Capital Market Service License (CMS) 

What is CMS (Capital Market Service License)?

A type of financial services license granted by the Monetary Authority of Singapore (MAS) for business that conduct certain activities regulated under the Securities and Futures Act (SFA) 

Regulated Activities

• Fund management 
• Real estate 
• Investment trust management 
• Advising on corporate finance
• Dealing in capital markets products 
• Securities financing 
• Providing credit rating services
• Providing custodial services for securities 

Penalty occur without CMS license:

• Fined up to $150,000 and/or imprisoned for up to 3 years on conviction. For continuing offences, a further fine of up to $15,000 for everyday or part thereof would also apply. 

Capital Market Product: (including securities, units in a collective investment scheme (CIS), over-the-counter (OTC) derivatives, exchange-traded derivatives and spot foreign exchange)

Eligibility Requirements to Obtain a CMS License

Directors: At least 2 directors, with one director resident in Singapore

Chief Executive Officer: A Chief Executive Officer with at least 10 years of relevant experience, and who is resident in Singapore

Must be at least 21 years old

Representatives: At least 2 full-time Singapore-based individuals for each regulated activity should be appointed as representatives of the business. They will be the ones who carry out the regulated activities on behalf of your business

Ability to meet the minimum financial requirements prescribed under the SFA. For example, there is a financial requirement of $250,000 base capital for a credit rating agency and a base capital requirement of S$1 million for a REIT manager.