As an investor, you have access to a wide range of products with varied features and risk exposures listed on the Singapore Exchange (SGX). Some products may have terms and features that are not as well known and widely understood as others. These products are referred to as “Specified Investment Products”.
Some SIPs are listed on an exchange, and others are not.
| Examples of SIPs listed on an exchange | Examples of SIPs that are not listed on an exchange |
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The current list of Specified Investment Products on SGX securities market includes:-
- Certificates
- Exchange Traded Funds (ETFs)
- Exchange Traded Notes (ETNs)
- Futures (Exended Settlement contracts)
- Structured Warrants
- Callable Bull / Bear Contracts (CBBCs) (CBBC has yet to be launched.)
Specified Investment Products listed on SGX derivatives market include:-
- Futures
- Options
With effect from 1st January 2012, the Monetary Authority of Singapore (MAS) requires all financial institutions to ascertain whether their clients possess the necessary knowledge or experience on the features and risks of the products that they intend to trade through the prescribed Customer Knowledge Assessment (CKA) or Customer Account Review (CAR).
For more information, you can refer to MoneySense website “Investing in Specified Investment Products: A quick guide for retail investors“.