Financial Advisers (Exemption for Cross-Border Arrangements) (Foreign Offices) (Amendment No. 2) Regulations 2023

On September 7, 2023, the Financial Advisers (Exemption for Cross-Border Arrangements) (Foreign Offices) (Amendment No. 2) Regulations 2023 were published on Singapore Statutes Online, the official journal of Singapore. The regulations modify Regulation 2 and 8 of the Financial Advisers (Exemption for Cross-Border Arrangements) (Foreign Offices) Regulations 2021 as follows:
(1) In regulation 2 pertaining to „definitions“, the definition of Accredited Investor is removed and it is subsequently introduced in regulation 8 containing „circumstances for exemption“.
(2) Regulation 8 is modified to newly define “accredited investor” and various other terms („consent provision”, “counterparty“, „specified exempt financial adviser“, and „qualifying business“). Additionally, in relation to foreign offices (FOs) of (exempt) financial advisers, the regulation addresses the status of a customer who was previously considered an accredited investor with respect to such FOs before October 9, 2023. Specifically, such customer continues to have an Accredited Investor status
– if the FO provided financial advisory services to the customer before October 9, 2023 related to its qualifying business (financial advisory service) and subsequently thereafter; and
– if the agreement for such service was made and corresponding client instructions given prior to October 9, 2023; or
– if the service related to an investment product that the FO had previously advised the customer on before that date; or
– if the research analysis or research report was completed before same date.
Additionally, the FO should not provide any other financial advisory services to the customer in the course of the qualifying business, except as those specified.