gan kim yong : re - positioning sgx for asia's growth opportunities keynote address by mr gan kim yong, deputy prime minister and minister for trade and industry, and chairman of the monetary authority of singapore, at the sgx group 25th anniversary securities market open, singapore, 2 january 2025. * * * mr. koh boon hwee, sgx group chairman mr. michael syn, sgx group president, distinguished guests, ladies and gentlemen, introduction 1. good morning. i am happy to join all of you here on the 1st trading day of 2025 to celebrate sgx group's 25th anniversary. this is a significant milestone in sgx's history. 2. sgx has come a long way since its establishment on 1 december 1999 through a merger of three entities – namely, the stock exchange of singapore, the singapore international monetary exchange, and the securities clearing and computer services. a. from its initial days as a demutualised and integrated exchange, it has grown into a leading multi - asset exchange, offering a wide range of products including equities, fixed income, currencies, commodities and derivatives. b. in recent years, sgx has also expanded its international presence through collaborations with key regional exchanges. these include exchange - traded fund product links with the shanghai stock exchange and shenzhen stock exchange ; depository receipts linkage with thailand ; and the sgx - nse gift connect. c. the accolades that sgx has received over the years are testament to its innovation, product leadership and commitment to excellence ; these include the'asia pacific derivatives exchange of the year'at the globalcapital derivatives awards, the'asia pacific's best fx exchange'at the euromoney foreign exchange awards, and the'best exchange'at the fx markets asia awards. 3. as the emblem of our local equities market, sgx has also enabled the growth of several well - known singapore companies by facilitating access to global capital and broadening their investor base. a. these range from i. financial institutions such as our three key local banks - namely, dbs, ocbc and uob - as well as newer digital wealth management platforms like ifast ; ii. national champions like singapore airlines ; and iii. household names like supermarket chain sheng siong. 1 / 5 bis - central bankers'speeches b. during the recent covid - 19 pandemic, our equity market ecosystem also served the liquidity needs of these

a rising trend towards the use of charitable trusts for philanthropic initiatives. 6. on the supply side, singapore ’ s trust industry has expanded steadily, and the ecosystem is evolving alongside the wealth management sector. since the introduction of mandatory licensing of trust companies in 2006 by mas, we have 53 licensed trust companies operating here. many private banks have also broadened their capabilities to the area of trusts. beyond the financial sector, law and accounting firms have also expanded their expertise to provide trust - related services to support this growing industry. “ myths ” versus reality 7. notwithstanding the important and legitimate roles of trusts, the trust services industry has come under increased scrutiny for the confidentiality it provides. there is a misconception at times that trusts are mostly being used to conceal one ’ s identity or beneficial ownership for tax evasion or other illicit purposes. indeed, if left unregulated, trust structures can be vulnerable to being abused by criminals. the financial action taskforce ( “ fatf ” ), an inter - bis central bankers ’ speeches governmental body that sets the global standard for measures to combat money laundering, terrorist financing, and the financing of proliferation, has identified specific typologies to illustrate common activities related to money laundering. in one such example, criminals could set up trusts to receive stolen assets, and then separate themselves from the assets by creating multiple layers. singapore ’ s regulatory framework deters and prevents such criminal abuse. 8. with the growing use of trusts, it is critical that we have in place regulatory frameworks that can support its development and help to ensure international confidence in the trust industry. singapore maintains one of the most modern and robust frameworks for the regulation of trust companies – we are one of the first financial centres to have introduced mandatory licensing for trust companies, under the trust companies act ( “ tca ” ). trust companies regulated under the tca have to comply with the mas notice on prevention of money laundering and countering the financing of terrorism ( “ aml / cft ” ). amongst other obligations, the mas notice requires them to identify and verify the identity of trust relevant parties, perform ongoing transactions monitoring and file suspicious transaction reports. mas ’ aml / cft requirements for licensed trust companies are consistent with fatf standards. trust companies must collect and make available information to law enforcement authorities when required to do so. 9. the benefits of having a comprehensive, well - structured trust can only be effectively achieved if it is properly administered by the trustee.