Watch the video in 4 parts here:
http://singaporeenquirer.sg/?p=499
Excerpts from Mr Tan’s speech:
“We are pursuing the two main points - the first main point is does the prospectus describe the product in a way that is correct for the investor because most investors thought their money is invested in 5 to 8 bonds, diversified, if one bond first, there are still 7 bonds, so the loss is one upon eight. But the actual situation is different - if any of the entities fail, all your money is gone, so your risk is multiplied 8 times.”
“The Queens Counsel should look at the prospectus and see if there are grounds for mis-representation or whether they are non-disclosure of the risk. If they know this is very risky and they don’t reveal, does this break the law or contract. This is one question for the Queens Counsel to look.”
“In Singapore, we have two important laws - the Securities and Futures Act, anybody who sells securities including the credit-linked notes have certain responsibilities under the act, to represent correctly and to give the necessary information, so is this Act broken. There is also the Financial Advisors Act, giving responsibility to the advisor to determine if the product is suitable to the customer. Is this also broken ?”
http://singaporeenquirer.sg/?p=499
Excerpts from Mr Tan’s speech:
“We are pursuing the two main points - the first main point is does the prospectus describe the product in a way that is correct for the investor because most investors thought their money is invested in 5 to 8 bonds, diversified, if one bond first, there are still 7 bonds, so the loss is one upon eight. But the actual situation is different - if any of the entities fail, all your money is gone, so your risk is multiplied 8 times.”
“The Queens Counsel should look at the prospectus and see if there are grounds for mis-representation or whether they are non-disclosure of the risk. If they know this is very risky and they don’t reveal, does this break the law or contract. This is one question for the Queens Counsel to look.”
“In Singapore, we have two important laws - the Securities and Futures Act, anybody who sells securities including the credit-linked notes have certain responsibilities under the act, to represent correctly and to give the necessary information, so is this Act broken. There is also the Financial Advisors Act, giving responsibility to the advisor to determine if the product is suitable to the customer. Is this also broken ?”
