The Monetary Authority of Singapore (MAS) today implemented new leverage restrictions for retail traders by cutting the available leverage from 50:1 to 20:1. While this change was previously announced it underscores the different approaches to leverage limits that regional regulators are taking in light of broad leverage cuts that went into effect in Europe last year.

As we recently analyzed, Australia, Cyprus, Poland and other nations have all introduced proposals to further cap leverage for retail investors, either in a sweeping move across all retail client segments or with a differentiation between novice and professional trader.

In the case of Singapore – investors still have an opportunity to apply for professional trader designation with their broker, although it is unlikely that many will succeed, as to qualify, you must have personal assets of more than 2 million Singaporean dollars ($1.5 million).