arise from the operations of the financial adviser.

(2) Any licensed financial adviser which contravenes paragraph (1) shall be guilty of an offence.

[S 383/2012 wef 07/08/2012]

[S 166/2013 wef 28/03/2013]

Criteria for determining if chief executive officer or director of licensed financial adviser has breached duties

14AA. For the purposes of section 64(2) of the Act and without prejudice to any other matter that the Authority may consider relevant, the Authority shall, in determining whether a chief executive officer or a director of a licensed financial adviser has failed to discharge the duties or functions of his office, have regard to whether the chief executive officer or director has ensured compliance by the financial adviser with each of the duties specified in regulation 14.

[S 166/2013 wef 28/03/2013]

[S 222/2023 wef 31/12/2021]

Financial advisers and representatives, etc., to be fit and proper persons

14A.—(1) For the purposes of section 20(9) of the Act —

(a)

a person who is exempted from holding a financial adviser’s licence under section 20(1)(a), (b), (c), (d), (e) or (f) of the Act shall ensure that —

(i)	it is a fit and proper person in relation to the provision of every financial advisory service for which it is exempted; and [S 716/2010 wef 26/11/2010]
(ii)	its representatives are fit and proper persons in relation to their acting as its representatives; and [S 222/2023 wef 31/12/2021]

(b)

a person who is exempted from holding a financial adviser’s licence under regulation 27(1)(d) shall ensure that —

(i)

he is a fit and proper person in relation to the provision of every financial advisory service for which he is exempted;

[S 716/2010 wef 26/11/2010]

(ii)

his representatives are fit and proper persons in relation to their acting as his representatives; and

(iii)

where the person is an entity —

(A)

its directors or equivalent persons are fit and proper persons for office;

(B)

its substantial shareholders or equivalent persons are fit and proper persons to be in such capacity; and

(C)

persons (other than a person referred to in sub-paragraph (A) or (B)) alone or acting together with any connected person, who —

(CA)	control, directly or indirectly, not less than 20% of the voting power or such equivalent decision-making power in the entity; or
(CB)	acquire or hold, directly or indirectly, not less than 20% of the issued shares or such equivalent share of ownership of the entity,

are fit and proper persons to control such power or hold such shares or share of ownership.

[S 274/2008 wef 28/05/2008]

[S 222/2023 wef 31/12/2021]

(2) A licensed financial adviser shall ensure that —

(a)	it is a fit and proper person in relation to the provision of every financial advisory service for which it is licensed;
(b)	its representatives are fit and proper persons in relation to their acting as its representatives;
(c)	its substantial shareholders or equivalent persons are fit and proper persons in their capacity as such; and
(d)	its chief executive officer, directors or equivalent persons are fit and proper persons for office. [S 716/2010 wef 26/11/2010] [S 362/2005 wef 01/07/2005]

PART III

FINANCIAL REQUIREMENTS FOR LICENSED FINANCIAL ADVISERS

[S 716/2010 wef 26/11/2010]

Minimum financial requirements

15. For the purposes of section 8(1)(b) of the Act, the applicant shall meet the following minimum financial requirements for the grant of a financial adviser’s licence:

(a)

in the case of an applicant which intends to carry on or which, as a licensed financial adviser, is carrying on, a business of providing any or all of the following financial advisory services:

(i)

advising others (other than in the manner specified in sub-paragraph (ii)), either directly or through publications or writings, and whether in electronic, print or other form, concerning —

(A)

futures contracts;

(B)

spot foreign exchange contracts; or

(C)

OTC derivatives contracts the value of which is determined by reference to, is derived from, or varies by reference to —

(CA)	the value or amount of one or more currencies; or
(CB)	fluctuations in the values or amounts of one or more currencies or currencies indices; [S 659/2018 wef 08/10/2018]

(ii)

advising others by issuing or promulgating research analyses or research reports, whether in electronic, print or other form, concerning —

(A)

futures contracts;

(B)

spot foreign exchange contracts; or

(C)

OTC derivatives contracts the value of which is determined by reference to, is derived from, or varies by reference to —

(CA)	the value or amount of one or more currencies; or
(CB)	fluctuations in the values or amounts of one or more currencies or currencies indices, [S 659/2018 wef 08/10/2018]

the paid-up capital of the applicant is not less than $300,000 or, where the applicant is a foreign company, its net head office funds are not less than $300,000; or

[S 716/2010 wef 26/11/2010]

(b)

in any other case, the paid-up capital of the applicant is not less than $150,000 or, where the applicant is a foreign company, its net head office funds are not less than $150,000.

[S 716/2010 wef 26/11/2010]

[S 222/2023 wef 31/12/2021]

Continuing financial requirements

16.—(1) For the purposes of section 8(1)(b) of the Act, a licensed financial adviser, not being a foreign company, shall at all times maintain a net asset value of not less than —

(a)

in the case where it does not have an immediately preceding financial year, three-quarters of the minimum paid-up capital required under regulation 15; or

(b)

in any other case —

(i)	one-quarter of its relevant annual expenditure of the immediately preceding financial year; or
(ii)	three-quarters of the minimum paid-up capital required under regulation 15,

whichever is the higher.

[S 222/2023 wef 31/12/2021]

(2) For the purposes of section 8(1)(b) of the Act, a licensed financial adviser which is a foreign company shall at all times maintain net head office funds of not less than —

(a)

in the case where it does not have an immediately preceding financial year, the minimum net head office funds required under regulation 15; or

(b)

in any other case —

(i)	one-quarter of its relevant annual expenditure of the immediately preceding financial year; or
(ii)	the minimum net head office funds required under regulation 15,

whichever is the higher.

[S 222/2023 wef 31/12/2021]

(3) For the purposes of paragraphs (1)(b)(i) and (2)(b)(i), the relevant annual expenditure of a licensed financial adviser for the immediately preceding financial year means the total expenditure of the financial adviser for that year less the following:

(a)	staff bonuses (except to the extent that they are guaranteed);
(b)	employees’ and directors’ shares in profits (except to the extent that they are guaranteed); and
(c)	any commission or fee paid to its representatives which is directly related to the commission or fee received by the financial adviser.

Professional indemnity insurance

17. For the purposes of section 8(1)(c) of the Act, the limit of indemnity to be covered under the professional indemnity insurance policy for the grant of a financial adviser’s licence in respect of all types of financial advisory service to be provided or provided by the applicant for such licence shall be an amount of not less than $500,000, under which the deductible allowed shall be —

(a)

in the case of an applicant which is a foreign company —

(i)	where the foreign company does not have an immediately preceding financial year, not more than 20% of its net head office funds before the date on which the licence is granted; or
(ii)	in any other case, not more than 20% of the net head office funds of the applicant as at the end of its immediately preceding financial year; or

(b)

in the case of any other applicant —

(i)	where the applicant does not have an immediately preceding financial year, not more than 20% of its paid-up capital; or
(ii)	in any other case, not more than 20% of the net asset value of the applicant as at the end of its immediately preceding financial year. [S 716/2010 wef 26/11/2010] [S 222/2023 wef 31/12/2021]