SGX adds safeguards against error trading of consolidated shares
THE Singapore Exchange (SGX) will flag shares undergoing consolidation and introduce reference prices for brokers to prevent error trades, the market operator announced on Tuesday.
Shares that will undergo consolidation will be marked with the "CE" label, for cum-entitlement, in SGX's stock price pages, while shares that have just been consolidated will be marked "XE", for ex-entitlement.
The SGX will also introduce a reference price for newly consolidated stocks. The reference price, which will be used by brokers to gauge whether a trade entry may be at the wrong price, will be a theoretical price calculated from a stock's last traded price adjusted for any consolidation, splits, or cash distributions on the same date.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Companies & Markets
OKP unit gets S$92.9 million LTA contract
Greenback recovers from PMI slump, yen closes in on 155 per dollar
Digital Core Reit Q1 distributable income slips 2.4% to US$10.6 million
Hong Kong Stock Exchange bids farewell to first woman chair
Toymaker Hasbro posts quarterly profit beat, slower sales decline
CapitaLand India Trust Q1 net property income up 19%