Exemption framework for cross-border business arrangements - Singapore

With effect from 9 October 2021 (the "Effective Date"), new cross-border exemption frameworks (the "Exemption Frameworks") have been put in place for both foreign branches/head office ("FOs") and foreign related companies ("FRCs") of certain Singapore-regulated financial institutions (each a "Specified Regulated Entity") to conduct regulated activities under an arrangement with a Specified Regulated Entity and be exempted from licensing, applicable conduct and/or representative notification requirements under the Securities and Futures Act (Chapter 289) (the "SFA") and the Financial Advisers Act (Chapter 110) (the "FAA"). In the case of FRCs, this replaces the prior exemption frameworks (commonly known as the Para 9 and Para 11 exemptions) from an ex-ante approval approach to an ex-post notification approach, provided certain conditions are satisfied. As for FOs, this introduces a new exemption framework which seeks to achieve a similar outcome for both FOs and FRCs. This follows a series of consultations by the Monetary Authority of Singapore ("MAS").