The Financial Advisory Industry Review (FAIR) panel, comprising of members from the regulators, industry practitioners and financial experts, released their list of recommendations on the 16th January 2013. Note that the report are recommendations to MAS and not finalised regulations.

I’ll just highlight some aspects from the long list of recommendations which I find interesting.

Main point: Commission stays. No banning of commissions.

Point 2.24 a) Acting as introducers or making referrals on non-FA activities to financial institutions licensed by MAS

If being an introducers or making referrals can only be made to finanical institutions licensed by MAS, that would mean the end of arrangements with firms that engage in activities such as landbanking firms.

Point 3.6. FA representatives cannot engage in real estate or marketing financial products that are not regulated by MAS. That would mean bye bye to advisers who engages in unregulated gold backbuy schemes and foreign ...