Singapore’s Equity Market Development Programme has moved to a third allocation round. MAS will place S$1.45 billion with Amundi, Franklin Templeton, HSBC Asset Management, M&G Investments and Natixis Investment Managers, taking total EQDP allocations to S$5.4 billion across 14 managers.[1][2]
A separate S$20 million grant will support market makers in selected SGX-listed shares. The two announcements address different parts of market depth: the EQDP supplies managed investment mandates and distribution capability, while the GEMS grant targets two-sided quoting, spreads and execution quality.[1][2]
How the S$6.5bn programme has been allocated
EQDP allocation sequence
| Batch | Managers | Placement | Cumulative allocation |
|---|---|---|---|
| First: July 2025 | 3 | S$1.10bn | S$1.10bnSource 1 |
| Second: November 2025 | 6 | S$2.85bn | S$3.95bnSource 1Source 2 |
| Third: September 2026 | 5 | S$1.45bn | S$5.40bnSource 1Source 2 |
| Fourth | Under review | Not announced | Review expected to complete in 2027Source 1 |
The S$5.4 billion allocated represents about 83.1% of the S$6.5 billion programme, leaving S$1.1 billion unallocated on those announced figures. These calculations describe commitments to managers. Deployment into holdings follows each mandate’s implementation, including regional strategies in which Singapore is one component.[1][2]
The market-making grant has a narrower trading objective
GEMS Market Making Grant
| Measure | Value | Context |
|---|---|---|
| Funding | S$20m from the Financial Sector Development Fund | The grant supports appointed market makers rather than paying investors to trade.Source 1 |
| Operating period | To 31 December 2028 | The release states an end date for the grant support.Source 1 |
| Initial coverage | Around 80 eligible stocks | An initial group of around 80 small- and mid-cap stocks with sufficient activity and higher execution costs than the STI average, as well as new listings.Source 1Source 2 |
| Target outcomes | Tighter spreads, lower execution costs and stronger price discovery | These are programme aims, not guaranteed results for each security.Source 1 |
Two programmes, two transmission channels
| Programme | Immediate recipient | Intended market effect |
|---|---|---|
| EQDP | Appointed asset managers | Build Singapore equity capabilities, attract international capital and broaden investor participation.Source 1Source 2 |
| GEMS Market Making Grant | Appointed market makers | Support continuous liquidity provision and reduce the cost of executing in selected stocks.Source 1 |
MAS told Parliament that award terms and performance indicators follow a consistent framework aligned with the programme objectives while reflecting each manager’s proposal. Holdings, benchmarks and deployment schedules therefore follow the individual mandates, rather than a single identical investment portfolio.[3]
MAS will review the eligible GEMS stock list regularly to include further shares that could benefit from market-making support. The relevant trading measures are quoted spreads, executable depth and turnover: tighter displayed prices are more useful when investors can transact meaningful quantities at them. These measures assess trading quality alongside the stock’s continuing response to fundamentals and order flow.[1]
The next allocation milestone is completion of the fourth-batch manager review in 2027. During the grant period, sustained changes in eligible stocks’ execution costs and liquidity will show how the market-making support translates into trading conditions.[1][2]
Sources & further reading
- MAS appoints third EQDP batch and commits S$20m to market making Monetary Authority of Singapore · 29 Sep 2026 · Accessed 16 Oct 2026
- Connecting Capital and Opportunity: keynote on Singapore’s growth-capital ecosystem Monetary Authority of Singapore · 29 Sep 2026 · Accessed 16 Oct 2026
- Parliamentary reply on EQDP third-batch appointments and award terms Monetary Authority of Singapore · 7 Oct 2026 · Accessed 16 Oct 2026
- MAS asset-management initiatives and EQDP overview Monetary Authority of Singapore · Accessed 16 Oct 2026