ASEAN Trading Link participation to help region compete with bigger markets
Bursa Malaysia and SGX’s link-up via ASEAN Trading Link expected to contribute to an increase in trade volume, which could in turn help attract liquidity and capital into both markets. September 21, 2012 | Magessan RajIn an attempt to attract individual investors and bolster volumes, Bursa Malaysia (formerly the Kuala Lumpur Stock Exchange) and the Singapore Exchange (SGX) have connected their exchanges via the ASEAN Trading Link to offer cross-border trading to investors from both countries. An initiative by the ASEAN Exchanges – a collaboration of seven ASEAN stock exchanges – the ASEAN Trading Link platform aims to boost regional capital markets and offer more investment opportunities for investors. Bursa Malaysia and SGX have already started offering services on September 18, 2012, with the Stock Exchange of Thailand (SET) expected to join in October. Together, Bursa Malaysia, SGX and SET offer trading in nearly 3,000 companies with a market capitalisation reaching $1.4 trillion, accounting for 70% of the total market capitalisation of the ASEAN Exchanges group, which includes the Indonesia Stock Exchange, the Philippine Stock Exchange, the Hanoi Stock Exchange and the Hochiminh Stock Exchange. Commenting on the significance of the ASEAN Trading Link in promoting growth of the ASEAN capital market, Bursa Malaysia chairman Dato’ Tajuddin Atan said, “The ASEAN Trading Link marks the first key milestone for ASEAN Exchanges towards breaking down the barriers to cross-border trade in ASEAN. The ASEAN Trading Link is an excellent conduit to tap the region’s growth opportunities as it allows investors an easy access to a wider investment selection across the connected markets.” The idea for the link-up was first proposed five years ago, with the target implementation date having been pushed back a number of times ever since. Indeed, the successful link up between SGX and Bursa Malaysia is expected to contribute to an increase in trade volume, which could in turn help attract liquidity and capital into both markets. If current market sentiments are anything to go by, recent feedback certainly seems encouraging, with market watchers and analysts opi... Please login to read the complete article. If you already have an account, you can login now or subscribe/register.
Categories: Exchanges, Markets & Exchanges, Transaction BankingExchanges,Markets Exchanges,Transaction Banking, Exchanges,Markets & Exchanges,Transaction Banking, Keywords:Bursa Malaysia, SGX, SET, ASEAN Trading Link, Reyl Singapore, Tajuddin Atan, Daryl Liew, Magnus Bocker Bursa Malaysia, SGX, SET, ASEAN Trading Link, Reyl Singapore, Tajuddin Atan, Daryl Liew, Magnus Bocker
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