The Financial Advisers (Amendment) Bill 2008

Second Reading Speech By Mr Lim Hng Kiang, Minister for Trade and Industry and Deputy Chairman, Monetary Authority of Singapore

Mr Speaker Sir, on behalf of the Senior Minister, I beg to move, "That the Bill be now read a second time".

2   The House has just debated on the Securities and Futures (Amendment) Bill 2008. The amendments in the Financial Advisers (Amendment) Bill 2008 are similar in part to the Securities and Futures (Amendment) Bill 2008. It has the same objectives of enabling MAS to respond more quickly to new market developments, and enhancing the supervisory and enforcement powers of MAS.

3   Key amendments that have been made in the Securities and Futures (Amendment) Bill 2008 which will be replicated in the Financial Advisers (Amendment) Bill 2008 relate to the amendments on capital markets licensing and business conduct. Specifically, these are in relation to the:

(i) continuing licensing regime for financial advisers’ licence holders;
(ii) introduction of the Representative Notification Framework;
(iii) the control of take-over of licensed financial advisers; and
(iv) MAS’ powers to make prohibition orders.

4   The rationale for the amendments to the Financial Advisers (Amendment) Bill 2008 has been elaborated on in the House’s deliberations on the Securities and Futures (Amendment) Bill 2008. MAS will monitor the evolving financial landscape, and continue to review the regulatory framework for the sale and marketing of products within the ambit of the Financial Advisers Act.

5   Sir, I beg to move.