On 15th February 2017, MAS published a consultation paper proposing a simplified authorisation process and regulatory framework for managers of venture capital funds (VC managers) to further highlight MAS’ broader efforts to promote financing for enterprise development.
In this executive summary of proposed revisions,
1. MAS will focus primarily on fitness and propriety assessment of VC managers and will not require VC managers to have directors and representatives with at least five years of relevant experience in fund management.
2. New and existing VC managers will not be subject to the base capital requirement and risk-based capital requirement
3. New and existing VC managers will not be subject to independent valuation, internal audits and submission of audited financial statement to MAS
With the above revisions, MAS hopes that the number of VC managers will grow and their roles in supporting the entrepreneurship and innovation ecosystem will be more defined. The MAS is holding public consultations that close on 15th March 2017.
SVCA and PwC held a closed door round table discussion on 1st March 2017, as we delve deeper into the impacts of these revisions and hear your valuable opinions to help us to express industry responses to MAS. We will be formulating a response to this proposed change with input from our members.