Reclassification of Overseas-Listed Investment Products (OLIPs) to Excluded Investment Products (EIPs) FAQ

As there are risks associated with trading / transacting in foreign counters that may not exist or are different than if they were instead listed for trading in Singapore, RWS highlights the key risks that customers should be aware of before trading in overseas listed investment products.

Under the MAS’ Notice on the Sale of Investment Products [SFA04-N12], we are required to provide Clients with a prescribed RWS for OLIPs. For avoidance of doubt, nothing in the risk disclosure is intended to imply, and shall not be implied, as giving rise to any duty on our part to provide any advice or advisory service.

A copy of the RWS can be found here.

From 4th January 2013 clients may start to trade the OLIPs now classified as EIPs after the submission of Risk Warning Statement (RWS).

All hard copy RWS acknowledged should reach LTS by 27th February 2013. Online acknowledgement of the RWS must also be completed by the same date.

All clients who have not acknowledged the RWS will not be able to trade these OLIPs reclassified as EIPs from 28th February 2013.

Online acknowledgement via limtan.com.sg
For Clients with an online trading account linked to any foreign market, an RWS pop-up screen will appear:

• when a foreign EIP counter is clicked for trading for the first time from 4th January 2013 onwards; or
• when “Foreign Market” tab is clicked

Please read the contents of the RWS carefully before acknowledging. Once this is done, you will not be required to acknowledge any hard copy RWS.

Do note that only US and HK counters being traded directly via the Online Trading platform will have the pop up RWS screen. These are counters which you can add to your watch lists, together with the SGX counters.

Hardcopy acknowledgement
If you do not have an LTS Trading account, a company letter will be sent to you with the RWS. You would need to sign and return this letter to LTS directly or via your Trading Representatives.

Yes. You will need to complete and submit the LTS’ RWS by 28th February 2013.

Yes. All clients trading OLIPs (reclassified as EIPs or otherwise) are required to sign and return a copy of the RWS to LTS by 28th February 2013.

EIPs and SIPs counters are indicated for 4 foreign markets (HKSE, NYSE, NASDAQ and NYSE American (formerly AMEX)) traded online. In the “Ind” column, an @ sign represents SIP and a blank represents EIP.

Illustration:

No. All counters traded via the “Foreign Market” (Bursa Malaysia and other foreign markets) will continue to be treated as SIPs. Only SIP-qualified clients may transact in markets listed under “Foreign Market” menu.