The marking of short sell orders will further enhance transparency of market activities. SGX will publish daily reports on the total value and volume of short sales for each counter the next trading day, based on short sale data collected on the previous trading day.
SGX will also publish a weekly report which aggregates the daily short selling statistics from the previous week and takes into account corrections for erroneously marked orders submitted by brokers on behalf of their clients.
MAS (Monetary Authority of Singapore) said as information on short selling may be taken into account by other market participants when making trading decisions, all market participants are expected to accurately disclose the nature of their sell orders in compliance with SGX's rules on short selling disclosure.
It added that Singapore Exchange Securities Trading Limited (SGX-XT) will provide its Trading Members with a facility to correct erroneously marked sell orders.
MAS said under the Securities and Futures Act, it is an offense to make false or misleading statement to a securities exchange, futures exchange or designated clearing house.
If convicted, the offender could be fined up to S$50,000 or jailed for up to two years or both.
The central bank added that it will also consider whether there was intent to deceive in respect of sell orders that had been inaccurately marked by SGX-ST Trading Members or inaccurately disclosed by market participants.
Source: SGX
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