Apply to all capital markets services (CMS) licensees.
Set out requirements for all CMS licensees to:
- Maintain a minimum base capital.
- Maintain financial resources (FR) above the total risk requirements (TRR) and report to MAS when FR falls below a threshold.
- Lodge financial returns with MAS.
In addition, they set out other financial and margin requirements that are applicable to CMS licensees conducting certain regulated activities. These include the requirements to:
- Maintain aggregate indebtedness within a threshold
- Maintain a reserve fund
- Seek MAS' approval for a reduction in share capital
- Notify MAS prior to the issuance of preference shares or drawing down a qualified subordinated loan
- Obtain margin from customers