Guidelines on the Specification of Entities under Sub-paragraph (b)(vi) of the Definition of Qualifying Deposit in Paragraph 1(4) of the Second Schedule to the Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) Regulations [FMR N01]

SECURITIES AND FUTURES ACT (CAP. 289) GUIDELINES ON THE SPECIFICATION OF ENTITIES UNDER SUB￾PARAGRAPH (b)(vi) OF THE DEFINITION OF “QUALIFYING DEPOSIT” IN PARAGRAPH 1(4) OF THE SECOND SCHEDULE TO THE SECURITIES AND FUTURES (FINANCIAL AND MARGIN REQUIREMENTS FOR HOLDERS OF CAPITAL MARKETS SERVICES LICENCES) REGULATIONS Monetary Authority of Singapore

GUIDELINES ON THE SPECIFICATION OF ENTITIES UNDER SUB-PARAGRAPH (b)(vi) OF THE DEFINITION OF “QUALIFYING DEPOSIT” IN PARAGRAPH 1(4) OF THE SECOND SCHEDULE TO THE SECURITIES AND FUTURES (FINANCIAL AND MARGIN REQUIREMENTS FOR HOLDERS OF CAPITAL MARKETS SERVICES LICENCES) REGULATIONS Monetary Authority of Singapore 1 Guideline No : FMR N01 Issue Date : 6 November 2007 GUIDELINES ON THE SPECIFICATION OF ENTITIES UNDER SUB-PARAGRAPH (b)(vi) OF THE DEFINITION OF “QUALIFYING DEPOSIT” IN PARAGRAPH 1(4) OF THE SECOND SCHEDULE TO THE SECURITIES AND FUTURES (FINANCIAL AND MARGIN REQUIREMENTS FOR HOLDERS OF CAPITAL MARKETS SERVICES LICENCES) REGULATIONS 1 Purpose of these Guidelines 1.1 These Guidelines on the Specification of Entities Under Sub-Paragraph (b)(vi) of the Definition of “Qualifying Deposit” in Paragraph 1(4) of the Second Schedule to the Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) Regulations (these “Guidelines”) are issued by the Monetary Authority of Singapore (the “Authority”) pursuant to section 321 of the Securities and Futures Act (Cap.289) (the “SFA”) read with paragraph (b)(vi) of the definition of “qualifying deposit” in paragraph 1(4) of the Second Schedule to the Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) Regulations (the “SFR”), and paragraph 3(2) of the Third Schedule to the SFR. 1.2 These Guidelines should be read in conjunction with the provisions of the SFR. 2 Specified Entities 2.1 For the purpose of the definition of “qualifying deposit” under paragraph 1(4) of the Second Schedule to the SFR, the following entities are specified by the Authority under sub-paragraph (b)(iv) of that definition: (i) Korea Securities Finance Corporation. 3 Calculation of Counterparty Risk Requirement for Specified Entities 3.1 For the purposes of sub-paragraphs (49) to (51) of paragraph 3 of the Third Schedule to the SFR, a holder of a capital markets services licence shall treat a deposit with any of the entities set out in paragraph 2.1 of these Guidelines as if such entity was specified in sub-paragraphs (49)(a) to (f) of paragraph 3 of the Third Schedule to the SFR.