Exclusions from definition of “collective investment scheme” in SFA effective from 25 December 2018
30 January 2019
Pursuant to the Securities and Futures (Collective Investment Scheme) (Excluded Arrangements) Notification 2018 (“Notification”), the following arrangements are not collective investment schemes within the definition of “collective investment scheme” in the Securities and Futures Act (“SFA”):
- a securitisation transaction;
- an arrangement that consists only of an issuance of structured notes.
The Notification took effect from 25 December 2018.
Following the Notification, a securitisation transaction and an arrangement that consists only of an issuance of structured notes need not comply with the requirements pertaining to collective investment schemes.
The definition of the term “securitisation transaction” can be found in section 262(3) of the SFA.
The definition of the term “structured notes” can be found in section 240AA(5) of the SFA.
The Notification and the SFA can be accessed from the Singapore Statutes Online website sso.agc.gov.sg.