Singapore legislation

Regulation 21

of Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) Regulations

Regulation 21

Preference share

Amended byS 677/2006 wef 20/12/2006S 192/2013 wef 03/04/2013S 463/2013 wef 01/08/2013S 677/2006 wef 20/12/2006S 192/2013 wef 03/04/2013S 463/2013 wef 01/08/2013S 192/2013 wef 03/04/2013S 192/2013 wef 03/04/2013S 677/2006 wef 20/12/2006S 192/2013 wef 03/04/2013S 463/2013 wef 01/08/2013

Subregulation 1

Amended byS 677/2006 wef 20/12/2006S 192/2013 wef 03/04/2013S 463/2013 wef 01/08/2013

Where the holder of a licence which is incorporated in Singapore issues any preference share, the holder shall, prior to the date of issue of the preference share, notify the Authority, and the approved exchange or approved clearing house of which the holder is a member (if applicable).

Subregulation 2

Amended byS 677/2006 wef 20/12/2006S 192/2013 wef 03/04/2013S 463/2013 wef 01/08/2013S 192/2013 wef 03/04/2013S 192/2013 wef 03/04/2013S 677/2006 wef 20/12/2006S 192/2013 wef 03/04/2013S 463/2013 wef 01/08/2013

The holder of a licence referred to in regulation 5 which is incorporated in Singapore shall not repay the principal of any preference share (other than any paid-up irredeemable and non-cumulative preference share capital) that is computed as part of the holder’s financial resources, through repurchase or redemption —

(a)

unless the holder notifies the Authority, and the approved exchange or approved clearing house of which the holder is a member (if applicable), at least 3 months before the proposed date of repurchase or redemption;

(b)

if, at the date of repurchase or redemption —

(i)

the sum of financial resources of the holder is less than 120% of the total risk requirement of the holder; or

(ii)

in a case of a holder to which regulation 17 applies, the aggregate indebtedness of the holder exceeds 600% of the aggregate resources of the holder;

(c)

if such a repurchase or redemption will cause an event in paragraph (b) to occur; or

(d)

if the Authority, or the approved exchange or approved clearing house of which the holder is a member (if applicable), has prohibited in writing such a repurchase or redemption.

Read in full context — Securities and Futures (Financial and Margin Requirements for Holders of Capital Markets Services Licences) Regulations →