In a speech on Singapore’s financial centre, the Monetary Authority of Singapore announced a new circular guiding financial institutions on how to establish a client’s source of wealth in a risk proportionate way. The move is part of a joint MAS and industry effort to make private banking onboarding more efficient while maintaining sound regulatory standards, after an industry workgroup found that some account opening practices had gone beyond MAS and international requirements. The circular supplements earlier MAS guidance, including a 2024 circular and an information paper on supervisory expectations for the application of anti money laundering controls. It gives further direction on applying the principles of materiality and relevance so firms can avoid unnecessary and excessive steps and focus on information that matters. The Private Banking Industry Group is also issuing Process Enhancement Tips, with case studies and training for relationship managers and compliance professionals to follow in the coming months. MAS expects these measures to reduce the median time needed to open a private banking account to within a month, from about six weeks at present and longer for more complex cases.
Monetary Authority of Singapore2026-05-25
Monetary Authority of Singapore issues source of wealth guidance aimed at bringing private banking account opening within one month
The Monetary Authority of Singapore has issued a circular guiding financial institutions on establishing clients’ source of wealth in a risk-proportionate way, to streamline private banking onboarding while maintaining anti-money laundering standards. It supplements earlier guidance by clarifying how to apply materiality and relevance so firms can avoid unnecessary steps, and is accompanied by industry Process Enhancement Tips with case studies and training. MAS expects these measures to cut the median time to open a private banking account to within a month.