MAS Consults On Requirements For The Proposed AML/CFT Framework For VCCs

Introduction

The variable capital company ("VCC") is a new corporate structure for all types of collective investment schemes ("CIS") in Singapore. Each VCC may comprise of one or more CIS, which can be open-ended or closed-ended funds. The VCC will be regulated under the Variable Capital Companies Act 2018 ("VCC Act"), which has not come into force as at August 2019, as well as various proposed items of subsidiary legislation that have not been passed. However, it is expected that the VCC framework will be operational in Q4 2019. The VCC will be regulated jointly by the Accounting and Corporate Regulatory Authority ("ACRA") and the Monetary Authority of Singapore ("MAS") – ACRA would administer the VCC Act, while the anti-money laundering and countering the financing of terrorism ("AML/CFT") obligations of VCCs will come under the purview of MAS.