Securities And Futures (Financial And Margin Requirements For Holders Of Capital Markets Services Licences) Regulations

Sets out the minimum capital and financial resources, and other financial and margin requirements.

Applies to: Dealing in Capital Markets Products , Product Financing , Providing Custodial Services , Licensed Fund Management Company , Corporate Finance Advisory , REIT Management , Registered Fund Management Company , Credit Rating Agency , Securities Crowdfunding

View Document Securities And Futures (Financial And Margin Requirements For Holders Of Capital Markets Services Licences) Regulations

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

08 Oct 2018: Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) (Amendment) Regulations 2018
01 Nov 2016: Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) (Amendment) Regulations 2016 (173.5 KB)

Guidance

Last Revised Date: 29 March 2022

Compliance Toolkit for Approvals, Notifications and Other Regulatory Submissions to MAS (for FIs conducting regulated activities under the SFA other than for fund managers and REIT managers)

This Compliance Toolkit aims to provide guidance on: • Applications to be submitted for approval to MAS; and • Notifications and regulatory submissions to MAS. This Compliance Toolkit serves as a guide to capital market services licensees (other than fund managers and REIT managers), exempt financial institutions (e.g. banks and finance companies) and other exempt entities (e.g. exempt corporate finance advisers) on the various approval and reporting requirements and timelines under the SFA and its subsidiary instruments.

Licensing, Authorisation and Registration Capital and Financial Resources Margins Financial Returns Notifications Declarations Exemptions Key Appointments Fit and Proper Criteria
Guidance

Last Revised Date: 11 March 2022

Compliance Toolkit for Approvals, Notifications and Other Regulatory Submissions to MAS for Fund Managers

This Compliance Toolkit aims to guide and facilitate licensed fund management companies, registered fund management companies, venture capital fund managers’ compliance with the various MAS approval and reporting requirements and timelines.

Licensing, Authorisation and Registration Capital and Financial Resources Margins Financial Returns Notifications Exemptions Key Appointments Fit and Proper Criteria Investment Management
Guidelines

Last Revised Date: 01 March 2022

Guidelines on Licensing, Registration and Conduct of Business for Fund Management Companies [SFA 04-G05]

How to qualify to be and conduct your business as a fund manager.

Fit and Proper Criteria Key Appointments Capital and Financial Resources Security Deposit and PII Disclosures Investment Management Licensing, Authorisation and Registration
Guidelines

Last Revised Date: 20 December 2021

Guidelines to All Holders of a Capital Markets Services Licence for Real Estate Investment Trust Management [SFA 04-G07]

How to qualify to be a REIT manager and what ongoing governance and compliance arrangements are expected.

Corporate Governance Fit and Proper Criteria Key Appointments Capital and Financial Resources Disclosures Remuneration Licensing, Authorisation and Registration
Guidance

Last Revised Date: 30 November 2021

Compliance Toolkit for Approvals, Notifications and Other Regulatory Submissions to MAS for REIT Managers

This Compliance Toolkit aims to guide and facilitate REIT managers’ compliance with the various MAS approval and reporting requirements and timelines.

Licensing, Authorisation and Registration Capital and Financial Resources Margins Financial Returns Notifications Exemptions Key Appointments Fit and Proper Criteria Security Deposit and PII
Notices

Last Revised Date: 27 September 2021

Notice SFA 04-N13 Risk Based Capital Adequacy Requirements for Holders of Capital Markets Services Licences

How to comply with risk based capital adequacy requirements.

Capital and Financial Resources Financial Returns
FAQs

Published Date: 03 November 2020

FAQs on the Risk Based Capital Adequacy Requirements for Capital Markets Services Licence Holders

This set of FAQs aims to guide and assist capital markets services licensees in complying with the risk based capital adequacy requirements under the Securities and Futures (Financial and Margin Requirements) Regulations and the Notice on Risk Based Capital Adequacy Requirements for Holders of Capital Markets Services Licences.

Capital and Financial Resources Financial Returns
FAQs

Last Revised Date: 03 November 2020

FAQs on Lodgement of Financial Returns under the Securities and Futures (Financial and Margin Requirements) Regulations

Provides guidance on the requirements and procedures relating to the lodgement of financial returns by capital markets services licensees.

Capital and Financial Resources Financial Returns
Forms and Templates

Published Date: 08 October 2018

Form 9 - Statement of Exposure to Margined Single Specified Product

Form for capital markets services licensees providing product financing to provide information on their exposures to specified products. This form must be submitted within 14 days from the end of each quarter.

Capital and Financial Resources Financial Returns
Forms and Templates

Published Date: 08 October 2018

Form 4 - Statement relating to the Accounts of a Holder of a Capital Markets Services Licence – Supplementary Information

Form for capital markets services licensees to submit supplementary information on their annual balance sheet and profit and loss accounts. This form must be submitted within five months from the end of the financial year.

Capital and Financial Resources Financial Returns
Forms and Templates

Published Date: 08 October 2018

Form 1 - Statement of Assets and Liabilities (For Submissions After the Quarter/Financial Year Ended 31 December 2018)

Form for capital markets services licensees to provide a breakdown of their assets and liabilities. This form must be submitted within 14 days from the end of each quarter, and within five months from the end of the financial year. This version is for submissions in respect of any quarter or financial year ending after 31 December 2018.

Financial Returns Financial and Margin
Forms and Templates

Published Date: 08 October 2018

Form 3 - Statement related to the Accounts of a CMS Licence (for submissions after Quarter FY Ended 31 Dec 2018)

Form for capital markets services licensees to submit their audited annual profit and loss accounts to MAS. This form must be submitted within five months from the end of the financial year. This version is for submissions in respect of any quarter or financial year ending after 31 December 2018.

Capital and Financial Resources Financial Returns
Forms and Templates

Published Date: 08 October 2018

Form 8 - Statement of Exposure to Margin Customers

Form for capital markets services licensees providing product financing to provide information on their exposures to margin customers. This form must be submitted within 14 days from the end of each quarter.

Capital and Financial Resources Financial Returns
Forms and Templates

Published Date: 08 October 2018

Form 2 - Statement of Financial Resources, Total Risk Requirement and Aggregate Indebtedness (For Submissions After the Quarter/Financial Year Ended 31 December 2018)

Form for capital markets services licensees to provide a breakdown of their financial resources, total risk requirement and aggregate indebtedness. This form must be submitted within 14 days from the end of each quarter, and within five months from the end of the financial year. This version is for submissions in respect of any quarter or financial year ending after 31 December 2018.

Capital and Financial Resources Financial Returns
Guidelines

Published Date: 08 October 2016

Guidelines on Criteria for the Grant of a Capital Markets Services Licence Other Than for Fund Management and Real Estate Investment Trust Management [SFA 04-G01]

How to qualify to be a CMS licensee (other than a fund manager or REIT manager).

Fit and Proper Criteria Key Appointments Capital and Financial Resources Security Deposit and PII Licensing, Authorisation and Registration
Forms and Templates

Published Date: 31 December 2013

Form 5 - Auditor’s Report - For a Holder of a Capital Markets Services Licence

Form for capital markets services licensees to submit their auditor's reports on their businesses. This form must be submitted within five months from the end of the financial year.

Capital and Financial Resources Financial Returns
Forms and Templates

Published Date: 31 December 2013

Form 6 - Auditor’s Certification - For a Holder of a Capital Markets Services Licence

Form for capital markets services licensees to submit their auditor's certifications on their audited financial statement. This form must be submitted within five months from the end of the financial year.

Capital and Financial Resources Financial Returns
Consultations

Published Date: 03 April 2012

Consultation Paper On Proposed Revisions to the Regulatory Capital Framework for Holders of Capital Markets Services Licences

Proposal to enhance and align regulatory capital requirements across CMS licenses conducting different regulated activities.

Capital and Financial Resources

Consultation number:

P007 - 2012

Start date:

03 April 2012

Closing date:

03 May 2012

MAS response date:

02 April 2013

Status:

Responded
Consultations

Published Date: 27 April 2010

Review of the Regulatory Regime for Fund Management Companies and Exempt Financial Intermediaries

Proposed (i) revisions to the regulatory regime for fund management companies, and (ii) removal of the licensing exemption for exempt leveraged foreign exchange traders, with clarification on the exemption regime for exempt corporate finance advisers and exempt financial advisers.

Licensing, Authorisation and Registration Exemptions Investment Management Customer Monies and Assets Segregation Representative-related Operations Capital and Financial Resources Key Appointments

Consultation number:

P008 - 2010

Start date:

27 April 2010

Closing date:

31 May 2010

MAS response date:

28 September 2010

Status:

Responded
Guidelines

Published Date: 28 March 2008

Guidelines on the Calculation of Counterparty Risk Requirement for Specified Structured Warrants under Paragraph 3(2) of the Third Schedule to the Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) Regulations [FMR N02]

Specifies how counterparty risk requirements should be computed for specified structured warrants. The guidelines are not applicable to capital computations after 3 April 2015 and financial returns after 1 July 2015.

Capital and Financial Resources
Guidelines

Published Date: 06 November 2007

Guidelines on the Specification of Entities under Sub-paragraph (b)(vi) of the Definition of "Qualifying Deposit" in Paragraph 1(4) of the Second Schedule to the Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) Regulations [FMR N01]

Specify the qualifying deposits from certain entities which are carved out from the computation of counterparty exposure. The guidelines are not applicable to capital computations after 3 April 2015 and financial returns after 1 July 2015.

Capital and Financial Resources Margins
Forms and Templates

Published Date: 20 December 2006

Form 3 - Statement relating to the Accounts of a Holder of a Capital Markets Services Licence (For Submissions Until the Quarter/Financial Year Ended 31 December 2018)

Form for capital markets services licensees to submit their audited annual profit and loss accounts to MAS. This form must be submitted within five months from the end of the financial year. This version is for submissions in respect of any quarter or financial year ending before or on 31 December 2018.

Capital and Financial Resources Financial Returns
Forms and Templates

Published Date: 20 December 2006

Form 2 - Statement of Financial Resources, Total Risk Requirement and Aggregate Indebtedness (For Submissions Until the Quarter/Financial Year Ended 31 December 2018)

Form for capital markets services licensees to provide a breakdown of their financial resources, total risk requirement and aggregate indebtedness. This form must be submitted within 14 days from the end of each quarter, and within five months from the end of the financial year. This version is for submissions in respect of any quarter or financial year ending before or on 31 December 2018.

Capital and Financial Resources Financial Returns
Forms and Templates

Published Date: 20 December 2006

Form 1 - Statement of Assets and Liabilities (For Submissions Until the Quarter/Financial Year Ended 31 December 2018)

Form for capital markets services licensees to provide a breakdown of their assets and liabilities. The form must be submitted within 14 days from the end of each quarter, and within five months from the end of the financial year. This version is for submissions in respect of any quarter or financial year ending before or on 31 December 2018.

Financial Returns Financial and Margin
Forms and Templates

Published Date: 09 June 2005

Form 7 - Statement of Aggregate Margin Exposure to Single Approved Exchange

Form for capital markets services licensees providing product financing to provide information on margin exposures to various approved exchanges. This form must be submitted within 14 days from the end of each quarter.

Capital and Financial Resources Financial Returns
Regulations

Published Date: 26 April 2005

Securities and Futures (ESOS Financing Scheme) (Exemption) Regulations 2005

Sets out the exemptions for Trans-Pacific Credit Ptd Ltd and UOB Kay Hian Pte Ltd in relation to the ESOS Financing Scheme.

Exemptions
Regulations

Published Date: 09 July 2004

Securities And Futures (Exemption Of Phillip Financial Pte Ltd And Phillip Securities Pte Ltd) Regulations 2004

Sets out the exemptions for Phillip Financial Pte Ltd and Phillip Securities Ptd Ltd in relation to the ESOS Financing Scheme.

Exemptions

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Securities And Futures (Financial And Margin Requirements For Holders Of Capital Markets Services Licences) Regulations

Amendment Notes