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Regulations and Requirements for Managing Real Estate Investment Trusts REITs

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About REIT Managers

REIT managers are licensed entities under the Securities and Futures Act 2001 SFA as well as its subsidiary regulations, including notices, guidelines, and circulars that are issued to manage Real Estate Investment Trusts REITs. These trusts primarily invest in real estate assets and other related properties listed on approved exchanges such as the Singapore Exchange.

Licensing Requirements

A company is required to be licensed if it manages a REIT, which is essentially a collective investment scheme CIS structured as a trust that primarily invests in real estate and realty-related assets specified by the MAS Code on Collective Investment Schemes. It needs to be listed on an approved exchange.

Requiring of Representatives

Individuals involved in managing a REIT company need to fulfill responsibilities such as investment management, asset management, financing, marketing activities, and investor relations must be appointed as representatives.

Further Information

Guidelines for corporate licensing application and appointing individuals can be found at the Capital Markets Services CMS License page, along with instructions on how to appoint representatives for CMS licensees or exempt financial institutions.

Conduct Requirements

REIT managers must establish internal policies, procedures, and controls that align with their business's nature, scale, and complexity. They are also expected to adhere to corporate governance principles outlined in the Code of Corporate Governance as well as disclosure requirements on director remuneration and executive officers' compensation. Anti-money laundering and countering terrorism financing measures should be implemented accordingly.

Detled Information

For more information about applicable rules and regulations, refer to:

  1. Notice SFA 04-N14 for all holders of Capital Markets Services License for Real Estate Investment Trust Management;

  2. Guidelines specific for all REIT managers holding a Capital Markets Services License;

  3. A Compliance Toolkit dedicated to approvals, notifications, and other regulatory submissions required by MAS for REIT managers.

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Copyright ? 2024 Government of Singapore. Last updated: September 29th, 2023
This article is reproduced from: https://www.mas.gov.sg/regulation/capital-markets/understand-the-types-of-capital-market-entities/reit-managers

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REIT Managers Licensing Requirements Real Estate Investment Trusts Management Singapore Exchange Listed REITs Capital Markets Services License Application REIT Asset Management Responsibilities Compliance Guidelines for REIT Managers