dishonesty and fraud. our message is clear — improper or illegal conduct have no place in our financial sector. importance of market discipline 15 this brings me to the second topic. market discipline. 16 as with our enforcement actions, market discipline can play an important role in shaping behaviour. it creates a strong incentive for financial institutions to conduct their business in a fair, transparent and responsive manner. a firm or its representatives with a poor record will deter prospective clients and investors. similarly, investors will avoid companies that have poor standards of governance and disclosures. in other words, investors will penalise those that have fallen short, and reward those that have fared well. 17 to allow market discipline to work, different participants in the eco - system must play their part. let me use the equity market as an example and outline a few key roles. 18 mas is the statutory financial regulator. we implement and administer the laws and regulations that govern activities in the capital market, and as mentioned, will carry out enforcement actions against those who run afoul of them. 19 sgx regco is the frontline market regulator for listed issuers. it is responsible for ensuring that the market operates in a fair, orderly and transparent manner. sgx regco administers the listing rules that require listed issuers to, among other things, provide full, timely and accurate disclosures on material information. listed issuers are also required to have in place sound governance frameworks and practices. 20 listed issuers are central to market discipline. having tapped the public markets for capital, they have a duty to run their business honestly and competently, and to update investors on relevant information promptly. it is incumbent on them to strive for high standards of corporate 2 / 5 bis central bankers'speeches governance and to engage proactively with all stakeholders. 21 there are also market intermediaries and other professionals. these include : issue managers and sponsors who bring issuers to the market and are responsible for proper due diligence and in guiding issuers to furnish the relevant and appropriate disclosures. issue managers have a key gatekeeping role in our capital markets, as they are most familiar with the issuers. they can judge the quality and suitability of a prospective issuer for public markets. auditors have an important responsibility to perform checks on financial statements and provide assurance that these are reliable. lawyers and consultants provide advice to help issuers ensure that their business dealings and corporate actions comply with laws and rules. other

by cad, an individual behind a company rbi holding pte ltd was charged with multiple counts of forgery and cheating offences for his involvement in fraudulent investment schemes. in a separate case, an individual was charged with cheating offences for promoting schemes that promised investors a 97 % return on their investment. 37 i have mentioned the mas - cad joint investigation. the police has also set up a centralised anti - scam centre in cad to tackle all forms of scams so as to enable them to intervene quickly to disrupt scammers ’ operations. 38 finally, it is worth reiterating that one should not plunge into an investment just because it promises a high return. avoid buying a product on impulse or herd instinct or name - familiarity. construct a well - diversified investment portfolio that is aligned with your investment objective and risk tolerance. today ’ s seminar will certainly cover these investing principles in more detail. conclusion 39 let me conclude. all stakeholders in the capital marketplace have a role in good corporate governance and effective market discipline. 40 on mas ’ end, we will continue our financial education efforts as an integral part of our regulatory and supervisory work. these will encompass heightened surveillance, investigation and enforcement actions with other authorities. 41 it leaves me to reiterate that investors should always seek to understand the issuer and product before investing in them. remember to “ ask. check. confirm ”. there will be a short halfminute video on this at the end of my remarks. do also visit the pop - up exhibition booth outside the theatre to learn more about the resources available to help you. 42 thank you for your attention. 5 / 5 bis central bankers'speeches