12. Licences

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Amended

Last amended by an amending law of 1995.

(1)

Subject to any regulations made under this Act, no person shall act as or hold himself out as —

(a)

a futures broker’s representative;

(b)

a futures trading adviser;

(c)

a futures trading adviser’s representative;

(d)

a futures pool operator; or

(e)

a futures pool operator’s representative,unless he is the holder of a licence issued under this Part that authorises him to act as such.

(2)

A futures broker’s licence, a futures trading adviser’s licence and a futures pool operator’s licence may only be granted to a corporation.

(3)

A futures broker’s representative’s licence, a futures trading adviser’s representative’s licence and a futures pool operator’s representative’s licence may only be granted to an individual.

(4)

Subsection (1)(a) and (c) shall not apply to any employee of a person referred to in subsection (2) of section 11 who has complied with the requirements in that subsection to the extent that he acts or holds himself out as such an employee.

(5)

Subsection (1)(b) shall not apply to a person referred to in subsection (2) of section 11 who has complied with the requirements in that subsection.

(6)

Any person who contravenes subsection (1)(b) or (d) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $30,000 or to imprisonment for a term not exceeding 3 years or to both.

(7)

Any person who contravenes subsection (1)(a), (c) or (e) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $10,000 or to imprisonment for a term not exceeding one year or to both.

Terms defined in s 2

corporation
Defined · s 2
“corporation” has the same meaning as in the Companies Act;
Open s 2
futures broker
Defined · s 2
“futures broker” means any person, whether as principal or agent, who —(a)carries on the business of soliciting or accepting orders, for the purchase or sale of any commodity under a futures contract on any Futures Exchange or futures market whether or not that person accepts any money, securities or property (or extends credit in lieu thereof) to margin, guarantee or secure any contract or transaction that may result therefrom; or(b)carries on the business of leveraged foreign exchange trading,whether the business is part of, or is carried on in conjunction with, any other business;
Open s 2
futures pool operator
Defined · s 2
“futures pool operator” means any person who carries on a business, in the nature of a unit trust or other interest to which Division 6 of Part IV of the Companies Act applies, and who in connection therewith accepts or receives from other persons funds, security or property, either directly or through capital contributions, the sale of shares or other forms of security or otherwise for the purpose of trading in futures contracts, foreign exchange trading or leveraged foreign exchange trading but does not include such persons as the Authority may by regulations prescribe;
Open s 2
futures trading adviser
Defined · s 2
“futures trading adviser” means any person who —(a)carries on the business of advising other persons (directly or indirectly, through any publication or writing, or by whatever means or media) concerning futures contracts, foreign exchange trading or leveraged foreign exchange trading, including advice on whether to engage in trading in futures contracts, foreign exchange trading or leveraged foreign exchange trading;(b)as part of a regular business, issues or promulgates any analysis or report concerning futures markets or foreign exchange markets; or(c)pursuant to a contract or an arrangement with a client, undertakes on behalf of the client (whether on a discretionary authority granted by the client or otherwise) trading in futures contracts, foreign exchange trading or leveraged foreign exchange trading for the purposes of managing the client’s funds,but does not include —(i)a bank that is licensed under the Banking Act or a merchant bank approved under the Monetary Authority of Singapore Act;(ii)an accountant or advocate and solicitor in practice whose carrying on of that business is solely incidental to the practice of his profession;(iii)a futures broker or futures pool operator (referred to in this sub-paragraph as the licensee) so long as any activity referred to in paragraph (a), (b) or (c) carried out by the licensee is wholly incidental to the carrying on of the business for which he is so licensed;(iv)a person who carries on the business of printing or publishing a newspaper and is the holder of a permit therefor issued under the Newspaper and Printing Presses Act (referred to in this definition as the proprietor) and the author of any advice, analysis or report published in that newspaper (referred to in this definition as the author) where —(A)insofar as the newspaper is distributed generally to the public, it is distributed only to subscribers to, and purchasers of, the newspaper for value;(B)the advice is given or the analysis or report is issued or promulgated only through that newspaper;(C)the proprietor receives no commission or other consideration for giving the advice or for issuing or promulgating the analysis or report other than the consideration received from the sale of the newspaper and advertisements placed in the newspaper;(D)the author of the advice, analysis or report receives no commission or other consideration in respect of the advice, analysis or report other than the consideration received from the proprietor of the newspaper; and(E)the proprietor and the author of the advice, analysis or report has no interest, directly or indirectly, in any futures contract referred to in the advice, analysis or report; and(v)such other person carrying on such business as the Authority may by regulations prescribe, so long as any activity referred to in paragraph (a), (b) or (c) carried out by that person is wholly incidental to the carrying on of such prescribed business;
Open s 2

Report

Read on from s 13