Glossary · regulatory
Financial Advisers Act
Also known as: FAA
- Definition
- The Financial Advisers Act (FAA) is the Singapore statute governing financial advisory activity. It defines what counts as advisory, who must be licensed, and key conduct rules including section 23B on remuneration arrangements.
The FAA frames the regulatory perimeter for advice given to retail clients on investment products. FAA section 23B is the rule most often cited in private-banking practice: a financial adviser may not solicit, accept, or seek to obtain remuneration for arranging the sale of a financial product otherwise than in accordance with the published fee schedule. Lead-capture business models that pay commission on AUM to a directory or comparison site risk crossing this line — which is why WealthManagement.sg models its monetisation as advertising / featured-placement, never commission.
Source: MAS — Financial Advisers Act
Related
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