the purpose of limiting legal liability rather than facilitating understanding by retail investors. mas therefore seeks to ensure that information disclosed is not only adequate but also transparent. transparency mas has sharpened the focus on providing investors information in a clear and concise manner to aid understanding. earlier this year, we introduced a new regulatory requirement for a product highlights sheet to accompany offers of investment products that come with prospectuses. its purpose is to convey key risks and product information in plain language and in a simple question - and - answer format. let me give an example. in one recent prospectus, the right of the investors to cancel their subscription within seven days was spelled out in two rather technical paragraphs using a total of 170 words. in the product highlights sheet, the same point was made in two simple sentences. financial advice the third aspect of investor protection is the provision of sound financial advice by intermediaries when they sell investment products. the fair dealing guidelines issued by mas require intermediaries to conduct their own internal assessment to ensure that a new product being launched for sale is suitable for its targeted investor base. intermediaries must also ensure that their representatives have the competencies to understand and explain the product features to their customers. mas has introduced new rules requiring intermediaries to assess their customers ’ investment knowledge or experience before investing in complex products. the rules will come into effect in january 2012. where an investor does not possess the requisite knowledge or experience, intermediaries must provide appropriate advice. investors who choose not to heed their advice or insist on buying a product which has been assessed to be unsuitable for them must take responsibility for their decision. this approach recognises that investors ’ capacity to understand complex products is uneven, while respecting their right to invest as they see fit. bis central bankers ’ speeches over the last two years, mas has conducted surveys and inspections to assess intermediaries ’ delivery of these fair dealing outcomes. we will use our findings to fine - tune the guidelines on fair dealing. while mas has taken these steps to ensure that the financial advisory industry is able to help investors make informed decisions, the best way to instill discipline on the industry is for investors to demand good advice. singapore ’ s investing public should seek good financial advisers who are prepared to even advise them against buying an unsuitable product. they should be prepared to pay a fee for such advice. investor education even with the best of disclosure and transparency, investors can make informed decisions only if they have the knowledge and skills to do

##mining compliance, not to mention efficiency and innovation. all components of the capital market ecosystem must play their part. a well - functioning capital market is a shared responsibility. if all stakeholders do their part well, not only will we have fair and efficient capital markets that everyone has confidence in, but we will also make singapore a competitive and vibrant financial hub in asia. thank you for your attention. bis central bankers ’ speeches