Finfluencers required to be licensed

[reddevil0728]

Then the "aggressive fish" company and "you see green arrow" guys need to be licensed bo??

Can don’t talk in codes?

 

[sky1978]

The main issue comes from the minister saying "Even if he or she is not remunerated, he will be considered to have provided financial advice if he makes such recommendations or expressions regularly".

MAS published guidelines on a 2-stage test a long time ago. Assuming the 1st stage is cleared, the 2nd stage requires a determination on whether the person is carrying on a business of providing financial advice.

The question will then be whether is a Finfluencer doing content creation on investment-related topics more likely to be deemed carrying on a business or someone posting on a forum like HWZ? E.g. One is a Finfluencer making a video and calling buy or sell ABC vs someone doing the same thing on HWZ.

When the minister mentioned it doesn't matter whether he or she is remunerated, he seems to be replying in the context of Finfluencer because the question pertained to that of Finfluencer. Does posting on an online forum automatically make someone a Finfluencer when they derive no monetary gain vs a Finfluencer who gets payment after a certain number of views on their videos or payment from a sponsor etc?

Traditional client/advisor relationship entails a direct compensation arrangement whereas the Finfluencer business model seldom targets the audience for any direct payment. Perhaps, MAS or the minister should clarify that when they say it does not matter whether he or she is remunerated, are they referring to the fact that the remuneration would be coming indirectly because the business model is different?

https://finreg.sg/answers/nature-of-financial-advisory-services-374/545

 

[reddevil0728]

The main issue comes from the minister saying "Even if he or she is not remunerated, he will be considered to have provided financial advice if he makes such recommendations or expressions regularly".

MAS published guidelines on a 2-stage test a long time ago. Assuming the 1st stage is cleared, the 2nd stage requires a determination on whether the person is carrying on a business of providing financial advice.

The question will then be whether is a Finfluencer doing content creation on investment-related topics more likely to be deemed carrying on a business or someone posting on a forum like HWZ? E.g. One is a Finfluencer making a video and calling buy or sell ABC vs someone doing the same thing on HWZ.

When the minister mentioned it doesn't matter whether he or she is remunerated, he seems to be replying in the context of Finfluencer because the question pertained to that of Finfluencer. Does posting on an online forum automatically make someone a Finfluencer when they derive no monetary gain vs a Finfluencer who gets payment after a certain number of views on their videos or payment from a sponsor etc?

Traditional client/advisor relationship entails a direct compensation arrangement whereas the Finfluencer business model seldom targets the audience for any direct payment. Perhaps, MAS or the minister should clarify that when they say it does not matter whether he or she is remunerated, are they referring to the fact that the remuneration would be coming indirectly because the business model is different?

https://finreg.sg/answers/nature-of-financial-advisory-services-374/545

Hmm why quote me to say all these though?

 

[sky1978]

Hmm why quote me to say all these though?

Ok, I amended and don't quote you lor.

 

[stephenbishop]

Hmm but like why their comments matter though?

Is the expectation that the moderating team say unless one can show proof that they don’t need to be licensed or they show that they are licensed, they cannot post in the forum?

just wondering why it matters n what the objective is. Like what’s expected to be heard from them?

It matters to me as I would like to hear their views on this topic so that I can take these into account when I post.

 

[reddevil0728]

It matters to me as I would like to hear their views on this topic so that I can take these into account when I post.

Hmmm.

Well maybe you can ask here https://forums.hardwarezone.com.sg/forums/online-services-membership-support-feedback.46/ if not I doubt they go through every chat to see what has to be replied to

 

[chiokcc]

I hope the enforcement of the regulation will not dampen the sharing of good tips, deals and ideas in this forum .....

I believe many have benefited in many ways over the years .... I know I do .....

 

[reddevil0728]

I hope the enforcement of the regulation will not dampen the sharing of good tips, deals and ideas in this forum .....

I believe many have benefited in many ways over the years .... I know I do .....

i think the crux of the issue is if it is "advocacy".

 

[CrashWire]

When the minister mentioned it doesn't matter whether he or she is remunerated, he seems to be replying in the context of Finfluencer because the question pertained to that of Finfluencer. Does posting on an online forum automatically make someone a Finfluencer when they derive no monetary gain vs a Finfluencer who gets payment after a certain number of views on their videos or payment from a sponsor etc?

Traditional client/advisor relationship entails a direct compensation arrangement whereas the Finfluencer business model seldom targets the audience for any direct payment. Perhaps, MAS or the minister should clarify that when they say it does not matter whether he or she is remunerated, are they referring to the fact that the remuneration would be coming indirectly because the business model is different?

The minister is Alvin Tan, the same person in the PAP faction trying to sell Income out to Allianz. But I digress…

I personally think that the finfluenzas that need to be licensed are those that have hawked bad advice to accumulate money in high interest promotions in Moomoo/Tiger/Webull, because they were paying substantial amounts of affiliate fees.

These finfluenzas know who they are.

 

[DevilPlate]

I hope the enforcement of the regulation will not dampen the sharing of good tips, deals and ideas in this forum .....

I believe many have benefited in many ways over the years .... I know I do .....

change posting tone to : “I would or I am doing this blah blah”

Like im dca vwra, mbh etc and don’t advise others to follow

 

[chiokcc]

One thing about the finfluenzas is that some may flash their certs or experience as "proof" that they are qualified and thus know what they are talking about .....

But we must remember that even professionals do get it wrong as well ....

Personally, when I watch any video, whether they are financial, political, etc. themed, I always treat them as info/knowledge/another POV, but never them as absolute truth ..... really must DYODD and YMMV .....

 

[sky1978]

The minister is Alvin Tan, the same person in the PAP faction trying to sell Income out to Allianz. But I digress…

I personally think that the finfluenzas that need to be licensed are those that have hawked bad advice to accumulate money in high interest promotions in Moomoo/Tiger/Webull, because they were paying substantial amounts of affiliate fees.

These finfluenzas know who they are.

I never put money in those places. but how did advocating high-interest promotion end up being bad advice? Lost opportunities to earn higher returns in other places?

 

[iadpotato]

finally, we can differentiate the "gurus" from the "goondus"

 

[DevilPlate]

I never put money in those places. but how did advocating high-interest promotion end up being bad advice? Lost opportunities to earn higher returns in other places?

Maybe some of those are not SDIC insured?

 

[CrashWire]

One thing about the finfluenzas is that some may flash their certs or experience as "proof" that they are qualified and thus know what they are talking about .....

The way I see it: "certs" means that they're out to earn money from you, not provide genuine advice like some of the posters here on HWZ/Reddit.

I never put money in those places. but how did advocating high-interest promotion end up being bad advice? Lost opportunities to earn higher returns in other places?

Advocating high interest promotion and accumulating cash at the expense of investing in broad index ETFs.

Moomoo/Webull/Tiger all don't offer LSE ETFs, so they're not good to accumulate ETFs for retirement either.

 

[sglandscape]

Technically tbills are investment instruments, means do not talk about it? Then there are money market funds too which would be in scope.

Likes of fixed deposits, credit card cashback/miles, etc are likely out of scope though.

 

[sohguanh]

I believe at the end of the day each reader need to filter what is BS and what is real advice to you. Besides those active in YT here in this forum also got a few readers posting which to me all total BS so I ignore. Then once a while nothing to do engage them to see their antics.

As for the so called regulations I wonder how effective is the implementation. The devil is always in the details just like my job. Manager sell the big picture to me but when I actually start to do the implementation it void the earlier picture and I need to inform him so he know and then he go correct it.

 

[JuniorLion]

In my view, saying "Not Financial Advice" *should not* automatically exclude the person from liability. Otherwise, everyone will be doing it.

Some so-called "Crypto Finfluencers" were directly responsible for the retail losing lots of money in several cryptocurrencies demise. My own unpopular opinion is these crypto finfluencers should be taken to task retrospectively.

 

[stanlawj]

Easy lah... just don't say buy this or buy that.
Just say these stocks will benefit, this asset will benefit, with the reasons given before or after that.
Buy or sell, is up to the reader to decide how to interpret.

Sometimes I look at what people recommend as good, and I interpret as time for SHORTING it!!

 

[iMac]

How about Beauty Influencer and Travel Influencer?