MAS consults on proposed revisions to financial advertisement regulations to remove existing exclusions
28 May 2025
On 6 May 2025, the Monetary Authority of Singapore (“MAS”) published the Consultation Paper on Proposed Revisions to Financial Advertisement Regulations: Removal of Existing Exclusions (“Consultation Paper”).
In the Consultation Paper, MAS proposes changes to the current regulations on advertisements of financial products and services. It outlines the rationale behind the proposed changes and seeks feedback from financial institutions, consumers, and other interested parties. The consultation closes on 5 June 2025.
Existing exclusions
Current advertisement regulations are designed to protect consumers by ensuring that financial advertisements convey accurate information in a clear, fair, and balanced manner. These measures enhance readability and understanding by the consumer, and facilitate more transparent and ethical advertising.
Notwithstanding this, there are exclusions from advertising requirements, as set out in regulation 22(7)(a) and 22(7)(c) of the Financial Advisers Regulations (“FAR”), and regulation 46(7)(b) and 46(7)(d) of the Securities and Futures (Licensing and Conduct of Business) Regulations (“SF(LCB)R”), given to certain persons (e.g. accredited investors and institutional investors) and/or in relation to certain activities (e.g. advising on spot foreign exchange contracts other than for the purposes of leveraged foreign exchange trading).
Proposed removal of exclusions
MAS states that the principles of fair dealing and transparency should apply to all forms of solicitation for investment products and services, regardless of the target audience. All investors, regardless of their level of sophistication, should be given reliable and accessible information to make informed decisions. Ultimately, trust should underpin all customer communications, beginning with advertisements that convey information accurately and fairly, in a clear and legible manner.
MAS therefore seeks feedback on its proposal to remove:
- Regulation 22(7)(a) and 22(7)(c) of the FAR, and how they are used in relation to product advertising today; and
- Regulation 46(7)(b) and 46(7)(d) of the SF(LCB)R, and how they are used in relation to product advertising today.
This change would mean that advertisements on any investment product would be subject to these advertisement regulations, regardless of their target audience.
In line with these proposed changes, there will be no exclusions for non-product advertisement requirements. This ensures a consistent approach across product and non-product advertisements, as removing the risks of misinformation and information asymmetry remains an important policy objective.
Implementation timeframe
It is intended that these amendments will come into force at the same time as the legislative amendments outlined in the Consultation Paper on Enhancing Safeguards for Proper Conduct of Digital Prospecting and Marketing Activities (April 2023), which MAS will respond to in due course. The April 2023 consultation paper included proposals to enhance the requirements on non-product advertisements. This would align the requirements for both product and non-product advertisements.
Reference materials
The Consultation Paper is available from the MAS website www.mas.gov.sg.