In an attempt to encourage more asset managers to domicile their funds in the city-state a new regulatory framework could soon be introduced in Singapore.
On the sidelines of the Investment Management Association of Singapore's annual conference, Indranee Rajah, Senior Minister of State, Ministry of Finance, spoke of ongoing work to create a more efficient fund administration structure for asset managers based in Singapore.
The minister, who was the Guest-of-Honour and gave the opening keynote address, noted that the Monetary Authority of Singapore (MAS) and the Accounting and Corporate Regulatory Authority (ACRA) are currently reviewing the introduction of a support structure and framework for investment funds that will facilitate local domicile of funds while continuing to ensure strong protection for investors.
Rival Financial Centres
Such a move would also help in promoting and further developing the growing fund administration business in Singapore. It is hoped that the new industry structure could be introduced by the first half of 2017.
«We welcome the Minister’s announcement that MAS and ACRA are studying an Open-Ended Investment Companies framework for Singapore. OEIC’s are flexible alternatives to the Unit Trust structure already well established in the UK and available in other financial centres such as Luxembourg and Dublin.»
«The introduction of an OEIC framework will enable asset managers to domicile their investment vehicles in Singapore, encourage the development of the asset servicing eco-system here and further cement our position as a globally competitive asset management hub,» said Nicholas Hadow, Chairman of The Investment Management Association of Singapore.
