PSE gets SEC approval for revised trading rules

April 25, 2010 12:41 pm 

MANILA, April 25 — The Philippine Stock Exchange (PSE) has secured the approval of the Securities and Exchange Commission (SEC) for its revised trading rules which would support the Exchange’s plan to migrate to a new and more robust trading system this year.

In a letter to the PSE, SEC director Jose P. Aquino said the SEC Commission en Banc approved the revised trading rules with certain amendments.

The salient features of the revised trading rules include the introduction of the pre-close session to determine the day’s closing price for the securities; adoption of a reduced tick size (price fluctuation) and board lot; real-time monitoring of foreign ownership; new order and validity types; and the standardization of the account code, among others.

In 2008, the PSE acquired the new trading system (NTS) from the New York Stock Exchange Technologies SAS, a wholly-owned subsidiary of NYSE Euronext, which is in turn a holding company created by the merger of the NYSE Group Inc. with Euronext NV.

“Together with the revised trading rules, the new technology will allow the PSE to introduce new products such as derivatives and commodities and improve the speed and efficiency at which stocks are transacted at the stock market,” PSE chief operating officer Val Antonio B. Suarez said.

The PSE is the country’s only stock exchange with 250 listed companies and 184 trading participants.

The SEC conferred self-regulatory organization status to the PSE in 1998.

In 2003, PSE shares were listed by way of introduction and the company currently has a market capitalization of approximately P9.3 billion (USD204 million).

With its principal office at the Ortigas Central Business District, the PSE maintains two trading floors in Makati City and Pasig City.(PNA)

LDV/PFN

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