Regulation 46AA — Securities and Futures (Licensing and Conduct of Business) Regulations

Subregulation 1

For the purposes of regulation 46(2)(g), a product advertisement must be approved by —

(a)

the senior management of a holder of a capital markets services licence —

(i)

which disseminates or publishes, or causes the dissemination or publication, of the product advertisement; or (ii)which appointed representative, provisional representative or temporary representative disseminates or publishes, or causes the dissemination or publication, of the product advertisement; (b)an agent of the holder of the capital markets services licence mentioned in sub-paragraph (a); or

(c)

a committee of the holder of the capital markets services licence mentioned in sub-paragraph (a).

Subregulation 2

For the purposes of paragraph (1)(a), a product advertisement is approved by the senior management of the holder of the capital markets services licence only if every member of the senior management —

(a)

is satisfied that the product advertisement complies with the requirements mentioned in regulation 46(2)(a) to (f); (b)records the member’s reasons for being so satisfied in writing; and

(c)

gives written approval to the holder of the capital markets services licence for the dissemination or publication of the product advertisement, together with that member’s reasons mentioned in sub-paragraph (b).

Subregulation 3

For the purposes of paragraph (1)(b), a product advertisement is approved by an agent of the holder of the capital markets services licence only if the agent —

(a)

is satisfied that the product advertisement complies with the requirements mentioned in regulation 46(2)(a) to (f);

(b)

records the agent’s reasons for being so satisfied in writing; and

(c)

gives written approval to the holder of the capital markets services licence for the dissemination or publication of the product advertisement, together with the agent’s reasons mentioned in sub-paragraph (b).

Subregulation 4

For the purposes of paragraph (1)(c), a product advertisement is approved by a committee of the holder of the capital markets services licence only if every member of the committee —

(a)

is satisfied that the product advertisement complies with the requirements mentioned in regulation 46(2)(a) to (f);

(b)

records the member’s reasons for being so satisfied in writing; and

(c)

gives written approval to the holder of the capital markets services licence for the dissemination or publication of the product advertisement, together with that member’s reasons mentioned in sub-paragraph (b).

Subregulation 5

For the purposes of section 97(2) of the Act, the Authority must, when determining whether a chief executive officer or an executive director of a holder of a capital markets licence has failed to discharge the duties of his office, have regard to whether the chief executive officer or executive director (as the case may be) has caused the holder to disseminate or publish any product advertisement that has not been approved by the holder in accordance with regulation 46(2)(g).

Subregulation 6

Amended byS 381/2018 wef 09/07/2018

In this regulation —

Definition

“agent”, in relation to a holder of a capital markets services licence, means a person who —

(a)

may or may not be a member of the senior management of the holder of the capital markets services licence; and

(b)

is unanimously appointed by all the members of the senior management of the holder of the capital markets services licence to —

(i)

determine whether a product advertisement complies with the requirements mentioned in regulation 46(2)(a) to (f); and

(ii)

approve the dissemination or publication of the product advertisement by the holder of the capital markets services licence, or an appointed representative, a provisional representative or a temporary representative of the holder of the capital markets services licence, as the case may be;

Definition

“committee”, in relation to a holder of a capital markets services licence, means a group of persons that —

(a)

comprises at least 2 persons, each of whom may or may not be a member of the senior management of the holder of the capital markets services licence; and

(b)

is unanimously appointed by all the members of the senior management of the holder of the capital markets services licence to —

(i)

determine whether a product advertisement complies with the requirements mentioned in regulation 46(2)(a) to (f); and

(ii)

approve the dissemination or publication of the product advertisement by the holder of the capital markets services licence, or an appointed representative, a provisional representative or a temporary representative of the holder of the capital markets services licence, as the case may be;

Definition

“member of the senior management”, in relation to a holder of a capital markets services licence which is an entity, means a person for the time being holding the office of —

(a)

chief executive officer or an equivalent person of the entity; or

(b)

executive director or an equivalent person of the entity,and includes a person carrying out the duties of any such office if the office is vacant.

Amended byS 381/2018 wef 09/07/2018