The Singapore Capital Markets Services (CMS) Licence in 2021

Since 2003, Healy Consultants Group PLC has been assisting our Clients to register fund management companies across the globe. Singapore is an attractive jurisdiction in which to establish a fund management firm because i) its capital and debt markets have an excellent global reputation and ii) the country has a stable legal framework and infrastructure.

  • What is a Singapore CMS Licence?

    • A Capital Markets Services (CMS) licence is granted by the Monetary Authority of Singapore (MAS);
    • Once the licence application is approved, the Singapore entity can legally trade in financial services including i) signing discretionary mandates with customers ii) signing legal contracts and iii) conducting investment activities.
  • What are the main requirements?

    Regulatory requirementRegistered Fund Management Company (RFMC)Licenced Fund Management Company (LFMC)LFMC - Retail
    Who can invest?Qualified investorsQualified investorsNo restrictions
    Max assets under Management (AUM)S$250 millionNo limitNo limit
    Risk-based capital (RBC) requirementsNone120% of operation risk requirement120% of operation risk requirement
    Minimum base capitalS$250,000S$250,000S$500,000 or S$1 million
    Number of directorsMinimum 2
    Number of other professionalsMinimum 2Minimum 2Minimum 2
    Professional indemnity insuranceNot required, but recommendedNot required, but recommendedRequired
    RepresentativesMinimum 2 full-time, Singapore residentsMinimum 2 full-time, Singapore residentsMinimum 2 full-time, Singapore residents
    Fund administrationMandatory
    Custody arrangementsMandatory
    ComplianceNo specific requirements to fulfil compliance functionFor AUM of minimum S$1 billion, compliance function to be dedicated and independent from front officeCompliance function to be dedicated and independent from front office
    AuditInternal and external audit mandatoryInternal and external audit mandatoryInternal and external audit mandatory
    AML frameworkMandatory
    Risk frameworkMandatory
    ReportingAnnualQuarterly and annualQuarterly and annual

  • Steps for Singapore CMS licence application

    1. Healy Consultants Group PLC assists our Client to register a Singapore private limited liability company and open a Singapore multicurrency corporate bank account by following these steps;
    2. Healy Consultants Group PLC cannot supply our Client with a nominee qualified Singapore resident director, as MAS prohibits nominee appointments for fund management companies. We will, however, assist our Client to i) source a physical office in the city and ii) draft a lease agreement;
    3. We assist our Client to prepare i) employment contracts of all directors, with a description of their obligations and functions ii) a business model and strategic plan for the business and iii) an organisation chart;
    4. Healy Consultants Group PLC prepares a detailed Anti Money Laundering/Countering the Financing of Terror (AML/CFT) programme for the company, including i) AML/CFT procedure ii) risk framework and iii) privacy policy;
    5. Before we submit the licensing application to the MAS, your firm will be required to inject a paid-up capital of at least S$250,000 to your Singapore corporate bank account;
    6. All going well, Healy Consultants Group PLC prepares and submits the licence application to MAS.
  • Our service packages

    Healy Consultants Group PLC will project manage your fund management business set up from start to finish. Our standard service package includes i) company registration ii) company secretary and registered address services iii) opening Singapore corporate bank account iv) sourcing physical office space v) preparation of AML/CFT programmes and other required documents vi) securing a CMS license from the MAS;

    Additionally, our Firm offers support services including i) accounting and book keeping ii) drafting of prospectus if your firm plans to issue structured products and iii) assistance to recruit employees.

Contact us

For additional information on our SG CMS registration & licensing services in Singapore, please contact our in-house country expert, Ms. Chrissi Zamora, directly:
client relationship officer - Chrissi
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