Rulebooks: Contents

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CDP Clearing Rules
Rule 1 — Application and Definitions
Rule 2 — Administration
Rule 3 — Membership
Rule 4 — Appointment of Chief Executive Officers and Directors
Rule 5 — Financial/Capital Requirements
Rule 5A — Position Accounts
Rule 6 — Clearing and Settlement between Clearing Members and CDP
Rule 6A — Margin Requirements
Rule 6B — Collateral
Rule 6C — Payments
Rule 7 — Clearing Fund
Rule 8 — Default Rules
Rule 9 — Suspension or Restriction of Clearing
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Rule 11 — Supervisory Rules
Rule 12 — Foreign Market Links
Rule 13 — General
Rule 14 — Transitional Provisions
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CDP Settlement Rules
DVP Rules [Entire Rulebook has been deleted]
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Archive
Rule Amendments

  Versions
(4 versions)
 

6.7.4 Buying-In Procedures

Past version: effective from Jun 15 2011 - Apr 21 2013.
To view other versions open the versions tab on the right.

(1) CDP shall schedule a time for commencement of buying-in and inform Clearing Members of the scheduled time via circular. On the day of buying-in, CDP shall, as far as practicable, by the scheduled time for commencement of buying-in, enter into the Trading System a list of securities to be bought-in, naming the security, the number to be bought, the short Clearing Member and the proposed price. CDP shall, at least 3 working days before changing the scheduled time for commencement of buying-in, inform Clearing Members of the details of such change via circular.
(1A) If CDP is of the opinion that, due to an emergency on a particular day, buying-in is unlikely to commence at the scheduled time, CDP shall, via circular and the electronic trading platform provided by the Exchange, inform Clearing Members of the following matters:
(a) that buying-in will not commence at the scheduled time; and
(b) after assessing the impact of the emergency, the estimated time at which the delayed buying-in will commence.
In any case where the commencement of buying-in is delayed, the delayed buying-in shall only commence at least 30 minutes after the original scheduled time.
(2) Where the securities to be bought-in are in excess of a board lot, the selling Clearing Member may deliver a board lot or a multiple thereof in reduction of the securities to be bought-in.
(3) For physical securities to be bought-in, when the offer by the selling Clearing Member exceeds the buy-in quantity, it shall not stop CDP from buying-in.
(4) CDP shall have the discretion not to buy-in any security in which case CDP shall remove such security from the list shown in the Trading System.
(5) The buying-in bid price, as determined by CDP, will be 2 minimum bids above the highest of the closing price of the previous day, the reference transacted price or the reference bid price.
For the purpose of this Rule, the reference transacted price and the reference bid price will be any of the last transacted prices and bid prices in the 1 hour preceding the commencement of buying-in, as determined by CDP.
(6) Subject to paragraph (1A), buying-in shall commence at the time scheduled by CDP on the Settlement Day or the following and successive Market Days and sellers may offer for immediate delivery any securities shown in the list, the first offer at the price bid to be matched by the Trading System. Offers may be in whole or in part of any particular security to be bought-in, provided that where only part is being offered, such part shall be in board lots.
(7) If the securities are not obtained, CDP shall have absolute discretion to raise the price bid by 2 minimum bids, as determined by SGX-ST, from time to time throughout the Settlement Day until the securities are bought or delivered to CDP.
(8) If the securities cannot be obtained during the Settlement Day, the buying-in shall continue on the following and successive Market Days at 2 minimum bids, as determined by SGX-ST, higher than the buying-in bid price at the close of the Settlement Day or the previous Market Day, and thereafter CDP shall have absolute discretion to raise the buying-in bid price by 2 minimum bids, as determined by SGX-ST, from time to time throughout the Market Day until the securities are bought or delivered to the CDP.
(8A) If the securities cannot be obtained by the close of the second Market Day, CDP may require the short Clearing Member to procure the securities within the time stipulated by CDP.
(9) CDP shall have power to suspend the increase in bids if it is considered advisable.
(10) For physical securities, the selling Clearing Member, unless it is the purchaser in the original trade, shall deliver the securities to CDP before 1.00 p.m. for buying-ins effected in the morning trading session and by 4.00 p.m. for buying-ins effected in the afternoon trading session on the same Market Day. CDP shall pay the selling Clearing Member by 11.00 a.m. on the following Market Day.
(11) For book-entry securities, CDP shall debit the securities from the selling investor's Securities Account or sub-account or the selling Clearing Member's Stock Account, as the case may be, during the settlement run on the same Market Day the buying-in was effected. CDP shall pay the seller's Clearing Member on the following Market Day. This payment shall be set-off against the amounts that such Clearing Member is obliged to pay CDP on the following Market Day, in accordance with Rule 6.3.1.
(12) [Rule has been deleted.]

Amended on 27 March 2007, 3 April 2008, 20 November 2009 and 15 June 2011.