The Monetary Authority of Singapore (“MAS”) published a consultation paper on the proposed amendments to the Securities and Futures Act (the “SFA”) which proposes to extend the SFA to regulate OTC derivatives. The consultation paper clarified that contracts booked in Singapore are subject to the derivatives reporting obligations even if the contracts were not traded in Singapore. The consultation also proposes the following amendments to the SFA:

  • simplify product definitions such as “securities” and “derivative contracts”;
  • introduce a new part setting out the framework for short selling and short selling reporting requirements;
  • strengthen the effectiveness of the enforcement regime to deter market misconduct; and
  • widen the range of factors to be considered in recognizing a foreign collective investment scheme for offer to the public.

The proposals closed for comment on 24 March 2015.

Read the Consultation Paper on Proposed Amendments to the Securities and Futures Act