Finfluencers Offering Financial Advice Must be Regulated by MAS

Over the past five years, the Monetary Authority of Singapore (MAS) has received less than five complaints about finfluencers per year.

The regulator said that most of these complaints were about statements made by finfluencers. Still, since they were not providing any financial advice, these statements and behaviors are not regulated by MAS.

MAS said that a person will be deemed to have given financial advice if he or she has been paid for providing advice on the buying, selling, or holding of an investment product. If such advice and opinions are given regularly, even if they are not remunerated, they are considered to be giving financial advice. The publication of general financial transactions is excluded.

Under Singapore's Financial Advisers Act, individuals providing financial advice, including finfluencers, must be licensed and regulated.

Many financial companies often employ finfluencers to promote their products and services. In this regard, MAS expects them to provide information in a clear and balanced manner and highlight the features and risks.

MAS will take enforcement action against finfluencers who violate relevant financial regulations.

According to statistics, MAS has taken enforcement action against six individuals for providing financial advice without a license in the past three years, and no finfluencers were included.