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Rules, Ethics and Skills for Derivatives Dealers of Non-Exchange Members

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Overview

  • Module Code: RES 2B
  • Full Name: Rules, Ethics and Skills for Derivatives Dealers of Non-Exchange Members
  • Category: CMFAS Rules, Ethics and Skills (RES) Exams — Derivatives
  • Administered by: Institute of Banking and Finance (IBF), Singapore
  • Effective from: 1 April 2024
  • Predecessor module: NEW EXAM (no direct predecessor — this is a new module introduced under the 2024 CMFAS framework)

Exam Format

Parameter Value
No. of Questions 60
Duration 90 mins (1.5 hrs)
Format Computer-based MCQ

Passing Mark

75% (applies to all CMFAS RES and RESP exam modules)

Exam Fees (Exclusive of GST)

Member Type Fee
Corporate Member S$190
Non-Corporate Member S$230

Applicable Regulated Activity

RES 2B applies to Appointed Representatives who are Derivatives Dealers employed by institutions that are not exchange members (i.e., OTC derivatives dealers, non-SGX-DT members). This is a new module created to recognise the distinct job role of non-exchange member derivatives dealers who were previously subsumed under Module 2A.

Syllabus Content

RES 2B covers: - Capital markets industry framework and key participants - Licensing and business operations for non-exchange member derivatives firms - Market conduct rules governing ethical behaviour and fair trading - Over-the-counter (OTC) derivatives and professional conduct specific to derivatives dealing - Derivatives dealing practices and skills - Prevention of financial crimes (AML/CFT)

New Module Rationale

RES 2B was created as part of the 2024 CMFAS restructure to customise examination content to the specific job role of non-exchange member derivatives dealers, in line with MAS's policy to make CMFAS exams role-specific rather than regulated-activity-generic. Exam content is tailored to OTC derivatives dealing as opposed to exchange-traded futures (covered by RES 2A).

Combined Module Option

RES 12B (Rules, Ethics and Skills for Securities and Derivatives Dealers of Non-Exchange Members) combines the content of RES 1B + RES 2B for representatives dealing in both securities and derivatives as non-exchange members: - 60 questions, 90 minutes - Fee: S$380 (Corporate) / S$460 (Non-Corporate)

Exemptions

No exemption available for RES exams.

Implementation Timeline

  • 1 February 2024: Study guides released; registration opens
  • 1 April 2024: First day to take RES 2B

Regulatory Basis

  • MAS Notice SFA 04-N22 — Notice on Competency Requirements for Representatives of Capital Markets Services Licence holders and Exempt FIs under SFA (effective 1 April 2024)
  • FAA-N26 — Notice on Competency Requirements for Representatives of Financial Advisers (effective 1 April 2024)

Source: IBF Announcement — Implementation of New Capital Markets and Financial Advisory Services Examinations (CMFAS Exams), September 2023; cmfasexam.com RES 2B practice test page.


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