What’s this, brilliant or what?

There are many ways to skin a cat. One way to stop investors from investing in dangerous/sophisticated products they don’t understand is to make them sit for a test to make them fit or safe for the product. Another way of course is to make sure that dangerous/sophisticated products are safe before selling. Is making investors sit for the test not akin to passing the buck to the investors? This is better than caveat emptor. Disqualifying dangerous/sophisticated products leaves the responsibility with the regulator to make certain they are safe for consumption.

Which of the two methods is more efficient? One involves a lot of investors and potential investors to sit for the test. Now why would a customer want to buy a complicated/dangerous sports car if he has to sit for a test to ensure that he knows the danger of the car and cannot complain later? And why would potential investors want to sit for a test if they are not even sure of investing in the product? Does it mean that whenever a new product is launched, and if not covered by the test, the buyers must resit for another new test?

Would it be more efficient for the authorities to vet the products like the HSA checking edible products before allowing them into the market? Can’t imagine every individual would have to sit for a test before they are allowed to buy a new food product. Or should commuters be required to sit for a test, to know the nature of the train, before being allowed to board a train?

This kind of logic is Uniquely Singapore. The people must qualify themselves ie know the danger of the product they are buying before being allowed to buy it. The seller does not need to make sure that the products are safe. Can a seller sell snake oil if the buyer has passed a test on what is snake oil?

Below is an extract of an article by Kevin Lim of things to come.

By Kevin Lim
SINGAPORE, Dec 19 (Reuters) - Buying a mutual fund in
Singapore may not be a cakewalk anymore.
Under new investor-protection rules that take effect Jan 1,
investors in the tightly controlled city-state must possess
certain educational qualifications related to finance or have
relevant work or trading experience to buy funds directly.
Those who fail to meet the Monetary Authority of Singapore's
(MAS) requirements must take a series of on-line tutorials on
the Singapore Exchange website, and answer the
questions correctly in order to qualify to buy the funds, in
what could be a first for investors anywhere in the world.
Thousands of Singaporeans lost money investing in supposedly
low-risk Lehman Brothers-linked "Minibonds" in 2008. The new
rules follow a review by the country's monetary authorities.
The regulations have been sharply criticised by some fund
managers who fear a loss of business.
" Asking investors to pass a test to
invest could be a deterrent to investing," said Francois Mouzay,
head of fund development and services in Asia-Pacific for BNP
Paribas Investments Partners….


Anonymous said...

"Which of the two methods is more efficient?"

Mr Chua, why are you asking such a retarded question? The answer is obvious... if i can deflect blame and avoid responsibility and still collect my millions, why do i want to take it upon myself to ensure that the food is safe for consumption?

IMAGOD said...

I'm speechless. Next thing you know, the motherfuckers are going to make minimum (or maximum) educational standard for VOTING AT ELECTIONS.

Both cases cold bestow benefit to the incumbent, so they can "control" the election :

1. MAXIMUM educational standard - primary 3. Those who are primary 4 or above excluded from voting.

2. MINIMUM educational standard - PhD. Those below PhD not allowed to vote.

Shit. I hope I haven't given them any (bad) ideas..:-P

Anonymous said...

IMAGOD has change his tact.

His motto before was everyone has to take care of him/herself first. Fuck care what others want or demand of You.

Anonymous said...

IMAGOD , welcome to the new you. I think you need to go back to school or maybe you have forgotten basics of Gaussian distribution. The exclusion of P4 and those below PhDs are incogruent and illogical. Just draw a bell curve and you will know what I mean, you phuck wit.

Chua Chin Leng aka redbean said...

Hi anon, IMAGOD was trying to be brilliant. I think he makes quite good sense in his exclusion formula.

Well done mate.

Anonymous said...

Nanny Sate Mentality. Test here test there ... why din test SMRT properly one ? test test test.. evry thing oso test ... best in test become scholar and come back help pappy makan cpf. Test simi lan !!! sinkie loves tests by the way ... it's a sinkie way of life since PSLE. Thank you ah gong for making us a testing nation ot nation of tests

IMAGOD said...

Anon 1134 :

Fuck all the females in your family. The math follows a power law, asshole. Not Gaussian.

Go brush up on info theory, dickhead

Anonymous said...

I think IMAGOD has just decribed the exclusion of the "average" sinkies for you. Thanks for the own-goal.

Anonymous said...

This dump is getting ridiculaous.

Might I suggest that they have a test to see if commuters are able to take care of themselves and evacuate themselves before taking the now disgraceful trains. Actually, the CEO shuld take a test to see if she is fit before piloting the mrt system to ruin.

Next, those scholar boys will come out with the idea that to marry, you got to pass a sex test to see if you know where to point the population booster which they so desperately needs.

What dumbfucks are running this country!

From New York to London, paris, tokyo and all the financial capitals of the world, we really look stupid and actually IS stupid.

Anonymous said...

Anon 1204 ... L. O. L.

IMAGOD said...

All hail the queen! (holy jesus on a stick... who would fuck that? Looks like Kim Jong Il in drag!!)

goo.gl/ ddA4A

IMAGOD said...


Anonymous said...

I suggest that before any candidate puts him/herself up for political election, he/she be tested by the people of his/her ability to make the people happy.


Anonymous said...

Simply daft and no brainers Sinkis at helm of MAS. Fully agree...Only Uniquely SG where you can find such "complex" solution to problem. I can imagine how these Sinkis answer their phone - Not the usual left hand to left ear or right hand to hand ear, but instead, right hand to left ear or left hand to right ear....

Anonymous said...

This testing of would be investors is not merely shifting of responsibility to investors but it also looks like it is the prelude to creating another income stream by charging a fee on those taking the tests.

Anonymous said...

I think they want you to pass the test so that when you lose your pants and decide to sue, you will also lose your shirt in USA. A brilliant idea that only banksters can think of. Now, if there are still anyone who do not believe that MAS has turned the CPF into a giant ponzi to bail out GIC and Temasek?


Anonymous said...

We are the freest economy. You can sell anything, even poison. Just make sure the buyer knows it is poison and sign a paper to absolve you from blame.

Boh cheng hu.

IMAGOD said...
This comment has been removed by the author.
IMAGOD said...

Actually s'pore is not really bo cheng hu. Singapore compared to Hong Kong is quite kiasu kiasi -- and the govt reflects that attitude.

Hing Kong == bo cheng hu. And that's the way it should be.

Caveat emptor.

Yes, you can buy or sell "anything" -- as long as you rightfully own it, even poison. But as long as you know it is poison, and its for your own use -- not used to affect others -- it's your own damn private business and no one is entitled to interfere.

IMAGOD said...
This comment has been removed by the author.
Anonymous said...

Sinkiepoore will never become Boh Cheng Hu lah deh. And that's why we very cheng hu until bodoh

Anonymous said...

When You went in with yr eyes wide OPENED, Plse blame yrself for any wrong!