Specified Investment Products FAQ

Excluded Investment Products (EIPs) are investment products which have terms and features that are simple and commonly understood by retail investors. SIPs are shares that may have features and risks that can be more difficult for retail customers to understand. Please refer to the table for the list of SIPs offered by Lim & Tan Securities.

Listed SIPs	Unlisted SIPs
Structured Warrants	Contract For Difference (CFDs)
Exchange Traded Funds (ETFs)
Exchange Traded Notes (ETNs)
Daily Leverage Certificates (DLCs)

Please refer to list of EIP ETFs on SGX by clicking here.

Daily Leverage Certificates (DLCs) offer investors fixed leverage of up to 7 times of the daily performance of the underlying index, be it a rising or falling market.

DLCs are classified as high risk and high complexity products. Retail investors are required to be Specified Investment Products (SIPs) qualified in order to trade DLCs.

For more information, please click here.

SIP counters will be marked with the "@" symbol at the end of the name of the security.

With effect from 13 Feb 2017, Leveraged & Inverse (L/I) counters will be marked with the "Y@" symbol at the end of the name of the security.

Listed SIPs
If you are a Singapore retail investor, to assess your knowledge or experience, we will be required to conduct a Customer Account Review (CAR) if you would like to trade listed SIPs.

Unlisted SIPs
-Contract For Differences (CFDs)
If you are a Singapore retail investor, to assess your knowledge or experience, we will be required to conduct a Customer Knowledge Assessment (CKA) if you would like to trade CFDs.

To be considered as having the relevant knowledge and experience, you will need to fulfill at least one of the following criteria:

a) Investment Experience:

b) Educational Qualifications:

Or

c) Work Experience:

Worked at least 3 consecutive years in the past 10 years in the development of, structuring of, management of, sale of, trading of, research on or analysis of investment products, or the provision of training in investment products. Work experience in accountancy, actuarial science, treasury or financial risk management activities will also be considered as relevant experience.

d) SGX Online Education on listed SIPs:

If none of the above criteria applies to you, you would need to complete the SGX Online Education on listed SIPs. After completing this, please inform your Trading Representative. There is no cost involved for the SGX Online Education.

Please click here to access the SGX Online Education

You may click here to refer to the user guide.

Please note that prior to this, you will not be allowed to trade in listed SIPs. For existing clients, you will not be allowed to open new positions in any of the listed SIPs.

To be considered as having the relevant knowledge and experience, you will need to fulfill at least one of the following criteria:

a) Investment Experience:

b) Educational Qualifications:

Or

c) Work Experience:

Worked at least 3 consecutive years in the past 10 years in the development of, structuring of, management of, sale of, trading of, research on or analysis of investment products, or the provision of training in investment products. Work experience in accountancy, actuarial science, treasury or financial risk management activities will also be considered as relevant experience.

d) CKA E-Learning Portal

If none of the above criteria applies to you, you would need to take the quiz on the CKA E-Learning Portal available here. You will only need to pass the CFD module in order to be allowed to trade CFD with us. After you have passed the quiz, please inform your Trading Representative.

Please note that prior to this, you will not be allowed to trade in CFDs. For existing clients, you will not be allowed to open new positions.

You can submit your online declaration via our Online Platform under Account Mgmt > CAR.

Alternatively, please click here for the "Declaration Form" which you will need to complete and submit back to us.

You may inform us at any point in time but prior to our receipt of the form, you will not be allowed to trade in listed SIPs, except for closing off your outstanding positions. Please note that your CAR status will not expire if you have traded in listed SIP regularly with a minimum of two trades in 3 years.

Otherwise, your CAR status will expire and you will be required to complete a new CAR. The outcome of your CAR will expire after 3 years if you have transacted in a listed SIP only once or not at all during that period. If so, the financial institution will be required to conduct a new CAR before you can transact in any listed SIP.

You can submit your online declaration via our Online Platform under Account Mgmt > CKA.

Alternatively, please click here for the "Declaration Form" which you will need to complete and submit back to us.

Please note that you will be required to complete the CKA every year.

a. Accredited Investors, Expert Investors and Institutional Investors as defined in Securities and Futures Act (Cap.289) section 4A

b. Corporations or trusts

Please complete and submit the form to our office together with your documentary evidence for proof of ownership or income level.

From December 2018, Foreigners are no longer exempted from taking CAR / CKA.

For joint account holders, both account holders have to satisfy the CAR / CKA in order to be qualified to trade SIPs.

Yes, you will need to go through the assessment with Lim & Tan as the outcome of assessments conducted with another intermediary cannot be transferred.

With effect from 1st July 2013, a Trading Representative must pass the Module 6A of the Capital Markets and Financial Advisory Services (CMFAS) examination in order to deal in any Specified Investment Product ('SIP') for his/her client. Examples of listed SIPs include certain securities, covered warrants, exchange traded funds or extended settlement contracts. An example of unlisted SIP is contract for difference ('CFD').

Where you require assistance from your Trading Representative to deal for you, we are required to notify you that if the representative is only EIP-Qualified, he/she will not be able to assist you in the SIP dealing or dealing related needs pending his/her passing of the CMFAS Module 6A examination.

However, the Trading Representative (who is EIP-Qualified) can continue to deal in Excluded Investment Products ('EIPs') which include corporate shares or stocks and REITs listed on Singapore Exchange (SGX) or approved foreign exchanges such as HKSE, Bursa Malaysia, NYSE or LSE etc.

How does this affect your trading of SIP?

1. If you are placing a SIP order through the electronic platform, you may continue to do so on a self-execution basis.
2. If you require a broker's assistance to place a SIP order, your Trading Representative will provide you the contact particulars of the designated qualified representative for you to contact directly.

This arrangement will remain until the EIP-Qualified representative passes his/her CMFAS Module 6A examination.

For Securities Association of Singapore Press release, please click here.