Monetary Authority of Singapore consults on enhanced Product Highlights Sheets and streamlined complex products framework including removing mandatory advice for most investors

The Monetary Authority of Singapore has issued a consultation seeking feedback on proposals to improve Product Highlights Sheet (PHS) disclosures and to streamline distribution safeguards for complex products. The package aims to make the regime more disclosure-led for investors who can make self-directed choices, while retaining targeted intervention for consumers who need additional protection. Under the proposals, revised PHS templates would present key product features more prominently, use a question and answer format, and apply a red label to clearly flag products that are complex and prompt investors to consider seeking advice. Investment-Linked Policies would also be brought into scope with a requirement to provide a PHS. In parallel, MAS proposes to remove the requirement for mandatory financial advice for complex products even where an investor lacks the relevant qualifications, experience, or knowledge, except for “Selected Clients”. A new Product Knowledge Assessment would be introduced as an additional way to assess an investor’s knowledge, using questions on key features and risks as a self-assessment and awareness-building tool. Selected Clients, defined as customers who meet any two of the criteria of being 62 or older, not proficient in spoken or written English, and having below GCE “O” or “N” level certifications (unless assessed to have adequate investment experience and knowledge), would still be required to undergo a mandatory financial advisory process, alongside existing safeguards such as the presence of a trusted individual and a call-back process. Comments on the consultation can be submitted via FormSG by 1 September 2025.