SGX cannot rely on the goodwill of some companies to make its new quarterly reporting regime a success

THE success of Singapore's risk-based quarterly reporting (QR) regime, launched 15 months ago, appears to be predicated on one thing, which just happens to be outside the control of regulators: the voluntary efforts of companies, that have not been directed to do so, to continue issuing quarterly financial reports and /or business updates.

It begs the question of just how practicable this new system will be, particularly over the longer term.

The current regime is a marked departure from Singapore's previous mandatory QR regime, which had been in place since 2003. In explaining the change, Singapore Exchange Regulation (SGX RegCo) said the new approach would focus on high-risk companies, thereby relieving the reporting burden on others and giving them more latitude to consider longer-term strategic matters.