WiLL  there  be  a  CATCH  ? ? ? ?

To  Increase  brokerage  ? ? ? ?

SGX proposes new rules and measures for short selling

SINGAPORE

This includes the requirement to mark all sell orders, either as a normal sell order or a short sell order. With the collated data, SGX intends to report the short sales volume and value by counter for each trading day.

To facilitate the marking of sell orders, SGX requires its Trading Members to put in place procedures to ensure that customers indicate their sell orders.

The dealer or remisier cannot transmit a sell order to SGX if the customer has not made his or her order indication.

SGX said the move is to facilitate greater market transparency as timely short selling information, will provides greater disclosure and contributes to enhanced accountability.

The exchange defines a short sell order as “any sell order where the seller does not own the quantity of security to be sold at the time of placing the order”.

SGX is embarking on a consultation exercise on the proposed change and said the exercise is being conducted after close discussions with the Monetary Authority of Singapore.

Separately, SGX chief executive Magnus Bocker said that doing away with a lunchtime trading break could increase volumes on the Singapore Exchange by 10 per cent.

Mr Bocker disclosed this when speaking at a Foreign Correspondents Association event here yesterday. He also confirmed a MediaCorp report earlier this week that the exchange was considering plans to have continuous trading in each session.

However, he said that it is still too early to talk about when to implement it and also confirmed it is currently in discussions with market participants on the move.— The Singapore Exchange (SGX) has proposed new rules and measures to provide more information on short selling activities.

• Mark all sell orders, either as normal sell order or a short sell order.