Date Issued: 20 February 2006
Date Closed: 20 March 2006
Status: Completed
SGX Issues Consultation Paper on Amendment to Minimum Bids Schedule for SGX Securities Market Singapore Exchange Ltd (SGX) is inviting public comments on its proposed amendment to the minimum bids schedule for SGX securities market. The proposed revisions seek to lower spread and transaction costs for investors and improve the overall competitiveness, liquidity, and market and trading efficiency of SGX securities market.
The proposed amendments include:
1) customising minimum bids structures, as well as reducing the minimum bid sizes for stocks, structured warrants, Exchange Traded Funds (ETFs) and bonds traded on the Mainboard, SESDAQ and Xtranet, based on their characteristics, and correspondingly amending SGX-ST Rules;
2) adjusting the forced order bid ranges of the affected products as their minimum bid sizes are reduced;
3) changing the contract specifications of ETFs, in terms of their unit prices and contract sizes as a result of the reduction in minimum spreads for ETFs; and
4) extending the revised minimum bids and forced order schedules to all non-SGD-denominated SGX securities traded on SGX.
In its proposal, SGX recommends adopting a measured approach by making reasonable adjustments to the current minimum bids schedule, assessing the impacts of the revisions and implementing more adjustments to the minimum bid sizes, where necessary.
The consultation paper sets out the rationale and proposed changes for each product. It will be available on SGX website at www.sgx.com from 20 February 2006. Market participants and members of the public can forward their feedback and suggestions on the proposed changes from today to 20 March 2006 via email and either by post/courier or fax:
| Post/Courier: | Singapore Exchange Limited
2 Shenton Way, SGX Centre 1, #19-00
Singapore 068804 |
| Attn: | Monica Loh Wei-Ling
Products & Services Group |
| Fax: | (65) 6534 1415 |
| SGX Consultation Paper - 20 February 2006 |
| Title | (In PDF) |
| Consultation on Proposed Amendment to Minimum Bids Schedule for SGX Securities Market |  |
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