General Announcement::More retail activity in higher-priced stocks after SGX cuts board lot size

Issuer & Securities

Issuer/ Manager
SINGAPORE EXCHANGE LIMITED
Securities
SINGAPORE EXCHANGE LIMITED - SG1J26887955 - S68
Stapled Security
No

Announcement Details

Announcement Title
General Announcement
Date &Time of Broadcast
19-Jan-2015 19:50:48
Status
New
Announcement Sub Title
More retail activity in higher-priced stocks after SGX cuts board lot size
Announcement Reference
SG150119OTHRJD4I
Submitted By (Co./ Ind. Name)
Carolyn Lim
Designation
Vice President, Marketing & Comms
Description (Please provide a detailed description of the event in the box below)
Singapore Exchange (SGX) today reported increased retail activity in higher-priced stocks following the reduction in board lot size to 100 units effective 19 January 2015.

The activity in the Singapore stock market today has been encouraging, suggesting that retail investors have leveraged the 100-share board lots to access higher-priced stocks. In addition, although it is a holiday in the US markets today, our turnover grew 4% compared with the same holiday a year earlier. said Jenny Chiam, Head of Securities at SGX.

Of the eight Straits Times Index component stocks priced above S$10 each, 70% of the orders were of 1,000 shares and below. This compared with an average of 51% of orders at the minimum 1,000 share lot in October to December 2014.

According to data on retail-focused brokers, stocks which had the most orders below 1,000 shares included Keppel Corporation, DBS, Jardine Matheson Holdings, Jardine Strategic Holdings and UOB. These shares also saw substantial proportion of 100-share orders.

For example, 25% of orders for Keppel shares were of 100 shares each, while 41% of orders for DBS were of 100 shares each. For Jardine Matheson and Jardine Strategic respectively, the proportions of 100-share orders were 61% and 27% respectively. For UOB, 9% of orders were of 100 shares each.

Shares worth $897 million were traded on SGX today compared with $862 million on 20 January 2014, which was Martin Luther King Day last year.

-End-

Attachments

20150119_End_of_day_Update.pdf
Total size =278K