Press Release on Survey of Investor Rights in Singapore: Much progress has been made, but more can still be done

Date: June 25, 2025

The Securities Investors Association (Singapore) or SIAS is pleased to share the results of a joint research study that was commissioned by SIAS with the Singapore Institute of Technology (SIT) and the Singapore University of Social Sciences (SUSS) to celebrate SIAS’s 25^th anniversary in 2024.

The study aimed to:

• look into how investor rights and behaviour in Singapore have evolved over the past decade;
• track the progress of investors’ rights in Singapore and
• provide recommendations for improving investor protection and encouraging shareholder activism in Singapore.

 

The survey comprised both SIAS and non-SIAS members. One significant finding was that 37% of respondents experienced difficulties in exercising their investors’ rights, which suggests that existing investor protection mechanisms may not adequately address the needs of all investors.

Of those who reported facing difficulties:

• 41% felt that their voices were not adequately heard in matters relating to corporate decision-making;
• 24% faced difficulties in accessing company financial reports and disclosures;
• 22% encountered challenges in voting at shareholder meetings due to unclear procedures and lack of information;
• 13% experienced delays in receiving dividends and other entitlements.

 

Despite these challenges, SIAS is encouraged to note that 93% agreed that SIAS has helped to educate them on their rights as investors whilst 80% said they are “somewhat likely’’ or “extremely likely’’ to recommend SIAS to other investors.

David Gerald, Founder, President & CEO of SIAS said, “Over the past decade, SIAS has seen a shift in investor rights in Singapore where more investors are more proactive. Through our persistent advocacy, constructive dialogue with regulators and listed companies, and empowering investors with knowledge, SIAS has helped shape a more engaging investing community. This journey reflects our unwavering belief that protecting investor rights is fundamental to building trust and resilience in our capital markets.”

Dr Kevin Ow Yong, Associate Professor of Accounting, Singapore Institute of Technology, said, “From an accounting and finance perspective, it is imperative that there are adequate safeguards to protect investors so as to improve and maintain investor confidence towards SGX listed companies”

Respondents also acknowledged the effectiveness of Singapore’s regulatory framework, particularly the role of the Monetary Authority of Singapore (MAS) in maintaining a fair and transparent market. They commended the MAS for its stringent enforcement and proactive measures in preventing market abuse.

Respondents also identified the following areas for improvement:

• Enhancing mechanisms for investor redress and dispute resolution (16% of respondents);
• Ensuring fair and equal access to information (19% of respondents);
• Improving transparency in corporate governance practices (17% of respondents);
• Strengthening safeguards against insider trading (17% of respondents);
• Strengthening safeguards against market manipulation (18% of respondents);
• Strengthening shareholders’ voting rights (13% of respondents).

 

Dr Tan Eng Joo, Senior Lecturer, School of Business, Singapore University of Social Sciences, said, “While the findings suggest that enforcement alone is not sufficient to empower investors, it is encouraging that no single area stands out as particularly deficient. This reflects a balanced approach within existing investor protection mechanisms, supporting efforts to build a resilient and inclusive capital market where all investors feel heard, engaged, and safe.”

The study recommended that regulators consider:

• Enhancing the role of public enforcement for investor compensation, with reference to Hong Kong and Australia;
• Lowering shareholding thresholds for minority shareholders to requisition a general meeting and propose resolutions;
• Introducing requirements for companies to explain actions taken in the event of significant shareholder dissent;
• Enhancing shareholders’ rights to access information;
• Rethinking the implementation of a two-tier shareholders’ vote to approve independent directors.

 

Mr Lance Ang, Lecturer, School of Law, Singapore University of Social Sciences said, “The recommendations in the study are particularly pertinent in light of the shift towards the ‘disclosure-based regime’ announced by the Equities Market Review Group in its ongoing review of the regulatory framework to attract listings – a disclosure-based approach that forms the basis of informed investor decision-making must be supported by the means of private and public enforcement of disclosure breaches that facilitate investor compensation for losses, as well as shareholders’ information access rights and investor education.”

Attached is a copy of the final report.

Thank you

 

David Gerald
Founder, President & CEO
SIAS