In reviewing the legislative amendments to Securities and Futures Act (SFA) and Financial Advisers Act (FAA), MAS released two public consultation papers in September 2006 and December 2006. The first consultation paper contained two key proposals: (i) the introduction of a Representative Notification Framework to replace the current different framework for licensed and exempt representatives, and (ii) the conferment of enhanced powers to MAS for the supervision of markets and clearing facilities in emergencies.
The second consultation paper set out proposed amendments to five broad areas: market and clearing houses; licensing and business conduct rules; fidelity funds of securities and futures exchanges; market misconduct enforcement framework; and regulation of offers on investments.
MAS intends to release a third consultation paper with proposed changes to the SFA and FAA in the following areas: (i) refining our licensing framework for corporate license holders; (ii) enhancing our prohibition order regime to strengthen our supervisory oversight; (iii) refining our regime for providing assistance to foreign regulators; and (iv) providing our capital markets legislative framework with sufficient flexibility to keep pace with innovation. |
