For access to this stash, fund managers must either commit to deepening their presence or to setting up a major one in Singapore.
Published: 12 Nov 2018
This announcement details the manner in which the Resident Fund Scheme of s13R and the Enhanced-Tier Fund Scheme of s13X of the Income Tax Act are to be extended to VCCs.
The VIMA comprises a pragmatic set of standard-form model documents that have been calibrated to balance the interests of both the investor and the company.
The set of contracts, called the Venture Capital Investment Model Agreements (VIMA), hews closely to the essential requirements of startups, investors and the legal industry, and balances the interests of both investor and startup: SAL and SVCA
This Note by the Second Minister for Finance, Indranee Rajah S.C., summarises how the VCC framework will benefit the Singapore asset management industry, as well as local service providers.
FMCs may now carry on business in fund management with its employees who are not accredited investors subject to safeguards.
The VCC is an entirely new legal structure that provides an attractive alternative to existing fund or collective investment scheme structures.
FMCs have a transition period of six months to enhance their systems and set up processes for ongoing LRM and stress testing.
Introduced: 10 Sep 2018