New rules relax prospectus burden for retail bonds from quality issuers

Singapore

SINGAPORE authorities have launched their latest effort to boost the retail bond market with long-discussed bond seasoning and exemption frameworks taking effect on Thursday that will allow good-quality issuers to sell debt to mom-and-pop investors without a prospectus.

The seasoning framework - which went through public consultations in September and December 2014 - will allow investors to buy wholesale bonds in denominations as small as S$1,000 on the Singapore Exchange (SGX) with only a product highlight sheet.