Singapore: MAS consults on proposed revisions to remove exemptions under the financial advertisement regulations

16 May 2025    2 minute read

In brief

On 3 May 2025, the Monetary Authority of Singapore (MAS) issued a consultation paper proposing to remove the current exclusions under the Financial Advisers Regulations (FAR) and the Securities and Futures (Licensing and Conduct of Business) Regulations (SF(LCB)R) that exempt certain financial institutions from complying with advertising regulations ("2025 Consultation").

This proposal is part of MAS's broader initiative to enhance market conduct standards, following its 2023 Consultation Paper on Enhancing Safeguards for Proper Conduct of Digital Prospecting and Marketing Activities ("2023 Consultation"). In the 2023 Consultation, MAS proposed that advertising regulations similar to those currently applicable to product advertisements be applied to non-product advertisements as well.

The proposed amendments in the 2025 Consultation are intended to take effect concurrently with the legislative changes outlined in the 2023 Consultation.

Contents

Key takeaways

MAS is proposing to level the playing field by removing the existing exclusions from product advertisement regulations, which are based on certain types of investors and/or certain activities. The same approach will be taken with respect to non-product advertisements.

The proposed changes reflect MAS's emphasis on reinforcing fair dealing and information transparency across all types of investors and improving regulatory consistency.

MAS is seeking feedback on the 2025 Consultation until 11:59 pm on 5 June 2025. If you have any feedback or questions, please let us know. 

Existing exclusions

Currently, FAR Regulations 22(7)(a) and (c) and SF(LCB)R Regulations 46(7)(b) and (d) provide various exclusions from the product advertisement regulations, including product advertisements provided to certain types of investors or in connection with certain types of activities, such as dissemination or publication of information in connection with the following:

  • Advising institutional investors or related corporations on investment products.
  • Advising accredited or expert investors on bonds.
  • Advising on spot foreign exchange contracts other than for the purposes of leveraged foreign exchange trading.
  • Offering securities or units in collective investment schemes to accredited investors and institutional investors or in reliance on certain other prospectus exemptions.

Removal of advertising exclusions

MAS proposes to do the following:

  • Remove the exclusions in FAR Regulations 22(7)(a) and (c) and SF(LCB)R Regulations 46(7)(b) and (d), such that all product advertisements must comply with the applicable requirements.
  • Apply similar uniform standards to non-product advertisements.

MAS takes the following view: 

  • The principles of fair dealing and transparency should apply universally to all investors, and all investors should be given reliable and accessible information to enable them to make informed decisions. 
  • All financial advertising should convey information that is accurate, balanced and legible, irrespective of the type of product or the target audience.
  • Consistency between product and non-product advertisements is essential to prevent information asymmetry and risks of misinformation. 

The above is not intended to be exhaustive or to constitute legal advice.

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Contact Information
Stephanie Magnus
Principal
Singapore
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stephanie.magnus@bakermckenzie.com
Eunice Tan
Principal
Singapore
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eunice.tan@bakermckenzie.com

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