Whole Section

  • Chapter 8 — Trading

    • 8.2 Trading Hours

      • 8.2.1

        The trading hours and the application of the market phases are as published by SGX-ST. SGX-ST may vary the trading hours and application of the market phases.

        Refer to Practice Note 8.2.1.

      • 8.2.2

        The market phases are as follows:—

        (1) Pre-Open/Pre-Close

        This phase allows order entry, order modification, and withdrawal of orders but no matching of orders.
        (2) Non-Cancel

        No order entry and amendment are allowed in this phase. All existing orders are matched at a single price according to the algorithm set by SGX-ST. All unmatched orders, except at the close of trading, are carried over to the next phase.
        (3) Trading

        This phase allows order entry, order modification, and withdrawal of orders. All orders are matched in accordance with price priority, subject to Rule 8.10A, followed by time priority.
        (4) Adjust

        This phase allows order entry, order modification, and withdrawal of orders. At the end of the phase, orders will be matched at a single price based on the algorithm set by SGX-ST. All unmatched orders will be carried over to the next phase.

        Refer to Practice Note 8.2.2.

        Amended on 24 February 201424 February 2014 and 16 September 201616 September 2016.

    • 8.2A Closing Price of Prescribed Instrument

      • 8.2A.2

        The closing price of a Prescribed Instrument shall be determined in accordance with the relevant formula and procedures applicable to each Prescribed Security, as determined by SGX-ST from time to time. In arriving at such formula and procedure, SGX-ST may take into account factors, including but not limited to:

        (1) the last traded price;
        (2) prevailing bids and offers during the trading phase and/or closing routine; and/or
        (3) price data derived from pricing models, as selected or established by SGX-ST from time to time.

        Refer to Practice Note 8.2A.2.

        Added on 24 February 201424 February 2014 and amended on 8 October 20188 October 2018.

      • 8.2A.4

        Without limiting Rule 2.4.1, SGX-ST (including SGX-ST's subsidiaries, related companies and holding company), its Directors, Officers, employees and agents make no warranty, express or implied, and shall have no liability to any person in respect of, or in connection with, the closing price of a Prescribed Security, including without limitation:

        (1) the accuracy, reliability or timeliness of the closing price of a Prescribed Security;
        (2) the merchantability and fitness of the closing price of a Prescribed Security for a particular purpose;
        (3) any direct, special, punitive, indirect or consequential damages (including lost profits) in relation to use of or reliance on the closing price of a Prescribed Security, even when notified of the possibility of such damages; and/or
        (4) any errors, omissions or delays in calculating, determining or disseminating the closing price of a Prescribed Security.

        Added on 24 February 201424 February 2014.

    • 8.3 Orders

      • 8.3.1

        Except for the unit share market, the minimum order size is 1 board lot. Orders may be in multiples of a board lot.

      • 8.3.2

        An order for the unit share market may be matched in any quantity of less than 1 board lot.

      • 8.3.3

        Unless otherwise determined by SGX-ST, the minimum bid size of the following products shall be as follows:

        S/N Product Price Range ($) Minimum Bid Size ($)
        1 Stocks (excluding preference shares), Real Estate Investment Trusts (REITS), business trusts, company warrants and any other class of securities or futures contracts not specified in this Rule 8.3.3 Below 0.20 0.001
        0.20–0.995 0.005
        1.00 and above 0.01
        1A Structured warrants Below 0.20 0.001
        0.20–1.995 0.005
        2.00 and above 0.01
        2 Exchange traded funds and exchange traded notes All $0.01 or $0.001 as determined by SGX-ST
        3 Debentures, bonds, loan stocks and preference shares All $0.001

        For the avoidance of doubt, the minimum bid sizes above apply to securities and futures contracts denominated in all currencies, except the Hong Kong Dollar ("HKD"), Renminbi ("RMB") or Japanese Yen ("JPY"). For securities and futures contracts traded in HKD, RMB and JPY, the minimum bid sizes shall as far as practicable be aligned to the minimum bid sizes applicable in Hong Kong and Japan respectively.

        Amended on 24 December 200724 December 2007, 3 April 20083 April 2008, 4 July 20114 July 2011, 20 July 201220 July 2012, 13 November 201713 November 2017 and 8 October 20188 October 2018.

    • 8.4 Trading Basis of Securities

      • 8.4.1

        Unless otherwise indicated, trading of securities is on a "cum" basis.

      • 8.4.3

        A buyer (seller) of securities on an "ex" ("cum") basis has no right to that entitlement.

      • 8.4.4

        A buyer (seller) of securities on a "cum" ("ex") basis who has not received that entitlement may claim the entitlement from the seller (buyer).

    • 8.5 Inviolability of Contracts

      • 8.5.1

        A contract made on SGX-ST can be cancelled only in accordance with this Rule. For avoidance of doubt, a contract is not cancelled if:—

        1) delivery fails;
        (2) payment is not made on delivery; or
        (3) the share registrar refuses to register a transfer.
      • 8.5.2

        SGX-ST may cancel a contract in any of the following circumstances:—

        (1) the Trading Members to an error trade (Rule 8.6) have agreed to the cancellation;
        (2) if a material mistake led to the error trade (Rule 8.6) and SGX-ST is satisfied that the trade should be cancelled;
        (3) there is prima facie evidence of fraud or wilful misrepresentation in relation to the contract; or
        (4) in SGX-ST's opinion, it is desirable to cancel the contract to protect the financial integrity, reputation or interests of the markets established or operated by SGX-ST.
      • 8.5.3

        SGX-ST may impose any conditions it thinks appropriate for the cancellation of a contract.

      • 8.5.4

        SGX-ST may reprimand or impose a fine not exceeding $2,000 on a Trading Representative or Trading Member who causes a contract to be cancelled. Action under this Rule is in addition to other actions which SGX-ST is entitled to take against the Trading Representative or Trading Member.

    • 8.6 Errors

      • 8.6.1

        An error trade refers to a transaction effected on the Trading System as follows:

        (1) as a result of an error in the entry the volume of an order; or
        (2) as a result of an error in the entry of the price of an order; or
        (3) where SGX-ST deems the transaction to be an error trade.

        Amended on 3 April 20083 April 2008 and 15 September 201715 September 2017.

      • 8.6.2

        If an error trade occurs:—

        (1) the Trading Member who made the error must immediately contact the counterparty Trading Member and seek its agreement to cancel the trade;
        (2) both Trading Members must immediately take all necessary actions to minimise any potential market impact caused by the error trade; and
        (3) both Trading Members must inform SGX-ST of the error as follows:
        (a) by telephone within thirty (30) minutes from the time the error trade occurred; and
        (b) in writing on the same day that the error trade occurred. Written notification must include details of the security or futures contract name, price, volume, trade number and time of the error trade. The Trading Member who made the error must also provide reasons for the error.

        Amended on 3 April 20083 April 2008 and 8 October 20188 October 2018.

      • 8.6.3

        Where the Trading Members cannot agree to the cancellation of an error trade, a Trading Member may request SGX-ST to review the error trade. The following procedures apply:

        (1) the matter must be referred to SGX-ST within sixty (60) minutes from the time the error trade occurred or before 18:00 hours on that trading day, whichever is earlier; and
        (2) the requesting Trading Member must inform the counterparty Trading Member that it has referred the matter to SGX-ST.

        Amended on 3 April 20083 April 2008.

      • 8.6.3A

        Notwithstanding Rules 8.6.2(3) and 8.6.3(1), SGX-ST may in its discretion allow such extension of time for the submitting of information or requests relating to error trades as it deems appropriate, taking into account:

        (1) the number of error trades referred to SGX-ST pursuant to Rule 8.6.3;
        (2) the complexity of the circumstances surrounding the error trade(s); and
        (3) any other factors which SGX-ST considers relevant.

        Added on 24 February 201424 February 2014.

      • 8.6.4

        SGX-ST will not review an error trade referred to it by a Trading Member, where the error trade falls at or within the upper and lower limits of a no-cancellation range applied pursuant to Rule 8.6.4A

        Amended on 24 February 201424 February 2014.

      • 8.6.4B

        SGX-ST retains the discretion to apply or remove no-cancellation ranges from instruments listed for trading on SGX-ST.

        Added on 24 February 201424 February 2014.

      • 8.6.7

        The requesting Trading Member must pay a trade review fee of $1,000 for each referral accepted for review by SGX-ST, regardless of the outcome of the review.

        Amended on 24 February 201424 February 2014.

      • 8.6.8

        Notwithstanding Rule 8.6.7, SGX-ST may grant a waiver of the trade review fee where it deems appropriate.

      • 8.6.9

        Notwithstanding Rules 8.6.4, 8.6.13, 8.6.13A and 8.6.13B, SGX-ST may review the validity of any transaction effected on the Trading System where SGX-ST deems that the cancellation of the error trade is necessary for the proper maintenance of a fair and orderly market.

        Amended on 24 February 201424 February 2014.

      • 8.6.12

        SGX-ST may consider the following factors when deciding whether to cancel an error trade under Rules 8.6.13, 8.6.13A and 8.6.13B:

        (1) the difference between the price at which the error trade was done and the preceding traded price of the security or futures contract;
        (2) the market liquidity in the security or futures contract at the time the error trade occurred;
        (3) where the trade involves a futures contract, the trading behaviour of the underlying security;
        (4) the monetary loss involved if the trade is or is not cancelled;

        (5) the difference between the time the erroneous order was entered and the time it was matched;
        (6) the number of counterparty customers involved;
        (7) whether the force key was used when entering the erroneous order into the Trading System;
        (7A) the impact on the settlement process;
        (7B) in the case of bonds, the rating, interest rate, coupon rate, maturity date and yield curve;
        (8) the reason(s) given for the error; and
        (9) any other factors which SGX-ST considers relevant.

        Amended on 24 February 201424 February 2014 and 8 October 20188 October 2018.

      • 8.6.13

        Error trades in structured warrants that are referred to SGX-ST will be reviewed in accordance with the following Rules:

        (1) For the purposes of Rule 8.6.4A, the no-cancellation range for structured warrants is determined as the wider of the following:
        (a) a lower limit of twenty (20) minimum bid sizes less than the Reference Price, and an upper limit of twenty (20) minimum bid sizes higher than the Reference Price; or
        (b) a lower limit of 75% of the Reference Price, and an upper limit of 125% of the Reference Price.
        (2) The Reference Price of the no-cancellation range for structured warrants will be determined as follows:
        (a) the average of the last quoted bid price and the last quoted offer price for the structured warrant immediately preceding the error trade; or
        (b) the average of the market prices as quoted by at least three (3) Designated Market-Makers of structured warrants. The Designated Market-Makers will be selected randomly by SGX-ST, but will not include any Designated Market-Maker who is involved in the error trade which is under review.
        (3) Where SGX-ST is of the view that no appropriate or reliable Reference Price is available, SGX-ST will not establish a no-cancellation range for that error trade.
        (4) Upon receiving a request to review an error trade involving structured warrants, SGX-ST will consider the validity of the error trade. SGX-ST may, in its discretion, make a determination that the error trade is to be cancelled, having regard to the factors set out in Rule 8.6.12.
        (5) For the purposes of this Rule 8.6, "structured warrants" includes any structured warrants, certificates and any other structured products listed under Chapter 5 of the SGX-ST Listing Manual, whether or not they are classified as futures contracts under the SFA.

        Amended on 24 February 201424 February 2014.

      • 8.6.13A

        Error trades in all other securities or futures contracts, excluding bonds, will be reviewed in accordance with the following Rules:

        (1) For the purposes of Rule 8.6.4A, the no-cancellation range for the security or futures contract is determined as the wider of the following:
        (a) a lower limit of twenty (20) minimum bid sizes less than the Reference Price, and an upper limit of twenty (20) minimum bid sizes higher than the Reference Price; or
        (b) a lower limit of 95% of the Reference Price, and an upper limit of 105% of the Reference Price.
        (2) Subject to Rule 8.6.13A(3), the Reference Price of the nocancellation range for the security or futures contract will be the price of the last good trade.
        (3) SGX-ST may, in its discretion, use an alternative price as the Reference Price for the no-cancellation range if:
        (a) the price of the last good trade is not available; or
        (b) SGX-ST deems the price of the last good trade to be unreliable or inappropriate as a Reference Price.

        (4) Where SGX-ST is of the view that no appropriate or reliable Reference Price is available, SGX-ST will not establish a no-cancellation range for that error trade.
        (5) Upon receiving a request to review an error trade involving the security or futures contract, SGX-ST will consider the validity of the error trade. SGX-ST may, in its discretion, make a determination that the error trade is to be cancelled, having regard to the factors set out in Rule 8.6.12.

        Added on 24 February 201424 February 2014 and amended 8 October 20188 October 2018.

      • 8.6.13B

        Upon receipt of a request to review an error trade in bonds, SGX-ST will consider the validity of the error trade. SGX-ST may, in its discretion, make a determination that the error trade is to be cancelled, having regard to the factors in Rule 8.6.12.

        Added on 24 February 201424 February 2014.

      • 8.6.17

        SGX-ST will:

        (1) notify the market of error trades reported to SGX-ST and whether an error trade remains valid or has been cancelled; and
        (2) notify the Trading Members who are counterparties to an error trade of its determination pursuant to Rules 8.6.13, 8.6.13A and 8.6.13B by telephone and in writing.

        Added on 24 February 201424 February 2014.

    • 8.7 Direct Business

      • 8.7.1

        A Trading Member may only execute Direct Business that is:—

        (1) at least:—
        (a) 50,000 units of securities or futures contracts, or in the case of Marginable Futures Contracts, 50,000 units of the underlying; or
        (b) $150,000 in terms of contract value;
        (2) a book-out trade from an error account to remedy an error; or
        (3) to complete a customer's order that was partially filled in the market, provided the original order met the minimum size in Rule 8.7.1(1) above.

        Amended on 3 April 20083 April 2008, 23 January 200923 January 2009 and 8 October 20188 October 2018.

      • 8.7.2

        Direct Business may be transacted between:—

        (1) 2 Trading Members;
        (2) 2 customers of a Trading Member; or
        (3) a Trading Member and its customer.
      • 8.7.3

        SGX-ST may vary the size or value of trades under this Rule.

      • 8.7.5

        Direct Business must be reported within 10 minutes of execution save that Direct Business executed after market close must be reported in the first 20 minutes of the Opening Routine on the following Market Day.

        Amended on 7 June 20107 June 2010 and 13 November 201713 November 2017.

      • 8.7.6

        SGX-ST may suspend Direct Business on any or all securities or futures contracts. SGX-ST may specify conditions under which Direct Business is permitted for securities or futures contracts.

        Amended on 3 April 20083 April 2008 and 8 October 20188 October 2018.

    • 8.8 Designated Instruments

      Amended on 8 October 20188 October 2018.

      • 8.8.1

        The Board may declare publicly a listed or quoted security or futures contract to be a "Designated Instrument" if, in its opinion, there has been manipulation of the security or futures contract (or its underlying), excessive speculation in the security or futures contract (or its underlying), or it is otherwise desirable in the interests of organised markets established or operated by SGX-ST.

        Refer to Practice Note 8.8.1.

        Amended on 3 April 20083 April 2008 and 8 October 20188 October 2018.

      • 8.8.2

        The Board may impose any conditions it thinks fit on dealing or trading in a Designated Instrument. A condition applies from the date of declaration to all contracts of the Designated Instrument entered into on or after the date of declaration, or as indicated by the Board. For avoidance of doubt, the conditions may include:

        (1) a requirement that Trading Members obtain margins from each customer in respect of the customer's dealing or trading in the Designated Instrument;
        (2) [deleted];
        (3) a restriction on dealing or trading in a Designated Instrument by a Trading Member if its outstanding contracts exceed 5% of the total issued shares or units of the relevant Issuer whose shares or units are designated or underlies the Designated Instrument, of the company whose securities comprise the underlying, or any other percentage the Board prescribes; or
        (4) a prohibition on any sale unless the seller holds the Designated Instrument, or in the case of a Designated Instrument that is a futures contract, the underlying. A seller holds a security or futures contract, or underlying if, at the time of sale, he has the security, futures contract or underlying in an account maintained with CDP, or delivers the share certificates and executed transfer forms to the Trading Member.

        Amended on 3 April 20083 April 2008, 1 July 20141 July 2014 and 8 October 20188 October 2018.

      • 8.8.3

        If asked, a Trading Member must give SGX-ST particulars of all its dealings or trades in Designated Instruments and of the customers involved. The Trading Member must do so by the next business day after being asked or as required.

        Amended on 3 April 20083 April 2008 and 8 October 20188 October 2018.

      • 8.8.4

        The Board may rescind or vary a declaration at any time. It will make the decision public.

    • 8.9 Corner

      • 8.9.1

        The Board may declare a corner in a listed or quoted security if, in its opinion:—

        (1) a single interest or a group has acquired control of enough of the supply of the security that it can only be obtained for delivery at prices, or on terms, dictated by the single interest or group; or
        (2) it is otherwise desirable in the interests of markets established or operated by SGX-ST.
      • 8.9.2

        The Board may impose any conditions it thinks fit on existing ready market or futures contracts on a cornered security or on dealing in a cornered security. For avoidance of doubt, the conditions may include:—

        (1) from time to time extending (or further extending) the due date for delivery; or
        (2) declaring that contracts will be cash settled (not delivered). The Board may direct the terms of the cash settlement or apply the following terms (in whole or in part) as it thinks fit:—
        (a) in the case of a seller who contracted to sell for less than the fair settlement price, the seller must pay the buyer the difference between the fair settlement price and the contract price;
        (b) in the case of a seller who contracted to sell for more than the fair settlement price, the buyer must pay the seller the difference between the contract price and the fair settlement price;
        (c) in the case of a buyer who contracted to buy for less than the fair settlement price, the seller must pay the buyer the difference between the fair settlement price and the contract price; and
        (d) in the case of a buyer who contracted to buy for more than the fair settlement price, the buyer must pay the seller the difference between the contract price and the fair settlement price.

        Amended on 3 April 20083 April 2008 and 8 October 20188 October 2018.

      • 8.9.3

        If the Board imposes a condition that contracts are to be cash settled, it must establish a Settlement Committee to advise on the fair settlement price.

      • 8.9.4

        A Settlement Committee must comprise no less than 5 persons, including at least:—

        (1) 2 members of the Board;
        (2) 1 public accountant; and
        (3) 1 advocate and solicitor.

        The quorum of the Settlement Committee is all members when the meeting proceeds to business, but the Settlement Committee may complete the business with any 3 present.

      • 8.9.5

        A Settlement Committee may include such other persons as the Board thinks fit.

      • 8.9.6

        A Settlement Committee may hear evidence as it thinks proper and relevant to the discharge of its functions.

      • 8.9.7

        A Settlement Committee must report its findings to the Board. The findings are advisory only. The Board will accept the Settlement Committee's recommendation on the fair settlement price, unless it has good reasons to reject it. The Board may refer a matter to the Settlement Committee for further consideration, before deciding on the fair settlement price.

    • 8.10 Suspension and Restriction of Trading

      • 8.10.1

        SGX-ST may suspend or restrict trading in any or all listed or quoted securities or futures contracts. It may do so for 1 or more markets or 1 or more trading sessions or any part of a trading session. It may do so in any of the following circumstances:—

        (1) in SGX-ST's opinion, the market is not orderly, informed or fair or circumstances are about to occur that may result in there not being an orderly, informed or fair market;
        (2) SGX-ST releases an announcement in relation to an Issuer which, in SGX-ST's opinion, is market sensitive;
        (3) an Issuer requests, and SGX-ST agrees to, the suspension;
        (4) access to the Trading System is generally restricted;
        (4A) where Rule 8.10A applies;
        (5) any of the circumstances in Rule 1303 of the SGX-ST Listing Manual apply;
        (6) functions of SGX-ST are, or are threatened to be, severely and adversely affected by a physical emergency such as fire, terrorist activities, power failures, communication or transportation breakdowns, or computer malfunctions; or
        (7) in SGX-ST's opinion, it is in the public interest.

        Refer to Practice Note 8.10.1.

        Amended on 3 April 20083 April 2008, 24 February 201424 February 2014 and 8 October 20188 October 2018.

      • 8.10.1A

        SGX-ST may restrict trading by such means as it considers appropriate, including placing the market into an Adjust Phase.

        Added on 16 September 201616 September 2016.

    • 8.10A Circuit Breakers and Cooling-Off Periods

      • 8.10A.3

        Where the Cooling-Off Period is activated pursuant to Rule 8.10A.2, the following will apply:

        (1) the incoming order referred to in Rule 8.10A.2 will not be matched with the existing order in the Trading System at a price outside the Circuit Breaker; and
        (2) such quantity of the incoming order which is not filled at the commencement of the Cooling-Off Period will be rejected by the Trading System.

        Added on 24 February 201424 February 2014.

    • 8.11 Trading Halts

      • 8.11.1

        A trading halt may be imposed by SGX-ST at the request of an Issuer.

        Refer to Practice Note 8.10.1.

      • 8.11.2

        A trading halt may be lifted by SGX-ST at any time.

      • 8.11.3

        A trading halt may be changed to a suspension by SGX-ST at any time.

      • 8.11.4

        A trading halt may be imposed for up to 3 Market Days or such other short extension as SGX-ST agrees.

      • 8.11.6

        A trading halt operates in the same way as an Adjust Phase.

      • 8.11.7

        Securities or futures contracts which are subject to a trading halt cease to be traded on the Trading System. Except with SGX-ST's approval, a Trading Member must not execute any transactions in a security or futures contract subject to a trading halt.

        Refer to Practice Note 8.10.3.

        Amended on 3 April 20083 April 2008 and 8 October 20188 October 2018.

    • 8.12 Suspension of Trading Member and Prohibition of Dealings

      • 8.12.1

        SGX-ST may prohibit or limit a Trading Member from entering orders on the Trading System for a period not exceeding 14 days if the Trading Member:—

        (1) fails to continue to satisfy the admission criteria;
        (2) defaults on any transaction in securities or futures contracts on SGX-ST; or
        (3) is, in SGX-ST's opinion, in operating difficulty.

        Amended on 3 April 20083 April 2008 and 8 October 20188 October 2018.

      • 8.12.2

        If SGX-ST takes action against a Trading Member under Rule 8.12.1, it will inform the Trading Member in writing.

    • 8.13 Open Interface Applications

      • 8.13.1

        A Trading Member who has access into the Trading System via SGXAccess or such other open interface applications must comply with the requirements SGX-ST prescribes.

        Amended on 3 April 20083 April 2008.