Rulebooks: Contents

Rulebooks
Mainboard Rules
Catalist Rules
SGX-ST Rules
CDP Clearing Rules
CDP Settlement Rules
DVP Rules [Entire Rulebook has been deleted]
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SGX-ST Rules
Section D — Regulatory Framework
Chapter 11 — Capital and Financial Requirements
Rule Amendments

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  • 11.13 Other Financial Requirements

    • 11.13.1 Reduction in Paid-Up Ordinary Share Capital or Paid-Up Irredeemable and Non-Cumulative Preference Share Capital

      A Trading Member which is incorporated in Singapore shall not reduce its paid-up ordinary share capital or paid-up irredeemable and non-cumulative preference share capital without the prior written approval of SGX-ST.

      Amended on 10 November 2006 and 29 December 2014.

    • 11.13.2 Preference Shares

      (1) A Trading Member which is incorporated in Singapore shall notify SGX-ST prior to the issue of any preference share.
      (2) A Trading Member which is incorporated in Singapore shall not repay the principal of any preference share (other than any paid-up irredeemable and non-cumulative preference share capital) that is computed as part of its financial resources, through repurchase or redemption:—
      (a) unless the Trading Member notifies SGX-ST within such time before the proposed date of repurchase or redemption as prescribed by the SFR (Financial and Margin Requirements);
      (b) if at the date of repurchase or redemption:—
      (i) its financial resources is less than 150% of its total risk requirement; or
      (ii) its aggregate indebtedness exceeds 600% of its aggregate resources;
      (c) if such repurchase or redemption will cause an event in Rule 11.13.2(2)(b) above to occur; or
      (d) if SGX-ST has prohibited in writing such a repurchase or redemption.

      Amended on 29 December 2014.

    • 11.13.3 Qualifying Subordinated Loan

      (1) A Trading Member shall obtain the prior approval of SGX-ST if it enters a subordinated loan agreement in a format other than the format prescribed by SGX-ST from time to time.
      (2) Where a Trading Member draws down a qualifying subordinated loan, the Trading Member shall notify SGX-ST no later than the date of draw down of the qualifying subordinated loan.
      (3) A Trading Member shall not repay, whether in part or in full, any subordinated loan principal before the maturity date without the prior approval of SGX-ST.
      (4) A Trading Member shall not repay, whether in part or in full, any subordinated loan principal that has matured:—
      (a) unless the Trading Member notifies SGX-ST at least 1 Market Day before the date of repayment;
      (b) if its financial resources is less than 150% of its total risk requirement;
      (c) if its aggregate indebtedness exceeds 600% of its aggregate resources;
      (d) if such a repayment will cause an event in Rule 11.13.3(4)(b) or (c) to occur; or
      (e) if SGX-ST has prohibited in writing such a repayment.

      Amended on 29 December 2014.

    • 11.13.4 Making of Unsecured Loan or Advance, Payment of Dividend or Director's Fees or Increase in Director's Remuneration

      A Trading Member shall not, without the prior written approval of SGX-ST, make any unsecured loan or advance, pay any dividend or director's fees or increase any director's remuneration if:—

      (1) in the case where the Trading Member is incorporated in Singapore:—
      (a) its base capital is less than the base capital requirement as prescribed in Rules 11.2 and 11.5;
      (b) its financial resources is less than 150% of its total risk requirement;
      (c) its aggregate indebtedness exceeds 600% of its aggregate resources;
      (d) such a loan, advance, payment or increase will cause an event in Rule 11.13.4(1)(a), (b) or (c) to occur; or
      (2) in the case where the Trading Member is incorporated outside Singapore:—
      (a) its net head office funds is less than the base capital requirement as prescribed in Rules 11.2 and 11.5;
      (b) its adjusted net head office funds is less than 150% of its total risk requirement;
      (c) its aggregate indebtedness exceeds 600% of its aggregate resources;
      (d) such a loan, advance, payment or increase will cause an event in Rule 11.13.4(2)(a), (b) or (c) to occur.

      Amended on 29 December 2014.

    • 11.13.5

      Rules 11.13.1 to 11.13.4 shall not apply to a Trading Member that holds a licence specified in Rule 4.1.1(1)(b). Such a Trading Member shall notify the Exchange immediately of any actions taken relating to:

      (1) any reduction in paid-up ordinary share capital;
      (2) any issue of any preference share;
      (3) the entry into a subordinated loan agreement in a format other than the format prescribed by SGX-ST from time to time, drawing down on a qualifying subordinated loan or repayment whether in part or in full, any subordinated loan principal before or upon maturity;
      (4) [Rule has been deleted.]
      (5) that has or may have a financial or capital impact on the Trading Member and required to be reported to the Relevant Regulatory Authority.

      Added on 19 May 2014 and amended on 22 April 2019.