Regulatory Alerts2023-10-31
Added
CFD 01/2023 - Modification to the Acceptable Index Requirements and the Benchmark Limits under the Code on Collective Investment Schemes
The Monetary Authority of Singapore modifies the Code on Collective Investment Schemes to address constraints faced by authorized schemes in markets with highly dominant issuers. The regulator raises the maximum weighting threshold for a single exceptional constituent in an acceptable index from 20% to 35% to allow for higher benchmark limits under specific exceptional conditions. This adjustment enables schemes to invest up to two percentage points above the benchmark weight, capped at 35%, while maintaining the 20% limit for all other constituents.
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