In July 2013, the Monetary Authority of Singapore introduced a new regime regarding capital requirements for Capital Markets Services licence holders.
Independent Asset Managers (‘IAM’) that are Licensed Fund Management Companies (‘LFMC’) must in general maintain:
- A Base Capital of SGD 250,000; and
- Financial Resources exceeding 120% of their Total Risk Requirement.
- SGD 100,000 for IAMs with an Annual Gross Income of SGD 2 million or below; or
- 5% of the IAM’s Annual Gross Income up to SGD 10 million plus 2% of its Annual Gross Income above SGD 10 million.