Statute Details
- Title: Financial Services and Markets (Information Sharing Scheme for Prescribed Financial Institutions) Regulations 2024
- Act Code: FSMA2022-S238-2024
- Type: Subsidiary legislation (SL)
- Authorising Act: Financial Services and Markets Act 2022 (FSMA 2022)
- Enacting authority: Monetary Authority of Singapore (MAS)
- Commencement: 1 April 2024
- Legislation number: S 238/2024
- Status: Current version as at 27 March 2026
- Key provisions (as extracted):
- Regulation 1: Citation and commencement
- Regulation 2: Definition of “prescribed financial institution” (banks in Singapore to which Part 4A applies)
- Regulation 3: Definition of “relevant party” (persons connected to a “relevant account” or to specified services/transactions)
- Related legislation (listed): Financial Advisers Act 2001; Futures Act 2001; Markets Act 2022
What Is This Legislation About?
The Financial Services and Markets (Information Sharing Scheme for Prescribed Financial Institutions) Regulations 2024 (“Information Sharing Scheme Regulations”) are subsidiary rules made under the Financial Services and Markets Act 2022 (“FSMA”). In plain terms, they identify (i) which banks are “prescribed financial institutions” for the purposes of the information sharing scheme in the FSMA, and (ii) which categories of persons are treated as “relevant parties” in relation to those banks.
The practical effect is to operationalise a statutory information-sharing framework. Such frameworks are typically designed to support regulatory and supervisory objectives—most notably, enabling the sharing of certain information among relevant stakeholders to detect, investigate, or manage financial crime and compliance risks. While the Regulations themselves are short, they are critical because they define the perimeter: who is covered (the prescribed banks) and whose information is within the scheme’s scope (the relevant parties).
For practitioners, the Regulations are best read as a “mapping instrument.” They translate the broader FSMA provisions (including references to sections 28B and 28C, and to Part 4A of the Act) into concrete lists and definitions. This matters in compliance, contractual arrangements, and advice on whether a particular person’s account or relationship with a bank falls within the scheme.
What Are the Key Provisions?
Regulation 1 (Citation and commencement) is straightforward. It provides the short title and confirms that the Regulations come into operation on 1 April 2024. For legal work, commencement is important when assessing whether information sharing obligations or permissions apply to events occurring before or after that date.
Regulation 2 (Definition of “prescribed financial institution”) is the core “coverage” provision. It states that, for the purposes of section 28C of the FSMA, MAS prescribes each of the following as a bank in Singapore to which Part 4A of the Act applies:
- the branches and offices of Citibank N.A. located within Singapore;
- Citibank Singapore Limited;
- DBS Bank Ltd.;
- the branches and offices of the Hongkong and Shanghai Banking Corporation Limited located within Singapore;
- HSBC Bank (Singapore) Limited;
- Oversea-Chinese Banking Corporation Limited;
- Standard Chartered Bank (Singapore) Limited;
- United Overseas Bank Limited.
Two points are worth emphasising for practitioners. First, the Regulations distinguish between a bank entity and its Singapore branches/offices (e.g., Citibank N.A. and HSBC/HK branches). This can affect which legal entity holds the relevant accounts and which entity is responsible for compliance processes. Second, the phrase “to which Part 4A applies” indicates that the information sharing scheme is not merely about being a “prescribed financial institution” in name; it is tied to the operation of Part 4A of the FSMA. Accordingly, counsel should ensure that internal compliance mapping aligns with the FSMA’s Part 4A mechanics.
Regulation 3 (Definition of “relevant party”) defines the persons whose connections to a prescribed bank bring them within the scheme’s scope. Regulation 3(1) provides that, for the purposes of the definition of “relevant party” in section 28B of the FSMA, each of the listed persons is prescribed as a relevant party in relation to a prescribed financial institution that is a bank in Singapore.
The categories are broad and relationship-based. They include:
- Account holders and account requesters: any person for whom the bank in Singapore opens (or previously opened) a “relevant account,” or any person who requests the bank to open such an account—whether or not the account is actually opened.
- Existing or former account maintainers: any person for whom the bank maintains (or previously maintained) a “relevant account.
- Recipients or requesters of financial advisory services: any person to whom the bank provides (or previously provided) any financial advisory service as defined in section 2(1) of the Financial Advisers Act 2001, or any person who requests such a service—again, whether or not the service is actually provided.
- Corporate finance advice recipients or requesters: any person to whom the bank advises (or previously advised) on corporate finance as defined in section 2(1) of the Securities and Futures Act 2001, or any person who requests such advice—whether or not advice is actually provided.
- Transaction principals where no relevant account is opened: any person on whose behalf the bank carries out a transaction, for whom the bank has not opened a relevant account.
- Transaction requesters where no relevant account is opened: any person who requests the bank to carry out a transaction for whom the bank does not open a relevant account, whether or not the bank actually carries out the transaction.
- Former transaction principals where no relevant account was opened: any person on whose behalf the bank previously carried out a transaction, for whom the bank did not open a relevant account.
Regulation 3(2) then supplies definitions that are essential to interpret the scope precisely:
- “relevant account” means an account held in the name of the person, whether or not held jointly with another person.
- “transaction” means a wire transfer or value transfer.
- “value transfer” and “wire transfer” have the meanings given by section 28B of the FSMA.
From a compliance and litigation-risk perspective, the “whether or not” language is significant. It means that the relevant party status can attach even where the bank does not ultimately open an account or does not ultimately provide the service/advice, provided the person requested it. This can widen the population of persons whose information may be relevant to the scheme and therefore increases the importance of robust record-keeping around requests, instructions, and communications.
How Is This Legislation Structured?
The Regulations are structured as a short instrument with a conventional layout:
- Regulation 1 sets out the citation and commencement date.
- Regulation 2 defines “prescribed financial institution” by prescribing specific banks (including their Singapore branches/offices where applicable) as banks to which Part 4A of the FSMA applies.
- Regulation 3 defines “relevant party” by prescribing categories of persons connected to a prescribed bank through accounts, advisory services, corporate finance advice, and specified types of transactions.
Notably, the extracted text does not show additional Parts or detailed procedural provisions. Instead, the Regulations operate as a definitional and prescribing instrument that “fills in” the FSMA’s scheme framework.
Who Does This Legislation Apply To?
Prescribed financial institutions: The Regulations apply to the banks in Singapore that MAS has prescribed as “prescribed financial institutions” for the purposes of section 28C of the FSMA. Based on Regulation 2, this includes the listed major banks and, where relevant, their Singapore branches/offices (e.g., Citibank N.A. branches/offices in Singapore).
Relevant parties: The Regulations also effectively apply to persons who fall into the “relevant party” categories in relation to those banks. This includes account holders (and account requesters), persons requesting or receiving specified advisory services, corporate finance advice recipients/requesters, and transaction principals/requesters—particularly where wire/value transfers occur without a relevant account being opened.
In practice, this means that a bank’s customer base and counterparties may be within scope depending on the nature of the relationship and the type of interaction (account opening/maintenance, advisory services, or wire/value transfers). Legal advice should therefore be fact-specific: the same person may or may not be a “relevant party” depending on whether they are connected to the bank through one of the prescribed relationship types.
Why Is This Legislation Important?
Although the Regulations are brief, they are legally important because they determine the boundary of an information sharing scheme under the FSMA. For regulated entities, the key compliance question is not merely “does the bank participate in information sharing?” but “does this particular person and this particular account/transaction fall within the defined scope?” The Regulations answer those boundary questions by prescribing banks and defining relevant parties.
For practitioners advising banks, the “whether or not” language in Regulation 3(1) is a practical compliance driver. Banks must consider whether information relating to requests that do not culminate in account opening or service provision still needs to be captured, retained, and handled in a manner consistent with the scheme. This can affect onboarding workflows, customer due diligence records, transaction monitoring documentation, and internal escalation processes.
For practitioners advising affected persons (e.g., customers or counterparties), the Regulations highlight that information sharing may extend beyond completed account relationships to include requests and transaction instructions. This can be relevant in disputes about confidentiality, data handling, and the extent of permissible disclosures under the FSMA framework. While the Regulations do not themselves set out disclosure mechanics, they are the definitional gateway that determines whether a person’s information is within the scheme’s perimeter.
Finally, because the Regulations are tied to Part 4A and to FSMA sections 28B and 28C, they should be read alongside the FSMA provisions governing the information sharing scheme. Counsel should treat this instrument as part of a larger statutory system rather than as a standalone document.
Related Legislation
- Financial Services and Markets Act 2022 (FSMA 2022), including sections 28B and 28C and Part 4A
- Financial Advisers Act 2001 (definition of “financial advisory service” in section 2(1))
- Financial Advisers Act 2001 (as referenced for advisory service definitions)
- Securities and Futures Act 2001 (definition of “corporate finance” in section 2(1), as referenced)
- Futures Act 2001
- Markets Act 2022
Source Documents
This article provides an overview of the Financial Services and Markets (Information Sharing Scheme for Prescribed Financial Institutions) Regulations 2024 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.