Trading Forex Singapore
Singapore has acquired a reputation as the largest financial market and has taken 3rd place in the world. No wonder that so many entrepreneurs consider Forex trading as a form of investment and want to register a brokerage company in Singapore. The advantages of establishing a Forex business in Singapore consist of a rapidly growing economy and an excellent business climate, which are additional reasons to invest in such a famous market.
Broker Forex Singapore: regulation
MAS (The Monetary Authority of Singapore) is the agency responsible for regulating markets related to finance in Singapore, which includes brokers regulated by the MAS. A broker wishing to establish an operating base in Singapore must obtain the relevant license issued by the MAS. However, the MAS also performs several other functions, including acting as the central bank of the country. This regulator also performs the tasks of harmonizing legislation on insurance, banking, securities, money and currency issue. The MAS is also responsible for developing an online financial network known as MASNET, which has evolved into a communication centre that can be used to send reports to the MAS as well as to exchange data between banking institutions. To ensure maximum security, it is recommended that MASNET regulated brokers are selected. Trading at Forex market is already a somewhat risky form of investment, do not add problems by choosing an unregulated broker. Forex broker MAS will be guided by your best interests and have established rules to protect your interests in the best way possible. One way is to apply the requirement for separate accounts - segregated accounts where client funds must be kept separate from business funds. For you, this will mean that if a broker recognizes bankruptcy, you can still withdraw your money. Financial service providers need to obtain a brokerage license in Singapore.
Forex Singapore: basic requirements for obtaining a License
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The applicant must have an appropriate reputation and at least five years of experience in a similar or similar field.
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The business must be conducted from a physical office in Singapore.
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The applicant, the founders, management and employees must meet the security criteria set by the MAS.
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The board of directors must consist of a minimum of two persons, one of whom must be a resident of Singapore.
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The Chief Executive Officer (CEO) must be a resident of Singapore.
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Prior approval by MAS is required for the appointment of the CEO and directors.
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The applicant must hire a minimum of 2 employees on a full-time basis.
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It is mandatory to submit a business plan and project.
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Internal compliance policy developed (compliance).
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The minimum initial capital, depending on the activity, is S$1 million to S$5 million.
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MAS has developed a financial education programme called MoneySENSE. MoneySENSE was launched in 2003 to help consumers become more financially self-sufficient.
MAS Forex brokers are required to address customer complaints
If you want to obtain a forex broker license in Singapore, you will need to deal with clients' claims quickly. Claims against the provider must first be sent to the provider's address as a first instance, preferably in writing, so that there are records of any communication. If a satisfactory resolution cannot be reached, it is possible to contact the Financial Industry Dispute Resolution Centre (FIDReC), provided that this is done within six months of the last contact with the service provider. MAS is the competent regulatory body for brokers and is undoubtedly based on consumer interest.