The Monetary Authority of Singapore (MAS) has appointed Avanda Investment Management, Fullerton Fund Management, and JP Morgan Asset Management as the first fund managers under its S$5 billion Equity Market Development Programme (EQDP).
A total of S$1.1 billion will be placed with the three firms.
MAS said the selection was based on the strength of their proposed strategies, alignment with EQDP goals, ability to attract third-party capital, and commitment to expanding asset management and research capabilities in Singapore.
The selected strategies include significant allocations to small- and mid-cap equities to improve market liquidity.
More managers will be appointed later this year, with the next round expected by the fourth quarter.
MAS noted that while it provides capital, investment performance will depend on market conditions.
Separately, MAS has committed S$50 million through the Financial Sector Development Fund to enhance the Grant for Equity Market Singapore (GEMS) scheme.
The enhancements include higher subsidies for research reports, especially those covering pre-IPO and newly listed companies, support for digital outreach, and funding for research on private firms with a strong local presence.
Listing support will also expand to include Singapore Depository Receipts (SDRs) and foreign depository receipts linked to Singapore stocks, with each issuance eligible for S$40,000.
Grants for exchange-traded funds will increase to S$250,000 for primary listings and S$180,000 for feeder or cross-listed ETFs.
MAS also outlined plans to improve investor recourse. It will consult on proposals to ease access to legal action for retail investors affected by market misconduct.
This includes funding support, allowing investor representation, and reducing procedural hurdles, with safeguards to prevent misuse.
These initiatives follow recommendations by the Equities Market Review Group in February 2025.
MAS said the final proposals will be released by year-end, alongside ongoing reviews of the Catalist board, shareholder engagement, trading liquidity, and governance standards.
A separate review of Singapore’s Code of Corporate Governance is also underway.
Featured image: Edited by Fintech News Singapore, based on image by MAS
