The Monetary Authority of Singapore (MAS) and the private sector have, on April 27, embarked on a partnership to strengthen Singapore’s value proposition as a leading full-service asset management and fund domiciliation hub.
The Singapore Funds Industry Group (SFIG) will bring together the key players across the entire asset management value chain. These include fund managers as well as service providers, lawyers, tax advisors, fund administrators and directors.
The SFIG will identify emerging industry trends and formulate strategies to develop the asset management ecosystem and will comprise four working groups.
The Infrastructure and Innovation working group will monitor market developments and spur innovation to transform the funds servicing value chain.
The Policy working group will advise and recommend improvements to regulatory, legal and tax frameworks.
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The Capabilities and Training working group will focus on building a deep pool of fund specialists and directors in areas such as product development, administration, distribution as well as fund oversight and governance.
Lastly, the Promotion and Advocacy working group will reach and engage with Singapore-based and global asset managers, asset owners and service providers to raise Singapore’s global profile as a leading asset management and fund domiciliation hub.
The SFIG executive committee is co-chaired by Kai-Niklas Schneider, managing partner, head of funds and investment group, Clifford Chance Singapore and Gillian Tan, assistant managing director (Development & International) at MAS.
The executive committee comprises senior industry leaders and industry associations representing fund managers and fund service providers.
“As the leading onshore asset management hub in Asia with a business-friendly environment, robust regulatory framework, extensive double taxation treaty network and an ecosystem of experienced service providers, Singapore is uniquely positioned to benefit from the current trend for funds to be domiciled alongside their managers in onshore jurisdictions with substance,” says Schneider.
“As Singapore continues to solidify its position as a premier funds centre, SFIG will play a critical role in coordinating efforts of MAS and private sector stakeholders to continue to drive sustainable development and growth of the Singapore funds industry. I look forward to working with the MAS team on this important initiative,” he adds.
Tan says, “Singapore is a leading pan-Asian asset management hub with a diverse base of more than 1,000 fund managers. Assets under management have grown at a compound annual growth rate of 11% over the last five years to $4 trillion at the end of 2019. More than 260 Variable Capital Companies (VCCs) have been set up in Singapore since the launch of the VCC framework in January last year.” “Looking ahead, there is much scope for the funds industry in emerging growth areas such as green finance and sustainability, technology and innovation. The SFIG will maximise synergies across players from various industries to deepen Singapore’s value proposition as a leading international funds hub,” she adds.
