The Stock Exchange of Thailand (SET) is adjusting its ceiling and floor prices, improving the calculation of opening and closing prices and increasing categories of market orders.
Details of the adjustments are as follows:
1 Ceiling and floor prices: To increase convenience for investors and broker members in coping with international standards, on their first trading day, the ceilings and floors of IPO prices and warrants, derivative warrants (DWs) and transferable subscription rights (TSRs) have to move in symmetric price bands.
For equities and investment units, the ceiling will be set at 300 per cent of IPO price, while the ceiling for warrants, DWs and TSRs must be no more than double the previous closing price of their underlying security multiplied by the exercise ratio. Floors of all mentioned securities must be no lower than Bt0.01.
2 Opening and closing prices: The opening and closing prices will be those which yield the highest volume of trading. But if there is more than one price, the new system features a more precise searching mechanism to seek the price that more accurately reflects supply and demand.
3 Market orders: Market orders will be divided into categories in order to meet various demands from investors, such as special market orders, market orders and market-to-limit orders. For instance, in market orders, bids and offers are matched by the trading system at market prices, and any unmatched orders left will be automatically cancelled.
4 Order amendments: the bid amount can be reduced before the trading system matches the bid with an offer without losing the bid's place in the queue. Previously, an investor had to cancel and resubmit the bid. However, this amendment doesn't apply to increasing the bid amount.
Click on the SET website www.set.or.th for more details.
Friday, July 20, 2012
Thursday, July 19, 2012
Singapore Exchange toughens rules to lure big listings
SINGAPORE - Singapore Exchange Ltd (SGX) is toughening its listing rules for initial public offerings (IPOs) to woo bigger brand name companies to list on its bourse.
"The new rules would allow the city-state to capitalise on the anticipated explosion in stock market launches coming to Asia in the next decade given the region's economic rise." said Singapore Exchange (SGX) chief executive Magnus Bocker.
By imposing more stringent admission rules, the bourse hopes investors will be convinced of the veracity and viability of the companies who are allowed to list, making the IPO a safer bet for them.
Under the new rules, to take effect on August 10, companies looking to list must have a market capitalisation of at least S$150 million based on the issue price if the firm have made a profit in its latest financial year and have an operating track record that stretches back at least three years.
The issuers must have operated for at least three years and recorded a minimum consolidated pre-tax profit of S$30 million for the latest financial year.
Firms with a shorter operating track record must have a market capitalisation of at least S$300 million based on the IPO issue price. All companies are also required to price their shares at a minimum of S$0.50 each.
The SGX, whose year has been marked by the delay of an up to S$3 billion listing by Formula One motor racing and the loss of football club Manchester United's IPO to New York, said the tighter rules would make it more attractive for larger firms to go public in Singapore.
Despite the loss of the high-profile Manchester United listing, SGX Chief Executive Magnus Bocker said there were no plans to make listing rules more flexible to accommodate sports teams or football clubs.
As Bocker told a press conference, "There is no way we will compromise the integrity of our market for any brand."
The English Premier League powerhouse is expected to raise $300 million in New York this month, where it will be allowed to have a dual-class structure of shares.
"The new rules would allow the city-state to capitalise on the anticipated explosion in stock market launches coming to Asia in the next decade given the region's economic rise." said Singapore Exchange (SGX) chief executive Magnus Bocker.
By imposing more stringent admission rules, the bourse hopes investors will be convinced of the veracity and viability of the companies who are allowed to list, making the IPO a safer bet for them.
Under the new rules, to take effect on August 10, companies looking to list must have a market capitalisation of at least S$150 million based on the issue price if the firm have made a profit in its latest financial year and have an operating track record that stretches back at least three years.
The issuers must have operated for at least three years and recorded a minimum consolidated pre-tax profit of S$30 million for the latest financial year.
Firms with a shorter operating track record must have a market capitalisation of at least S$300 million based on the IPO issue price. All companies are also required to price their shares at a minimum of S$0.50 each.
The SGX, whose year has been marked by the delay of an up to S$3 billion listing by Formula One motor racing and the loss of football club Manchester United's IPO to New York, said the tighter rules would make it more attractive for larger firms to go public in Singapore.
Despite the loss of the high-profile Manchester United listing, SGX Chief Executive Magnus Bocker said there were no plans to make listing rules more flexible to accommodate sports teams or football clubs.
As Bocker told a press conference, "There is no way we will compromise the integrity of our market for any brand."
The English Premier League powerhouse is expected to raise $300 million in New York this month, where it will be allowed to have a dual-class structure of shares.
Wednesday, July 11, 2012
Singapore Exchange, LSE sign cross-trading agreement
SINGAPORE, July 11 (Reuters) - Singapore Exchange and London Stock Exchange said on Wednesday they have signed a memorandum of understanding to enable cross-trading of some of their largest and most actively traded securities.
Under the Agreement, SGX members will be able to trade FTSE100 securities on the Singapore bourse's GlobalQuote Board. LSE members will get to buy and sell 36 securities of Singapore's indices on the London exchange's newly-created International Board.
The proposed collaboration will occur in stages. Subject to regulatory approvals, the SGX securities will be quoted on LSE by early next quarter while the LSE securities will be quoted on SGX's GlobalQuote by the first half of 2013.
Source : Reuters
Under the Agreement, SGX members will be able to trade FTSE100 securities on the Singapore bourse's GlobalQuote Board. LSE members will get to buy and sell 36 securities of Singapore's indices on the London exchange's newly-created International Board.
The proposed collaboration will occur in stages. Subject to regulatory approvals, the SGX securities will be quoted on LSE by early next quarter while the LSE securities will be quoted on SGX's GlobalQuote by the first half of 2013.
Source : Reuters
Saturday, July 7, 2012
Tokyo and Osaka exchanges merger approved
Japan's Fair Trade Commission has approved the merger of Tokyo Stock Exchange (TSE) and Osaka Securities Exchange (OSE). However, the merger is still subject to approvals from the respective shareholders of the two bourses. The shareholders of the two bourses may meet this autumn or near the end of the year to vote on the merger.
The objective of this merging is to make TSE and OSE as Tokyo’s trading center for large corporations like Sony and Toyota, with Osaka’s strength in derivatives-trading. Following the approval, TSE will takeover of the smaller Osaka Securities Exchange (OSE) under the terms announced in November 2011.
The new tentative name for their merger is 'Japan Exchange Group'. If approved from shareholders of TSE and OSE, the two exchanges are scheduled to merge on early January 2013 and it will close much of the gap between Japan’s stock market and Nasdaq, ranked currently second in the world.
Once completed, it will create the world's third-largest and Asia's largest stock exchange.
The move comes as demand for new share sales in Japan has been falling amid an overall slowdown in its economy. Japan's growth has been slowing in recent years and it lost its position as the world's second largest economy to China last year. The slowdown in its economy has also resulted in a decline in the number of companies looking to list on stock exchanges in Japan.
The objective of this merging is to make TSE and OSE as Tokyo’s trading center for large corporations like Sony and Toyota, with Osaka’s strength in derivatives-trading. Following the approval, TSE will takeover of the smaller Osaka Securities Exchange (OSE) under the terms announced in November 2011.
The new tentative name for their merger is 'Japan Exchange Group'. If approved from shareholders of TSE and OSE, the two exchanges are scheduled to merge on early January 2013 and it will close much of the gap between Japan’s stock market and Nasdaq, ranked currently second in the world.
Once completed, it will create the world's third-largest and Asia's largest stock exchange.
The move comes as demand for new share sales in Japan has been falling amid an overall slowdown in its economy. Japan's growth has been slowing in recent years and it lost its position as the world's second largest economy to China last year. The slowdown in its economy has also resulted in a decline in the number of companies looking to list on stock exchanges in Japan.
Thursday, July 5, 2012
Singapore Exchange (SGX) ready to trade yuan securities
Singapore - Singapore Exchange (SGX) announced on Friday it is ready to list, quote, trade, clear and settle securities denominated in Chinese yuan or Renminbi (RMB) to capitalise on the rapid growth of the offshore yuan market.
The initiative enhances opportunities for issuers and investors keen to participate in the internationalization of the RMB and the robust Chinese economy. SGX’s addition of RMB securities trading complements the offshore RMB bonds already listed on the exchange. Singapore Exchange (SGX) is also the world’s first exchange to offer the clearing of OTC FX forwards for RMB.
Issuers listing RMB securities on Singapore Exchange (SGX) can also choose to offer dual currency trading, giving their investors the flexibility to trade the security either in RMB or Singapore dollars.
“SGX, as the Asian Gateway, is committed to being the exchange of choice for issuers with RMB fund-raising needs and for investors who are keen to participate in the China growth story. The listing and trading of RMB securities on SGX will also extend Singapore’s position as an offshore RMB centre,” said Mr Magnus Bocker, CEO of Singapore Exchange (SGX).
The initiative expands the suite of foreign currencies supported by the Singapore Exchange (SGX), which currently includes the Australian dollar, Hong Kong dollar and the U.S. dollar.
Property firm ARA Asset Management Ltd had been planning to list a yuan-denominated real estate investment trust (REIT) in Singapore, sources told Reuters in March. But a first yuan-denominated IPO for the city-state is yet to come to the market.
The initiative enhances opportunities for issuers and investors keen to participate in the internationalization of the RMB and the robust Chinese economy. SGX’s addition of RMB securities trading complements the offshore RMB bonds already listed on the exchange. Singapore Exchange (SGX) is also the world’s first exchange to offer the clearing of OTC FX forwards for RMB.
Issuers listing RMB securities on Singapore Exchange (SGX) can also choose to offer dual currency trading, giving their investors the flexibility to trade the security either in RMB or Singapore dollars.
“SGX, as the Asian Gateway, is committed to being the exchange of choice for issuers with RMB fund-raising needs and for investors who are keen to participate in the China growth story. The listing and trading of RMB securities on SGX will also extend Singapore’s position as an offshore RMB centre,” said Mr Magnus Bocker, CEO of Singapore Exchange (SGX).
The initiative expands the suite of foreign currencies supported by the Singapore Exchange (SGX), which currently includes the Australian dollar, Hong Kong dollar and the U.S. dollar.
Property firm ARA Asset Management Ltd had been planning to list a yuan-denominated real estate investment trust (REIT) in Singapore, sources told Reuters in March. But a first yuan-denominated IPO for the city-state is yet to come to the market.
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