As Singapore positions itself as a global FinTech hub, cryptocurrency activities are gaining traction under tighter regulatory oversight. The Monetary Authority of Singapore (MAS) now requires all Digital Payment Token (DPT) service providers to be licensed and meet stringent AML/CFT and technology risk management standards. Whether you’re an exchange operator or an investor exploring the digital asset space, understanding the Payment Services Act is essential to staying compliant and future-ready.
The Singapore Terrorism Threat Assessment Report 2022 warns of heightened terrorism risks post-pandemic. Given the vulnerabilities in the PSMD sector, regulated dealers should adopt a risk-based approach and implement effective AML/CFT controls and training programmes.
Collective Investment Schemes (CIS) allow investors to pool funds into a managed portfolio of assets such as equities, bonds, or cash. Administered under the Monetary Authority of Singapore (MAS), all CIS offers must comply with the Securities and Futures Act (SFA) and the Code on Collective Investment Schemes.
Global capital markets participants are broadly classified into three groups — buy-side, sell-side, and financial intermediaries. While sell-side firms focus on issuing and selling securities, buy-side firms invest in them for fund management purposes. This article explores the buy-side segment, including hedge funds, private equity, and venture capital.
Singapore’s strong trade network and the signing of RCEP have deepened regional integration and boosted investor confidence. The hedge fund industry benefits from these developments, attracting significant inflows from global investors. Fund managers operating in Singapore are required to hold a Capital Markets Services (CMS) licence under MAS regulations.
Early in the year of 2019, the Precious Stones and Precious Metals (Prevention of Money Laundering and Terrorism Financing) Act 2019 (“PSPM Act”) has come into force to safeguard the precious stones and precious metals dealers (PSMD) sector against money laundering/ terrorism financing (ML/TF) risks.
The rise of digitalisation in the financial sector has transformed how financial institutions operate — but it also heightens exposure to cyber threats. Following major global incidents such as the SolarWinds hack, the Monetary Authority of Singapore (MAS) revised its Technology Risk Management Guidelines in January 2021 to ensure stronger safeguards across the industry. Financial institutions must now assess technology risks, evaluate third-party vendors, and implement robust frameworks to protect client data and maintain system integrity.
Financial crimes like money laundering have heightened compliance risks for the PSMD sector. Under MinLaw’s AML/CFT regulations, all dealers must register, perform due diligence, and file cash transaction reports. Strengthening internal controls and staff awareness is key to preventing ML/TF violations and ensuring compliance.
As sustainability takes centre stage, banks are under growing pressure to manage environmental risks and align with ESG principles. In Singapore, the Monetary Authority of Singapore (MAS) has introduced the Environmental Risk Management Guidelines and the Environmental Risk Questionnaire (ERQ) to help banks identify, assess, and mitigate climate-related risks. These tools not only strengthen banks’ resilience but also guide corporate clients in transitioning toward a greener, low-carbon economy.
