The Indonesia Stock Exchange plans to reintroduce stock-option trading next year to lure investors as it aims to double market capitalization by 2015, according to a director at the bourse.
Options may begin as soon as the end of June, pending the completion of a new trading system and a revision to rules on derivatives, Friderica Widyasari Dewi, director of business development at PT Bursa Efek Indonesia, which runs the exchange, said in an interview.
The bourse introduced options in 2004, then shut them down in 2006 because of weak demand, Widyasari said. Trading was thin partly because the bourse capped profits on options to keep volatility in check, she said.
“We don’t want to make the same mistake again,” Widyasari said in Jakarta on Oct. 12. “We will focus on foreign investors and institutional investors, who have a need for hedging.”
New products may help the bourse, Southeast Asia's third- largest after Singapore and Malaysia with a market capitalization of $369 billion, attract more investors. Indonesia’s economy is forecast by the government to expand this year at the fastest pace since 1996, boosting demand from companies for funding.
Overseas investors bought a net $1.91 billion of Indonesian equities this year through yesterday, down from $1.96 billion in the same period last year, according to data compiled by Bloomberg.
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Thursday, October 13, 2011
Sunday, October 2, 2011
Philippine bourse starts extended trading
MANILA, Oct 3 (Reuters) - Trades at the Philippine Stock Exchange will be extended by an hour beginning Monday, part of a two-phase programme by the bourse as it prepares to link up with other Southeast Asian markets.
Trading will now run up to 1:00 p.m. [0500 GMT] in the local bourse, which has one of the shortest trading sessions in Asia. Previously, the stock market was open only for 2-1/2 hours, from 9:30 a.m. up to 12 noon [0130 to 0400 GMT], excluding a 10-minute run off period.
Trading hours will be stretched further from January 2, 2012 with trading to run up to 3:30 p.m. [0730 GMT], including a break from 12pm to 1:30 p.m. [0530 GMT].
Philippine stocks have fallen about 5 percent this year, mirroring falls in other regional equities markets, as concerns over the European debt crisis and a faltering U.S. economy prompt investors to trim risky investments in emerging markets.
Cross-border trading among Southeast Asian markets is set to be launched in March 2012. The Thai bourse , Singapore Exchange , Bursa Malaysia and the PSE are currently working to set up a regional trading network.
The 10-member Association of Southeast Asian Nations plans to transform itself into a unified trading bloc with free flow of capital by 2015.
The region also includes Indonesia, Cambodia, Brunei Darussalam, Laos, Myanmar and Vietnam. (Reporting by Erik dela Cruz; Editing by Rosemarie Francisco)
Source: Yahoo
Trading will now run up to 1:00 p.m. [0500 GMT] in the local bourse, which has one of the shortest trading sessions in Asia. Previously, the stock market was open only for 2-1/2 hours, from 9:30 a.m. up to 12 noon [0130 to 0400 GMT], excluding a 10-minute run off period.
Trading hours will be stretched further from January 2, 2012 with trading to run up to 3:30 p.m. [0730 GMT], including a break from 12pm to 1:30 p.m. [0530 GMT].
Philippine stocks have fallen about 5 percent this year, mirroring falls in other regional equities markets, as concerns over the European debt crisis and a faltering U.S. economy prompt investors to trim risky investments in emerging markets.
Cross-border trading among Southeast Asian markets is set to be launched in March 2012. The Thai bourse , Singapore Exchange , Bursa Malaysia and the PSE are currently working to set up a regional trading network.
The 10-member Association of Southeast Asian Nations plans to transform itself into a unified trading bloc with free flow of capital by 2015.
The region also includes Indonesia, Cambodia, Brunei Darussalam, Laos, Myanmar and Vietnam. (Reporting by Erik dela Cruz; Editing by Rosemarie Francisco)
Source: Yahoo
Thursday, August 11, 2011
Vietnam Stock Exchange to extend trading hours to 2:30pm in February 2012
The HCM City Stock Exchange (STC) or has recently unveiled the plan of trading hour extension to afternoon which is expected to take effect from February 2012.
The announcement forwarded to member securities companies, Vietnam Securities Depository (VSD) and appointed paying banks indicates later opening hours of morning sessions at 9:00 AM rather than 8:30 AM as presently.
The total trading time of two hours and a half in the morning for opening order-matching, continuous order-matching 1 and put-through transactions still remains unchanged.
The morning sessions will open at 9:00AM (GMT+7) to 11:30AM (GMT+7) and close for lunch break from 11:30AM (GMT +7) to 1:00PM (GMT+7).
The afternoon sessions will open at 1:00PM (GMT+7) and close at 2:30 PM (GMT+7) including continuous order-matching 2 (1:00PM to 2:00PM), closing order-matching (2:00PM to 2:15PM) and negotiated transactions (1:00PM to 2:30PM).
The HCM City Stock Exchange (STC) has recently unveiled the plan of trading hour extension to afternoon which is expected to take effect since February 2012.
The announcement forwarded to member securities companies, Vietnam Securities Depository (VSD) and appointed paying banks indicates later opening hours of morning sessions at 9:00 AM rather than 8:30 AM as presently.
The total trading time of two hours and a half in the morning for opening order-matching, continuous order-matching 1 and put-through transactions still remains unchanged.
The afternoon sessions will open at 1:00PM and close at 2:30 PM including continuous order-matching 2 (1:00PM to 2:00PM), closing order-matching (2:00PM to 2:15PM) and negotiated transactions (1:00PM to 2:30PM).
The trading hours have been adjusted with a view to be in line with the regional standard practices as are in China, India, Indonesia, Taiwan, Philippines, New Zealand, etc. With this in view, it is expected to make continuous order-matching in afternoon sessions longer in attempt to strengthen market liquidity.
Also, the plan suggests no newly-placed orders, amendment and cancellation of matched orders as well as put-through advertising and settlement during the midday trading break.
Additional regulations will also be imposed namely all-day trading price band, determination of reference price, order cancellation and amendment.
Source: Intellasia
The announcement forwarded to member securities companies, Vietnam Securities Depository (VSD) and appointed paying banks indicates later opening hours of morning sessions at 9:00 AM rather than 8:30 AM as presently.
The total trading time of two hours and a half in the morning for opening order-matching, continuous order-matching 1 and put-through transactions still remains unchanged.
The morning sessions will open at 9:00AM (GMT+7) to 11:30AM (GMT+7) and close for lunch break from 11:30AM (GMT +7) to 1:00PM (GMT+7).
The afternoon sessions will open at 1:00PM (GMT+7) and close at 2:30 PM (GMT+7) including continuous order-matching 2 (1:00PM to 2:00PM), closing order-matching (2:00PM to 2:15PM) and negotiated transactions (1:00PM to 2:30PM).
The HCM City Stock Exchange (STC) has recently unveiled the plan of trading hour extension to afternoon which is expected to take effect since February 2012.
The announcement forwarded to member securities companies, Vietnam Securities Depository (VSD) and appointed paying banks indicates later opening hours of morning sessions at 9:00 AM rather than 8:30 AM as presently.
The total trading time of two hours and a half in the morning for opening order-matching, continuous order-matching 1 and put-through transactions still remains unchanged.
The afternoon sessions will open at 1:00PM and close at 2:30 PM including continuous order-matching 2 (1:00PM to 2:00PM), closing order-matching (2:00PM to 2:15PM) and negotiated transactions (1:00PM to 2:30PM).
The trading hours have been adjusted with a view to be in line with the regional standard practices as are in China, India, Indonesia, Taiwan, Philippines, New Zealand, etc. With this in view, it is expected to make continuous order-matching in afternoon sessions longer in attempt to strengthen market liquidity.
Also, the plan suggests no newly-placed orders, amendment and cancellation of matched orders as well as put-through advertising and settlement during the midday trading break.
Additional regulations will also be imposed namely all-day trading price band, determination of reference price, order cancellation and amendment.
By the way from Feb. 6, 2012, the VN30 Index, which make up 80% of HOSE's market cap and 60% of HOSE's turnover will be officially launched by Ho Chi Minh City Stock Exchange (HOSE), along with the VN Index. This Index is a free-float adjusted, market cap-weighted index of 30 stocks that have the highest market cap and liquidity on HOSE.
VN-30 index will be included real estate developer like Becamex Infrastructure Development, Hoang Anh Gia Lai, Kinh Bac City Development, Ocean Group, PetroVietnam Finance and Tan Tao Investment Industry.
VN-30 index will be included real estate developer like Becamex Infrastructure Development, Hoang Anh Gia Lai, Kinh Bac City Development, Ocean Group, PetroVietnam Finance and Tan Tao Investment Industry.
Source: Intellasia
Monday, August 1, 2011
Singapore Exchange (SGX) commence all-day stock trading from Aug 1, 2011
The Singapore Exchange (SGX), Asia’s second-largest listed bourse operator, cancelled its midday lunch break from Monday (Aug 1, 2011) and started all-day trading w.e.f. today.
With this change, SGX's securities market will trade non- stop between 9am and 5pm (GMT+8), without taking a lunch break from 12.30pm to 2pm (GMT+8) and this will allow investors to respond faster to regional market movements and news.
SGX had originally planned to scrap the lunch break from March but delayed the move because of opposition from some traders.
Continuous all-day trading will enhance Singapore's competitiveness as an international financial centre.
The implementation will allow investors, especially those who trade pan-Asian securities, to respond to regional market movements and news flow.
Meanwhile, the SGX derivatives market has already trading continuously.
The continuous all-day securities trading will provide more avenues for participants to invest, hedge and arbitrage their investments.
Singapore Exchange (SGX) member firms will offer retail investors various ways to execute orders.
These include online trading services, the use of central dealing desks, and the use of mobile technology by trading representatives to execute orders when they are off-premises.
Between 12:30pm and 2pm, formally the lunch break hours have made a turnover about S$110 million, accounting for 6.4 per cent of the day's trading.
At the end of first day of non-stop trading, Singapore (SGX) chalked up a turnover of 1.6 billion, nearly 1.5 times the daily average of 979 million shares traded in June.
While the extended hours are a boon for investors, analysts say it will take some time before the change is felt.
With this change, SGX's securities market will trade non- stop between 9am and 5pm (GMT+8), without taking a lunch break from 12.30pm to 2pm (GMT+8) and this will allow investors to respond faster to regional market movements and news.
SGX had originally planned to scrap the lunch break from March but delayed the move because of opposition from some traders.
Continuous all-day trading will enhance Singapore's competitiveness as an international financial centre.
The implementation will allow investors, especially those who trade pan-Asian securities, to respond to regional market movements and news flow.
Meanwhile, the SGX derivatives market has already trading continuously.
The continuous all-day securities trading will provide more avenues for participants to invest, hedge and arbitrage their investments.
Singapore Exchange (SGX) member firms will offer retail investors various ways to execute orders.
These include online trading services, the use of central dealing desks, and the use of mobile technology by trading representatives to execute orders when they are off-premises.
Between 12:30pm and 2pm, formally the lunch break hours have made a turnover about S$110 million, accounting for 6.4 per cent of the day's trading.
At the end of first day of non-stop trading, Singapore (SGX) chalked up a turnover of 1.6 billion, nearly 1.5 times the daily average of 979 million shares traded in June.
While the extended hours are a boon for investors, analysts say it will take some time before the change is felt.
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