MAS Wants Clampdown on Mass Defections
Singapore's financial regulator sees large scale movements of financial advisers and wealth managers as detrimental to customers interests and is setting out measures to mitigate the practice.
The Monetary Authority of Singapore (MAS) is proposing measures to tackle the risks associated with large scale movement of financial advisory representatives from one firm to another. The regulator set out its plans in a press release on its website.
Legal Clampdown
The action from the MAS comes in the wake of the mass migration of 300 or so Great Eastern agents to rival AIA's newly set up financial advisory arm, AIA Financial Advisers, as finews.asia reported in August 2017. The move is said to have weakened the Great Eastern agency resources by almost 10 percent.
Large team moves in wealth management were a frequent occurrence in Singapore prior to the global financial crisis. Several high profile moves made the headlines but ground to a halt once Citi took legal action against a team move to rival Swiss bank UBS, as «Reuters» reported at the time.
