After the occasional adjustments to the regulatory regime ever since the global financial crisis in 2008, this will be the biggest official review of the advisory industry since the Financial Advisers Act was introduced 10 years ago.

The regulator is embarking on a wide-ranging review of the financial advisory landscape to further ‘protect and benefit the consumer’, MAS managing director Ravi Menon said.

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Chief among the sweeping proposals is financial advisers, who can sell a variety of investments, will have to be better-educated to serve a more literate and sophisticated, public, as well as keep up with more complex products on the market.

Menon said that the overriding aim of Fair is to protect and benefit the consumer. "Putting the customer first – that must be at the heart of all our efforts," he added.

He outlined five key thrusts of the review: raise the competence of financial advisory representatives; raise the quality of advisory firms; make financial advice a dedicated service; lower distribution costs; and promote a culture of fair dealing.

Menon also said Fair will create a list of activities that advisers should not engage in, such as promoting junkets for casinos or selling real estate.

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The review will also look into the role of ‘introducers’, who are parties paid to refer customers to advisers.

MAS said that a review panel will be formed, with representation from industry associations, the investment community, academia, media and consumer bodies, to review and propose recommendations on the areas outlined.