Understanding the legal formalities as a new investor on the Validus platform

As a brand new investor on the Validus platform, the process has been designed with a fuss-free intention without compromising on safety and standards. Simply put, upon registering your Validus account, there are only two onboarding documents required for your e-signature and we will explain more in detail. 

1. Accredited Investors Declaration 

As the Validus platform is made available to investors of accredited investor status, this self-declaration form is a necessary step as required by the Monetary Authority of Singapore (MAS). 

While there is no formal paperwork to certify and confirm if an investor is accredited or otherwise, according to the guidelines by MAS, an individual is considered an Accredited Investor when his/hers:

  • Net personal assets exceed S$2 million (or its equivalent in a foreign currency), but net equity of primary residence capped at S$1 million of the S$2 million thresholds; or
  • Net financial assets (net of any related liabilities) exceed S$1 million (or its equivalent in a foreign currency); or
  • Income in the preceding 12 months is not less than S$300,000 (or its equivalent in a foreign currency); or
  • A person who holds a joint account with an AI, in respect of dealings through that joint account

In a case of a corporation, they would qualify as an Accredited investor if their:

  • Net assets exceed S$10 million (or its equivalent in a foreign currency); or
  • Entire share capital is owned by one or more persons, each of whom is an AI 

Before you start investing on the Validus platform, we’ll have to ask you to provide one or more of the documents. 

Proof of income: 

  • Latest computerized payslip (or last 3 months for average);
  • Latest Income tax assessment (e.g.: Latest IR8A);
  • Current employment letter/contract with salary information;
  • Latest rental agreement contract

Proof of net personal assets/ financial assets:

  • Latest bank statement (or last 3 months for average);
  • Latest statement from the Central Depository (Pte) Ltd (CDP) showing personal assets;
  • Latest statement from brokerage houses showing net personal assets;
  • Title deeds free of encumbrances;
  • Latest housing loan statement;
  • Annual Property Tax Bill

2. MAS Risk Disclosure Statement 

Validus operates under the jurisdiction of the Monetary Authority of Singapore, where we adhere to the highest standards of fund governance, compliance, and AML/CFT policies. This enables a safe experience for all investors and SMEs looking for investment opportunities or a small business loan while conducting activities regulated under the Securities and Futures Act. 

As part of our Capital Markets Licence (CMS), a risk disclosure statement will be provided to you. The securities made available through the Validus platform/facility are offered to the investors in reliance on the exemption under section 272A(1) of the Securities and Futures Act (“SFA”). These offers are not made in or accompanied by a prospectus that is registered by the Monetary Authority of Singapore (the “Authority”).

Get Started 

For most investors, the holy grail of portfolio asset allocation is to secure reliable gains regardless of volatile markets, especially during the current season we’re facing. Investing should be a personal journey and as such, investors are highly advised to carefully consider whether this investment is suitable for them in light of their knowledge and experience in financial and business matters, investment objectives, financial means and risks. 

At Validus, our relationship managers are an email away. If you’re a prospective investor, they are available to help you understand how you can leverage opportunities and make the platform work to your advantage. 

Catch up on our previous Q&As, where Milena answers some of the most common questions about SME lending and as an attractive alternative asset class to diversify your portfolio. 

You can get real-time updates on your current investments and future opportunities via the Investor mobile app for current Validus investors. Download via App Store or Google Play today. Existing investors may also schedule a 1-on-1 call to discuss your portfolio and have your questions answered by our IR team. 

Not a current investor yet? Here's how to get started!