External asset managers (“EAMs”), also referred to as independent asset managers are private wealth managers that provide bespoke solutions to high net worth and ultra-high net worth clients in managing their assets.
The provision of such solutions by the EAMs is considered a fund management activity and will be under the purview of the Monetary Authority of Singapore (“MAS”). The two main types of fund management companies regulated in Singapore are as follows:
Registered fund management company (“RFMC”)
Licensed fund management company (“LFMC”)
The category of licence to obtain will be dependent on the business model and projections of the EAMs. EAMs will typically be only carrying on business with Accredited or Institutional investors, as defined under the Securities and Futures Act (“SFA”), regardless of whether it is a RFMC or LFMC. Aspiring EAMs need to ensure that its business operations are conducted in line with the regulatory requirements of MAS.
Key areas of focus include but not limited to:
Anti-money laundering/Combating the financing of terrorism
Outsourcing
Regulatory reporting and notifications
Technology risk management
Business continuity management
Lymon is one of the leading regulatory compliance and risk management service providers based in Singapore. Established since 2013, our dedicated team is equipped with extensive experience to assist fund managers with their compliance and business needs.
To find out more about how we can support your compliance, business, and operational needs, please reach out to your usual contact at Lymon or our specialist below:
Jovi Gan, Director
+65 6709 4110