Financial Sector Growth Initiatives

MAS and the Singapore Economic Development Board (EDB) jointly established a Family Office Development Team (FODT) to enhance Singapore’s competitiveness as a global wealth management and family office hub

March 2019

Through FODT, MAS sought to enhance the operating environment for family offices; augment the capability of family office professionals and service providers; and develop a systematic approach to engage family offices.

MAS partnered the Institute of Banking and Finance (IBF) and the industry to develop the skills map for Family Office Advisors under IBF’s Skills Framework for Financial Services

May 2020

The skills map would guide wealth management professionals and families on the skills required for family offices and provide a framework for designing appropriate training curriculum.

Singapore retained its position as the third largest FX centre globally

17 September 2019

Singapore’s average daily FX trading volume reached a new high of US$640 billion in April 2019, up 24% from April 2016, and represented a 7.6% global market share, according to the BIS Triennial FX and OTC Derivatives survey. The buildout of FX e-trading infrastructure in Singapore would be the next key growth driver, with nine bank and non-bank liquidity providers having committed to build pricing and trading engines in Singapore.

Singapore established the first regional disaster risk financing facility in Asia to provide climate and disaster risk financing and insurance solutions for ASEAN member states

October 2019

The Southeast Asia Disaster Risk Insurance Facility (SEADRIF), an initiative under the ASEAN+3 Finance Ministers and Governors Meeting, was the first regional insurance facility to provide climate and disaster risk financing and insurance solutions for ASEAN member states. Starting with a sovereign flood risk insurance pool for Lao PDR and Myanmar, SEADRIF signaled Singapore’s commitment to support the region’s disaster risk management and risk financing, leveraging its (re)insurance ecosystem and strengths in specialised risks, including natural catastrophe risks.

The first sovereign catastrophe bond in Asia was issued under a World Bank programme, covering the Philippines’ earthquake and tropical cyclone risks

1 November 2019

Supported by MAS’ Insurance-linked Securities (ILS) grant scheme, this was the first catastrophe bond to be listed in Asia and on the Singapore Exchange. This transaction bolstered Singapore’s position as an emerging ILS domicile in Asia, providing sovereign and commercial entities broader risk financing options.

Singapore supported the launch of a Dual-Programme Office, under the endorsement of the ASEAN Cross Sectoral Coordinating Committee on Disaster Risk Financing and Insurance (ACSCC)

1 August 2019

This was part of Phase 2 of the ASEAN Disaster Risk Financing and Insurance Programme (ADRFI). Supported by the NTU Institute of Catastrophe Risk Management and the ASEAN Secretariat, the ADRFI Dual Programme Office would enable the collection of good quality, high-resolution data to quantify ASEAN’s economic and insurance exposure to disasters. It would also enhance capacity building and develop robust regional disaster risk financing solutions such as regional sovereign risk pools and catastrophe bond programmes.

MAS and the Accounting and Corporate Regulatory Authority (ACRA) launched the Variable Capital Companies (VCC) framework to enhance Singapore’s position as a full-service fund management and fund domiciliation hub

15 January 2020

The VCC framework was a new corporate structure tailored for investment funds. It could be used for a wide range of investment funds and provided fund managers greater operational flexibility and cost savings. The framework would encourage more funds to be domiciled in Singapore and enhance our value proposition as a full-service fund management and fund domiciliation hub. Take-up had been very strong since its launch, with 71 VCC investment funds incorporated or redomiciled as of 15 June 2020.

MAS launched the Global-Asia Bond Grant (G-ABG) Scheme to further strengthen Singapore’s position as Asia’s leading bond centre

1 January 2020

The G-ABG Scheme provided co-funding support for issuance-related expenses to first-time global issuers with an Asian nexus issuing bonds in Singapore. The grant scheme provided funding support of up to S$200,000 for unrated issuances and up to S$400,000 for rated issuances, with up to double the funding support for jumbo-sized bond issuers.

MAS facilitated the creation of Bayfront Infrastructure Management (BIM) to provide institutional capital access to infrastructure debt financing in Asia

2 April 2020

BIM, an infrastructure debt takeout facility, 70/30 owned by Clifford Capital Holdings and the Asian Infrastructure Investment Bank (AIIB), commenced operations in April 2020. BIM signed Memoranda of Understanding (MOUs) with 15 banks to catalyse a steady pipeline of predominantly brownfield infrastructure and project finance loan acquisitions which could be packaged and distributed as securitised notes to institutional investors.  This would unlock capital for infrastructure financing in the Asia Pacific region by facilitating the recycling of bank capital and mobilising private institutional capital.

MAS facilitated private market managers access to regional deals through Deal Fridays, and supported the launch of IMAS’ digital acceleration programme to drive FinTech adoption within the Asset Management (AM) industry

June 2019 and February 2019

MAS and Enterprise Singapore jointly launched “Deal Fridays” – a series of deal-making sessions to match global investors with a curated list of FinTech and technology start-ups, with a view to promote further deal making. 

The 2019 “Deal Fridays” generated more than 200 leads between start-ups and investors from the region. MAS also supported the launch of the inaugural Investment Management Association of Singapore’s (IMAS) Digital Accelerator Programme (DAP), which identified and partnered FinTechs that were offering quality solutions in the asset management space.