Mr Yeoh Oon Jin, Chairman, Singapore Institute of Directors
Ladies and Gentlemen
1. Good morning. I am happy to join you here today at the launch of SID’s Chairpersons Guild. I last struck the gong over a week ago, on 5 January, to mark the 60th anniversary of the Straits Times Index (STI). The following day, the STI crossed 4,700 points for the first time. Since then, it has edged even higher. I hope that this encouraging start bodes well for the year ahead, but we know markets will have its ups and downs. Our focus must therefore remain on strengthening the fundamentals, competitiveness and capabilities of our capital markets ecosystem, so that it will remain resilient and attractive over the long term. That was the approach we took for the equities market review.
2. When we hear the word guild, we may think of medieval European craft communities, which historically played a key role in maintaining quality of their craft, training its members and providing mutual support. Many of these guilds were built from the ground-up by their members. This same spirit of mutual support and collective responsibility, when replicated in the corporate space, I believe can be a competitive edge for our capital markets.
3. Today, global capital markets have become increasingly challenging and competitive. Against this backdrop, the Equities Market Review Group has put forward a set of measures to help strengthen the foundations of the Singapore equities market. But policy alone is not sufficient; listed companies and their boards need to seize this chance to show how they are building value and confidence in their businesses. This calls for strategic, decisive and forward-looking leadership.
The Modern Guild: Three Essential Characteristics
4. This is why the launch of SID’s Chairpersons Guild is both timely and important. It has the potential to uplift not just individual members, but the entire community and eco-system. Allow me to share three key aspects that have are important for guild excellence.
Upholding strong Corporate Governance standards
5. First, upholding strong standards – in the corporate context, strong corporate governance standards. Corporate governance is often regarded as the backbone of business sustainability, ensuring that companies operate with transparency, accountability and ethical decision-making. Companies with strong corporate governance generally outperform those with weaker governance, generating greater value for the company and its shareholders over time. This is especially important in today’s complex, technology-driven, and geopolitically-sensitive environment. Upholding high standards of corporate governance remains fundamental to building trust and confidence among investors.
6. Chairpersons and directors hold important fiduciary responsibilities to act in the best interest of shareholders. They have to bring professionalism and competence, and also ethical and responsible conduct to their roles. Honesty and integrity are the foundations for building trust and confidence.
7. MAS has been working with the Corporate Governance Advisory Committee to review the Code of Corporate Governance. The aim is to sharpen the focus of the Code on what matters most to investors, while providing clearer guidance to boards on how to enhance their effectiveness.
a. In terms of internal governance, the Committee is working on guidance for boards to go beyond general oversight to address areas such as value creation and risk management, which are key for investor decision-making.
b. In terms of engagement, the Committee is also encouraging boards to move beyond boilerplate disclosures towards more meaningful explanation of business models, competitive advantages, growth pathways, and management accountability for key outcomes.
8. While the Code sets common standards and benchmarks, the Chairpersons Guild can complement this by providing a practical platform for sharing experiences and good practices, supporting more effective implementation of good corporate governance across the market.
Building Capabilities
9. The second ingredient of strong leadership is building the right capabilities, both the breadth and also the depth, to meet evolving needs.
10. The Chairpersons Guild will serve as a platform for engagement with global experts, seasoned directors and industry practitioners. With partners such as Heidrick & Struggles, McKinsey & Company and UBS, chairpersons can gain insights into global trends, evolving governance practices and emerging skillsets that are required of board members.
11. Beyond the launch of the Guild, there are two other initiatives starting today that will also support skills and capabilities development in boards and senior management in listed companies.
12. The first is the Board Academy, which SID is also launching today to offer customised programmes on directors’ duties, sustainability, digital governance and strategic leadership. These initiatives will help boards enhance oversight, navigate emerging issues and strengthen their contribution to value creation, with potential future expansion into board assessments and advisory work.
13. In today’s fast-changing environment, continuous learning is essential. I encourage boards to leverage these offerings as a strategic investment in your company’s future.
14. I am also happy to announce that starting today, the Value Unlock programme is open for applications for its two grant schemes.
15. The Value Unlock programme was first announced as part of the Equities Market Review Group measures in November and aims to help listed companies strengthen investor engagement and sharpen their focus on shareholder value creation. By refining strategic plans, engaging more effectively with investors, and communicating growth stories more clearly, companies can build confidence, improve valuations, and enhance liquidity over time.
16. The two grants provide different types of support:
a. The Equip Grant helps companies build foundational capabilities in corporate strategy, financial management and investor relations.
b. The Elevate Grant provides deeper, more bespoke support, particularly for companies with greater ambitions – whether those who want to scale from Catalist, seeking institutional-grade liquidity, or pursuing significant growth opportunities. It provides access to experienced consultants who can help refine strategy, sharpen market positioning and strengthen shareholder communications.
17. The Value Unlock programme is not just about funding. It also provides platforms that support companies in their journey to take decisive actions to create and communicate value.
a. SGX will organise investor days and hold outreach events, including engagements with fund managers under the Equity Market Development Programme. Some of them are represented here today as well.
b. These fund managers are actively seeking companies with strong growth strategies and clear value creation plans – presenting a real opportunity for companies that can articulate their growth stories effectively.
18. At the same time, we will require grant recipients to meet some KPIs demonstrating real progress and capabilities – in engagement, disclosures, and shareholder value. For example, grant recipients are expected to share their experiences through forums like this, creating reference points for others. Over time, I hope these reference points and sharing can become expectations, and expectations can then become industry norms. This is how collective excellence is built.
Direction: Charting and communicating a forward path
19. The third key ingredient for company leadership is the ability to provide clear direction amid uncertainty.
20. This starts with a strong and clear understanding of the operating environment. The Chairpersons Guild can serve as a useful platform for chairpersons to come together to collectively engage a variety of stakeholders, including regulators, investors and other ecosystem partners to gain deeper insights to support decision-making.
21. With a clearer sense of the landscape, boards can then chart a credible path forward and communicate it to stakeholders. At the SID Directors Conference last September, I encouraged boards to complement historical reporting with greater discussion of strategic outlook and prospects, as these are highly relevant to investors’ decision-making. We have heard feedback that boards remain cautious, particularly due to concerns about regulatory scrutiny if outcomes later diverge from projections.
22. As Deputy Chairman of MAS, I would like to assure everyone that providing well-prepared and transparent forward guidance is permissible and encouraged.
23. To further support this, SGX RegCo will be publishing a Regulator’s Column later today, which offers practical guidance on preparing forward-looking disclosures. The column makes clear that SGX RegCo will take a sensible and balanced approach. Forward-looking disclosures made in good faith, and accompanied by appropriate disclosures to enable investors to appreciate both the basis for the projections as well as the inherent uncertainties involved, will be within regulatory parameters and expectations. MAS is also reviewing whether we can provide greater clarity on the regulatory framework, including providing guidance or reviewing our legislation if necessary, to facilitate open communication while upholding market integrity.
24. Forums like the Chairpersons Guild can support this effort by clarifying uncertainties and helping to establish common and sound practices for forward-looking disclosures across the market. Along the way, if there are areas that companies need further clarity or assurance, the Chairpersons Guild can also be a good platform to provide such feedback to SGX RegCo and MAS, and we will be happy to take a look and see how we can work together on this, towards our common outcome, which is to provide good, sound, forward-looking disclosures, while maintaining market integrity. I think this outcome is something that is best done, not by working separately in isolation, but coming together as an ecosystem between the regulator, SGX and our companies, and seeing how we can find a common path forward that can be good for the entire ecosystem. So that is my assurance to all of you that this is something we want to work towards. And MAS and SGX will be on this journey together with you.
25. Ladies and gentlemen, the conditions are in place, and the support structures are ready. What will make the difference now is leadership and seizing those opportunities. Guilds of old raised standards through shared commitment, peer leadership, and a collective belief that excellence matters. The Chairpersons Guild has the potential to play the same role today - shaping expectations, setting norms, and lifting the quality of leadership across our listed companies.
26. As chairpersons, you are well positioned to set standards and inspire market-wide improvements. I encourage you to engage actively with the Chairpersons Guild, make full use of the support available. Give us your feedback and ideas, and together, we can drive excellence in our ecosystem, excellence that can distinguish Singapore's equities market on the global stage.
27. Let me end my speech by wishing everyone good health and wishing you and your colleagues in our equities market continued success and prosperity.
28. Thank you very much.
