Aggregated News From Investment Management Regulators

MAS Proposes to Introduce Due Diligence Requirements for Corporate Finance Advisers

Report/Flag

Please complete the required fields.



The Monetary Authority of Singapore (MAS) today published a consultation paper to raise the standards of conduct of corporate finance (CF) advisers1 by introducing baseline requirements for due diligence work performed. These requirements will improve the quality of disclosures from entities seeking to raise funds from the public, thus allowing investors to make informed decisions.

2          CF advisers are currently required to have effective internal controls to address the risks associated with their activities and mitigate conflicts of interests that may arise from these activities. The proposed requirements set out the minimum standards which CF advisers should adhere to when conducting due diligence on CF transactions. Under the proposal, CF advisers will be required to –

  • Exercise reasonable judgement in determining the scope of the due diligence work to be performed on a CF transaction;
  • Assess the veracity of information obtained in the course of their due diligence;
  • In relation to their role as issue managers of initial public offerings (IPOs), satisfy additional requirements such as assessing the suitability of listing the applicant and conducting an independent review of the due diligence performed by the team responsible for advising on a specific IPO. This is to better safeguard the interests of retail investors.

3          Mr Lim Tuang Lee, Assistant Managing Director (Capital Markets), MAS, said, “Corporate finance advisers play an important gatekeeping role in safeguarding the integrity of our capital markets. The proposed requirements are consistent with best practices in major jurisdictions and seek to strengthen investor confidence in our capital markets.”

4          The consultation paper is available on MAS’ website . MAS invites interested parties to submit their comments on the proposals here by 15 February 2022.



[1] CF advisers refer to holders of a capital markets services (CMS) licence and banks, merchant banks and finance companies exempt from holding a CMS licence to undertake the regulated activity of advising on corporate finance.

This news item was originally published by the Monetary Authority of Singapore (MAS SG). For more information, please see the Source Link.

Regulator Information

Abbreviation: MAS
Jurisdiction: Singapore

Recent Articles

Tarcord Bank

We believe this firm may be providing financial services or products in the UK without our authorisation. Find out why you should be wary...

Remittance Order issued in RC No. 5983 of 2022 drawn against Pushpa Asoolal Bissa (PAN: BGXPB6906Q) in the matter of Greencrest Financial Services Limited.

This news item was originally published by the Securities and Exchange Board of India (SEBI IN). See the article here: Read more

Remittance Order issued in RC No. 5984 of 2022 drawn against Sarita Pradip Bissa (PAN: BGLPB8816M) in the matter of Greencrest Financial Services Limited.

This news item was originally published by the Securities and Exchange Board of India (SEBI IN). See the article here: Read more

Remittance Order issued in RC No. 6046 of 2022 drawn against Dinesh V Makwana (PAN: ANOPM9543M) in the matter of Sterling International Enterprises Limited.

This news item was originally published by the Securities and Exchange Board of India (SEBI IN). See the article here: Read more

Get the latest from Regulatory.News in your inbox!

×