MAS — Monetary Authority of Singapore
Singapore central bank and integrated regulator since 1971; 1:20 retail FX cap
- Max retail leverage
- 1:20
- Compensation limit
- Not applicable
- Negative balance protection
- Not required
About the MAS
The Monetary Authority of Singapore was established in 1971 and is unusual in combining central banking with integrated regulation of banking, insurance and capital markets. Firms offering leveraged foreign exchange or CFDs to Singapore clients need a capital markets services licence covering dealing in capital markets products, with base capital and risk-based capital requirements, fit and proper standards for key personnel and ongoing reporting. MAS is known for a demanding authorisation process and for supervising conduct and prudential soundness within the same institution, which makes licence grants relatively slow and relatively meaningful.
The retail product regime is one of the tightest in Asia. Minimum margin requirements limit retail leveraged foreign exchange to 1:20, well below the 1:30 permitted in the UK, the EU and Australia. Higher leverage is available only to accredited investors who meet income, net financial asset or total net asset thresholds and who opt in, giving up some retail protections. MAS also applies rules on the advertising of leveraged products and requires risk warnings and customer knowledge assessments before retail clients can be onboarded into complex products.
Customer money for retail clients must be held in trust accounts with approved banks or custodians, kept separate from the firm's own assets and reconciled under the Securities and Futures Act rules. What Singapore does not have is a compensation fund for CFD or leveraged FX customers if a broker fails, so trust account treatment and the licensee's own capital are the practical protections. Disputes go first to the firm and then to the Financial Industry Disputes Resolution Centre, an independent body offering free mediation followed by adjudication that binds the financial institution up to a claim limit.
Why we rate it tier 1
MAS pairs a genuinely strict 1:20 retail leverage cap and trust-account customer money rules with high licensing standards and an independent dispute body in FIDReC. There is no compensation scheme for CFD or leveraged FX trading, which is the notable gap.
High minimum capital, enforced conduct rules, a public register that is genuinely policed, and an independent complaints or compensation route that pays out when a firm fails. These are the licences worth paying a wider spread for.
MAS protections at a glance
| Full name | Monetary Authority of Singapore |
|---|---|
| Jurisdiction | Singapore |
| Region | Asia-Pacific |
| Established | 1971 |
| Maximum retail leverage | 1:20 |
| Leverage regime | Retail leveraged foreign exchange trading is capped at 1:20 through minimum margin requirements set by MAS. Accredited investors who meet wealth or income thresholds may be offered higher leverage. |
| Investor compensation scheme | None |
| Compensation limit | Not applicable |
| Negative balance protection | Not required — Negative balance protection is not mandated by MAS; capital markets services licensees may offer it commercially, so the client agreement must be checked. |
| Client-fund segregation | Capital markets services licensees must hold retail customer money in trust accounts with approved banks or custodians, separate from the firm's own assets, under the Securities and Futures Act customer money and assets rules. |
| Complaints route | Raise the complaint with the licensee, then refer it to the Financial Industry Disputes Resolution Centre, an independent mediation and adjudication scheme covering Singapore financial institutions. |
| Public register | Financial Institutions Directory (eservices.mas.gov.sg/fid) |
What to check on the Financial Institutions Directory
- 1Search the firm in the MAS Financial Institutions Directory at eservices.mas.gov.sg/fid.
- 2Confirm the entity holds a capital markets services licence and check the regulated activities listed.
- 3Check the licence status and effective date, and note any conditions attached.
- 4Confirm the registered address and legal name match the entity on your client agreement.
- 5Check the MAS Investor Alert List, which names unregulated entities that may have been wrongly perceived as licensed.
Register: eservices.mas.gov.sg/fid. Always navigate to the register from the regulator's own domain rather than a link supplied by the broker.
Brokers on PipDig regulated by the MAS
None of the brokers currently reviewed on PipDig hold a MAS licence. That is not a mark against the authority — our review coverage follows where readers actually open accounts, and it changes as we test more firms.
MAS FAQ
Why is Singapore leverage only 1:20?
MAS sets minimum margin requirements for leveraged foreign exchange offered to retail clients, which works out to a maximum of about 1:20. It is among the strictest caps in a major financial centre and reflects a deliberately conservative retail policy. Accredited investors who meet the wealth or income thresholds can be offered higher leverage after opting in.
Does MAS compensate me if my broker fails?
No. Singapore has no investor compensation scheme covering losses from the failure of a CFD or leveraged foreign exchange provider. Protection comes from the trust account requirement for retail customer money, held with approved banks or custodians and separated from the firm's own assets, and from the capital requirements attached to the licence.
What is FIDReC and when should I use it?
The Financial Industry Disputes Resolution Centre is Singapore's independent dispute resolution scheme for consumers and financial institutions. Complain to your broker first. If the response is unsatisfactory, FIDReC offers free mediation and then adjudication, and an adjudication award binds the financial institution up to the published claim limit while leaving you free to reject it.