Singapore to restrict public promotion of financial services to designated areas — Channel NewsAsia
The Monetary Authority of Singapore (MAS) will introduce stricter rules for the public promotion of financial products and services. Financial institutions will be able to hold such events only in specially designated areas at commercial properties, while their representatives will have to inform people of their intention to offer a service and obtain consent to continue the conversation.
Channel NewsAsia reports on the regulator's decision. The new requirements apply, in particular, to promotional events and presentations in public places where representatives of financial institutions promote products and services to the public.
Where events will be permitted
Such events will be permitted in premises that financial institutions can rent or for which they have obtained permission to hold marketing and distribution events. These include exhibition halls, corporate conference rooms, and common areas of commercial buildings.
At the same time, pedestrian areas and residential premises may not be used for this purpose. The regulator will also require institutions to introduce policies and procedures to determine space sufficient for the proper conduct of marketing and distribution events. Representatives' activity will be limited to a radius of five metres from the designated event area.
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Consent and oversight of representatives
MAS said that improperly conducted promotional events may raise concerns because of unwanted or persistent approaches to people. The regulator had received consumer complaints that representatives of financial institutions in public places did not clearly enough identify themselves and the purpose of their approach.
Recording a client's verbal consent in writing will not be required, but financial institutions must establish monitoring mechanisms to verify whether representatives obtain such consent. Prior registration for an event may be considered consent if the participant was informed in advance that financial products or services would be promoted there.
Institutions must also appoint qualified employees to supervise the conduct of representatives during such events. Street solicitation and door-to-door canvassing will remain prohibited, as MAS considers these methods unwanted and unexpected by consumers.
The updated guidelines are planned to be issued in 2027. Financial institutions will be given nine months to implement the new safeguards. At the same time, MAS will not prohibit the offering of gifts at promotional events, but stressed that they must not improperly influence customers' decisions to purchase.
