Critics of SGX should put things in perspective

ALL those with an interest in the local stock market, from retail investors to brokers and fund managers, have their own wish list of changes and improvements they would like the new Singapore Exchange (SGX) boss to make. From boosting liquidity to scrapping the minimum trading price (MTP), from attracting better quality listings to bringing back the lunch break, these wishes were highlighted even before Loh Boon Chye assumed the office of chief executive officer.

Most of those demands are valid and understandable. Who, for example, would not want the market to enjoy higher liquidity or offer the public solid, investment-grade companies to choose from? But it is important to recognise that it would be impossible to satisfy all of them. It would be impossible, for example, to reverse the imposition of MTP now that many companies have already consolidated their shares. Moreover, though post-MTP performance has been questionable for some firms, it is still too early to write off a move whose core intention is to try and raise quality levels for all investors.

Equally important is the need to place the task ahead of the new boss in its proper perspective. In this connection, it is necessary for all stakeholders - critics especially - to acknowledge a few obvious truths.