What happened
At the Wealth Management Institute's Global-Asia Family Office Summit on 5 October 2026, Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong announced that MAS is actively reviewing the Designated Investments (DI) list under sections 13O and 13U:
- The review focuses on expanding eligible investments to support blended finance, infrastructure, green transition projects and philanthropy.
- Proposed inclusions cover concessional debt instruments, transition credits, and impact investment funds.
- Formal consultation papers and circular revisions are slated for early 2027.
Why it matters
Income earned from assets outside the Designated Investments list is "non-qualifying income" and is taxed at the full 17% corporate income tax rate.
Historically, family offices wishing to invest in blended finance or social impact projects risked tainting their tax exemption status. Updating the DI list will give family offices regulatory clarity to deploy capital into climate transition and philanthropic debt instruments without incurring unexpected tax liabilities.
What to do now
- Catalogue existing and proposed impact, infrastructure or blended finance investments in family office portfolios.
- If holding transition finance assets, verify whether they currently qualify under existing debt / equity definitions or require ring-fenced non-incentive holding vehicles.
- Prepare feedback for the upcoming MAS industry consultation.
Key resources
General information only; not tax or legal advice.