With Singapore's new MAS regulations in effect, how should Southeast Asian traders respond?

In November 2025, the Monetary Authority of Singapore (MAS) officially released the "New Regulations on Contracts for Difference (CFDs) and Leveraged Forex Trading for Retail Investors," which attracted widespread attention in the Southeast Asian market. Although the policy's direct jurisdiction is limited to licensed institutions in Singapore, its impact is rapidly spilling over to neighboring markets such as Thailand, Vietnam, Indonesia, and Malaysia—as many regional users have long relied on Singapore as a gateway to global financial markets.

For ordinary traders, the real question isn't "what does the policy say?", but rather: " How will this affect me? Will I still be able to trade normally? "

Ace Markets aims to help you understand key changes and how to respond in a clear and neutral manner.

The core of the new MAS rules: limiting leverage and strengthening risk disclosure.

This MAS adjustment mainly focuses on three points:

First, the leverage limit for retail CFDs has been significantly reduced (from 1:500 to 1:30 for major currency pairs and from 1:100 to 1:2 for cryptocurrencies).

Second, the platform is required to display a standardized risk warning before users open a position and record the user's confirmation behavior;

Third, it is prohibited to offer incentive bonuses or "risk-free trials" and other marketing tactics to retail customers.

These measures aim to reduce the risk of margin calls for retail investors due to high leverage. It's worth noting that the MAS has not banned CFD trading itself , but rather is pushing the industry towards greater prudence and transparency.

Impact on non-Singapore users: indirect but real

If you reside in Bangkok, Ho Chi Minh City, or Jakarta and did not open an account through a licensed entity in Singapore, you are theoretically not directly bound by MAS. However, the reality is more complex:

To ensure uniform compliance, many international platforms may apply the MAS standard uniformly to all Asian users; some payment channels (such as local bank transfers in Singapore) may tighten funding support for highly leveraged platforms; regional regulatory agencies (such as the Thai SEC and Indonesia's Bappebti) are closely monitoring MAS developments and may introduce similar rules in the future.

This means that even if your current trading is unaffected, you should think ahead: if leverage is suddenly restricted, will your strategy still be able to function effectively?

Ace Markets' stance: Adhering to compliance, not skirting the rules.

We do not offer "unlimited leverage" or "guaranteed principal bonuses," nor do we encourage excessive trading. Instead, we embed risk warnings within the platform, support flexible leverage settings (depending on product and user type), and ensure that all marketing content avoids misleading statements. More importantly, we insist on segregated fund storage, genuine order matching with liquidity, and transparent and traceable withdrawal processes —these underlying security mechanisms are far more crucial to your long-term trading experience than leverage ratios.

Practical suggestions for Southeast Asian users

In response to the trend of increasingly stringent regulations, we recommend that you take three actions:

　　First, examine your current leverage usage . Relying on leverage ratios of 1:500 or higher in the long term, even if feasible in the short term, carries the risk of strategy vulnerability. Try testing performance with low leverage in a demo account.

　　Second, verify the platform's fund security mechanism . With tightening regulations, the risk of unlicensed platforms collapsing has increased. Prioritize service providers that can clearly explain their fund custody arrangements.

Third, pay attention to local regulatory developments . For example, Indonesia's Bappebti has begun requiring cryptocurrency exchanges to submit proof of reserves; the Thai SEC is assessing the eligibility criteria for CFD products. Understanding these developments in advance will allow you to respond with confidence.

Regulation is not an obstacle, but a sign of industry maturity.

Over the past decade, Southeast Asian financial markets have experienced rapid opening up, but this has also been accompanied by chaos. The reforms being promoted by institutions like MAS are essentially a balancing act between innovation and protection . In the short term, trading freedom may seem limited; however, in the long term, a more standardized and transparent environment will attract more institutional funds, enhancing market depth and stability.

Ace Markets supports this direction. We don't pursue short-term user growth; instead, we aim to become your long-term reliable trading infrastructure in this new era of compliance . Regardless of leverage or market fluctuations, we are committed to providing stable execution, clear pricing, and reliable service.