The Monetary Authority of Singapore (MAS) has appointed the first three asset managers under the Equity Market Development Program (EQDP) – Avanda Investment Management, Fullerton Fund Management and JP Morgan Asset Management.

The regulator said in a statement on Tuesday that it will place a combined initial sum of S$1.1 billion ($860 million) with them, out of the total S$5 billion ($3.9 billion) that has been set aside for EQDP.

MAS is also reviewing the remaining submissions and will appoint additional asset managers to manage the remaining funds under the S$5 billion ($3.9 billion) EQDP.

The next phase of selection is expected to be announced by the fourth quarter of 2025.

To enhance the vibrancy of our markets and broaden investor participation, MAS will also set aside S$50 million ($39 million) from the FSDF to enhance the Grant for Equity Market Singapore (GEMS) Scheme.

According to the statement, this will strengthen the equity research ecosystem, and complement the supply side initiatives to grow the listed product suite in Singapore.

The GEMS Scheme will also be extended till 31 December 2028.

The Research Development Grant under GEMS will be enhanced to provide:
– Additional funding of S$1,000 for each research report, with a further S$1,000 ($780) if the report is an initiation of research coverage or covers pre-initial public offering (IPO) stage and newly-listed companies.
This brings the maximum funding from S$4,000 ($3120) currently to S$6,000 ($4681 enhanced) per research report.
This enhanced funding aims to boost investor awareness and trading interest in under-researched segments, particularly small- and mid-cap enterprises.
– New grant funding for research houses to defray costs of research dissemination via digital media.
The expanded grant support aims to broaden investor outreach and engagement, especially among younger investors who consume information via digital channels.
– New funding to support research on private companies with strong local presence, to foster investor familiarity and build a pipeline of potential listings.

Meanwhile, the Listing Grant under GEMS will also be expanded to enhance product diversity and trading liquidity in Singapore. This will comprise:
– A new funding sleeve to cover Singapore depository receipts (SDRs) and foreign Depository Receipts (DR) with underlying Singapore stocks, providing S$40,000 ($31,204) per DR issuance.
This aims to increase overall trading interest and liquidity in Singapore, while broadening the global investor base for Singapore equities.
Increasing the overall funding per primary listed exchange traded fund (ETF), from S$100,000 ($78,010) to S$250,000 ($195,025).
A new funding sleeve will also support cross-listed and feeder ETFs at S$180,000 ($140,418) per listing.
This will facilitate more ETF listings in Singapore, adding to the range of listed investment products to provide more investor choice.

The enhancements to the GEMS Scheme will complement the other initiatives, including the EQDP, to raise investor interest and trading liquidity, and position Singapore to support more quality listings.

In line with the Review Group’s guidance, MAS has also identified three areas of focus and will consult on proposals later this year:
– Enabling pursuit of legal action – MAS will consult on proposals to enhance existing legal provisions that enable investors to ride on a court action or civil penalty to seek compensation.
This is intended to reduce the burden on investors when pursuing civil recourse action.
– Facilitating self-organization – MAS will consult on proposals to allow for representatives to organize and carry out legal action on behalf of investors.
This is intended to facilitate not-for-profit assistance to investors, including by organizations such as the Securities Investors Association Singapore (SIAS).
MAS will consult on the criteria for such representatives, to reduce the risk of potential profiteering behavior and vexatious litigation.
– Providing access to funding – MAS will consult on setting up a grant scheme to defray the costs of organizing investors and taking legal action for cases involving market misconduct. This aims to reduce cost barriers that deter investors from seeking compensation through civil action.

Meanwhile, more measures and progress to be announced later this year.

The Review Group will continues to review other initiatives to enhance Singapore’s equities market.

These include measures to uplift companies’ shareholder engagement capabilities, strengthen the value proposition and attractiveness of Catalist board, enhance market-making mechanisms to promote deeper liquidity and price discovery, reduce board lot sizes to facilitate wider retail investor access, enhance efficiency of post-trade custody arrangements, and develop cross-border partnerships.

To complement the Review Group’s work, the Corporate Governance Advisory Committee has also begun a review of the Code of Corporate Governance to continue upholding high standards of corporate governance.

Singapore eyes enhancing resilience and security of digital financial services