The Monetary Authority of Singapore (MAS) has unveiled the selection of the first asset managers participating in the ambitious S$5 billion Equity Market Development Programme (EQDP). This strategic initiative aims to strengthen Singapore’s equity market and foster its growth. In this initial phase, MAS, in partnership with the Financial Sector Development Fund (FSDF), will allocate S$1.1 billion to these chosen asset managers, providing them with vital resources to enhance their investment strategies.
MAS has allocated an additional S$50 million specifically to advance local equity research. And this funding is intended to support the development of a more vibrant ecosystem of listed products, ultimately benefiting both investors and the broader market. In line with these efforts, the authority also proposed new measures designed to enhance investors’ ability to seek recourse, ensuring a fairer and more transparent investment environment.
This initiative is part of a broader review by MAS and a panel established last August, aimed at enhancing market functions. The selected managers for the EQDP include Avanda Investment Management, JP Morgan Asset Management, and Fullerton Fund Management (owned by Singapore’s sovereign wealth fund Temasek).
The Monetary Authority of Singapore (MAS) highlighted that several key factors will shape the selection of asset managers. These factors include how effectively the proposed strategies resonate with the objectives of the Enhanced Qualified Domestic Product (EQDP) and the managers’ unwavering dedication to fostering growth within Singapore’s asset management industry. In response to this initiative, more than 100 managers from global, regional, and local backgrounds have expressed interest in participating in co-investment funding opportunities. To ensure an efficient process, MAS plans to review these submissions in batches, facilitating a quicker appointment of the selected managers and enabling the timely deployment of capital into promising investment avenues.
Earlier this year, the Monetary Authority of Singapore (MAS) and the Future Singapore Development Fund (FSDF) announced the launch of a substantial S$5 billion fund. This fund was designed to support investment strategies developed by Singapore-based asset managers. And its primary focus is on Singapore-listed equities, with an emphasis on diversifying investment opportunities.
By encouraging participation from a wider range of investors, the fund aims to move beyond the traditional large-cap stocks and tap into the potential of smaller and mid-cap companies, enhancing overall market engagement and fostering economic growth in the region, according to the central bank.
