Regulatory Alerts2021-06-29
Added
MAS Notice 630 on Private Equity and Venture Capital Investments
The Monetary Authority of Singapore issued Notice 630 to establish regulatory requirements for all banks holding private equity and venture capital investments. The notice mandates compliance with specific standards regarding investment duration, valuation, management involvement, and risk management policies. It further requires banks to ensure employee qualifications, implement internal approval processes, and report PE/VC activities to the regulator.
Notices
Last Revised Date: 29 June 2021
Notice 630 Private Equity and Venture Capital Investments
Requirements for banks holding private equity and venture capital investments.
Anti-Commingling
Issued pursuant to:
Banking Act (Cap. 19) section 55
Applies to:
Full Bank (Locally Incorporated)
,
Full Bank (Branch)
,
Wholesale Bank (Branch)
,
Wholesale Bank (Locally Incorporated)
View Notice
Notice 630 Private Equity and Venture Capital Investments
(657.2 KB)
This notice applies to all banks in Singapore that hold private equity and venture capital (PE/VC) investments. It sets out the requirements on PE/VC investments which banks must comply with, including:
Duration and valuation of PE/VC investments.
Involvement in management of investees.
Risk management policy for PE/VC investments.
Qualifications for bank employees handling PE/VC investment activities.
Internal approval and monitoring process for each PE/VC investment.
Reporting PE/VC policies and activities to MAS.
01 July 2021 MAS Notice 630 (Amendment 2021) (807.6 KB) dated 29 June 2021 takes effect.
05 July 2010 MAS Notice 630 dated 05 July 2010 takes effect.
Risk-based capital adequacy requirements for reporting banks incorporated in Singapore.
Risk based capital adequacy requirements for financial holding companies that have a subsidiary that is a bank incorporated in Singapore and are predominantly banking designated financial holding companies (predominantly banking DFHCs).