What licensing exemptions can Single Family Offices (SFOs) rely on?
An SFO may rely on the exemption provided for a corporation which manages funds for its related corporations, under paragraph 5(1)(b) of the Second Schedule to the SF(LCB)R [Securities and Futures (Licensing and Conduct of Business) Regulations]. An example of an ownership structure for an SFO which could fall under this exemption is illustrated below:
An SFO that provides financial advisory services to its related corporations may rely on an existing exemption from licensing under regulation 27(1)(b) of the Financial Advisers Regulations.
"Where an entity managing funds does not fall neatly within the scope of the two exemptions both, exemptions may still be available on a case-by-case basis. The entity may seek a licensing exemption from MAS under s 99(1)(h) of the SFA"