MAS to warn five influencers over possible unlicensed financial advice

The Monetary Authority of Singapore will issue advisory letters to five content creators who may have provided financial advice without a licence.

- Timothy Goh

They have been told to adjust their content and practices to meet regulatory requirements, with MAS warning that those who persist in offering unlicensed advice will face enforcement action.

The Straits Times understands that this is the first time MAS is issuing advisory letters to content creators.

The central bank did not identify the five content creators or specify how their content should be adjusted.

ST understands that future enforcement measures may be taken under Section 6 of the Financial Advisers Act, which provides that a person who acts as a financial adviser without a licence is liable to a fine of up to $75,000, imprisonment of up to three years, or both.

The move comes after MAS released a set of guidelines on Sept 25 to promote responsible sharing of financial content online.

It sets out the central bank’s expectations for financial institutions and their digital marketers to conduct digital advertising activities in a responsible and professional manner.

In separate guidelines, developed in collaboration with the Advertising Standards Authority of Singapore, for content creators sharing financial information online, MAS said content creators should encourage informed decision-making by emphasising fundamentals such as understanding personal risk tolerance, conducting independent research and seeking professional advice when needed.

They should also promote budgeting, caution against overspending, and remind their followers to read the fine print and terms and conditions.

The regulator also urged content creators to build trust with their followers by presenting accurate information and explaining both risks and rewards clearly. They should be mindful of their impact, avoid exploiting fear of missing out or inducing panic, and always consider their followers’ financial interests and well-being.