Maintenance of net asset value and qualifying assets
12.—(1)  A licensed trust company incorporated in Singapore shall at all times maintain a net asset value of not less than —
(a)where it does not have a financial year immediately preceding the current financial year, three-quarters of the minimum paid-up capital required under regulation 11; or
(b)in any other case —
(i)one-quarter of its relevant annual expenditure of the financial year immediately preceding the current financial year; or
(ii)three-quarters of the minimum paid-up capital required under regulation 11,
whichever is the higher amount.
(2)  A licensed trust company incorporated outside Singapore shall at all times maintain qualifying assets in the branch in Singapore, of not less than —
(a)where it does not have a financial year immediately preceding the current financial year, the minimum qualifying assets required under regulation 11; or
(b)in any other case —
(i)one-quarter of its relevant annual expenditure of the financial year immediately preceding the current financial year; or
(ii)the minimum qualifying assets required under regulation 11,
whichever is the higher amount.
(3)  For the purposes of paragraphs (1)(b)(i) and (2)(b)(i), the relevant annual expenditure of a licensed trust company for the financial year immediately preceding the current financial year means the total expenditure of the trust company for that year less the following:
(a)staff bonuses (except to the extent that they are guaranteed); and
(b)employees’ and directors’ shares in profits (except to the extent that they are guaranteed).
(4)  Any licensed trust company which contravenes paragraph (1) or (2) shall be guilty of an offence and shall be liable on conviction to a fine not exceeding $25,000.