MAS Seeks Comments on Proposed Revisions to Guidelines on Fair Dealing to Apply to All FIs, and to Ensure Fair Dealing Outcomes to Customers

On 14 December 2022, the Monetary Authority of Singapore issued a Consultation Paper on proposed revisions to “Guidelines on Fair Dealing – Board and Senior Management Responsibilities for Delivering Fair Dealing Outcomes to Customers” (“Guidelines“), primarily to make the Guidelines applicable to all financial institutions (“FIs“) and to strengthen fair dealing practices by FIs. The consultation exercise ended on 8 February 2023.

First issued in 2009 under the Financial Advisers Act 2001, the Guidelines focus on five fair dealing outcomes (“Outcomes”) to promote fair dealing by FIs:

• Outcome 1: Customers have confidence that they deal with FIs where fair dealing is central to the corporate culture.
• Outcome 2: FIs offer products and services that are suitable for their target customer segments.
• Outcome 3: FIs have competent representatives who provide customers with quality advice and appropriate recommendations.
• Outcome 4: Customers receive clear, relevant and timely information to make informed financial decisions.
• Outcome 5: FIs handle customer complaints in an independent, effective and prompt manner.