5.1.1
To be eligible for registration as a Designated Market-Maker, an applicant must be a Corporation that is deemed appropriate by SGX-ST.
5.2.1
To become a Designated Market-Maker in respect of Specified Securities, an applicant must apply to SGX-ST in the form SGX-ST prescribes.
5.2.2
SGX-ST may, in its absolute discretion, approve or reject an application to be a Designated Market-Maker. SGX-ST is not obliged to give any reasons.
5.2.4
Without derogating from Rule 5.2.2, SGX-ST may reject an application to be a Designated Market-Maker if:—
Amended on 12 October 200512 October 2005 and 19 May 201419 May 2014.
5.3.1
If SGX-ST rejects an application to be a Designated Market-Maker, the applicant may, within 14 days after it is notified of SGX-ST's decision, appeal in writing to the SGX RegCo Board whose decision will be final.
Amended on 15 September 201715 September 2017.
5.4.1
An applicant approved by SGX-ST as a Designated Market-Maker will have its name entered in the Register of Designated Market-Makers. SGX-ST will notify all Designated Market-Makers and Trading Members of the effective date of the Designated Market-Maker's registration.
5.5.1 Compliance
A Designated Market-Maker must:—
5.5.2 Proprietary Accounts
A Designated Market-Maker may make a market in Specified Securities for 1 or more of the following:—
In this Rule, an Associated Corporation means any body corporate formed in or out of Singapore in which the Designated Market-Maker and its related corporations hold directly or indirectly a beneficial interest of not less than 20% of the issued share capital.
Amended on 29 December 201429 December 2014.
5.5.3 Bid and Offer Quotations
A Designated Market-Maker must publish on the Trading System competitive bid and offer quotations:—
Refer to Directive No. 3.
Amended on 3 April 20083 April 2008.
5.5.4 Execution of Trades
If a Designated Market-Maker is not a Trading Member, its trades in any Specified Securities must be routed through a Trading Member.
5.5.5 Market-Making Representative
A Designated Market-Maker must appoint at least 1 person as its market-making representative to receive and execute orders on its behalf. The person must be registered with SGX-ST as a market-making representative.
5.5.7 Auditors' Report
If asked, a Designated Market-Maker must provide an independent auditors' report to SGX-ST. This is for SGX-ST to review the Designated Market-Maker's performance or suitability as a Designated Market-Maker. The report may relate to the Designated Market-Maker's financial standing, personnel or internal control procedures.
5.5.8 Payment
A Designated Market-Maker must pay all fees, levies and charges SGX-ST prescribes. SGX-ST may reduce or waive any fee, levy or charge.
5.5.9 Notification of Adverse Changes
A Designated Market-Maker shall immediately notify SGX-ST if any of the following occurs, or is likely to occur:
Added on 27 May 201327 May 2013.
5.6.2
Specified Securities which have been suspended from trading or subject to a trading halt cease to be traded on the Trading System.
Amended on 3 April 20083 April 2008.
5.6.3
Except with SGX-ST's approval, a Designated Market-Maker must not make a market in a Specified Security which is suspended or subject to a trading halt. SGX-ST may specify conditions under which the Designated Market-Maker is permitted to do so.
5.6.4
If SGX-ST imposes restrictions on trades in any Specified Securities, a Designated Market-Maker must not make a market in Specified Securities that will breach the restrictions.
5.7.1
SGX-ST may suspend or restrict the activities of a Designated Market-Maker for such period as SGX-ST specifies if the Designated Market-Maker:—
Amended on 3 April 20083 April 2008 and 8 October 20188 October 2018.
5.8.1
SGX-ST may revoke the registration of a Designated Market-Maker in the circumstances under Rules 5.7.1(1)–(7) or if the Designated Market-Maker:—
5.9.1
If SGX-ST takes action against a Designated Market-Maker under Rule 5.7.1 or 5.8.1, it will inform the Designated Market-Maker in writing. Such action shall be effective on the date specified in the written notification.
5.9.2
If SGX-ST revokes the registration of a Designated Market-Maker under Rule 5.8.1, the Designated Market-Maker may, within 14 days after it is notified of SGX-ST's decision, appeal in writing to the SGX RegCo Board whose decision will be final.
Amended on 15 September 201715 September 2017.
5.10.1
A failure to comply with Chapter 5, or any applicable Rules or Directives, is a breach and may be subject to disciplinary action.
5.10.2
A Designated Market-Maker and a registered market-making representative are bound by the Supervisory Rules in Chapter 14 of these Rules and must comply with any disciplinary decision as if it were a Trading Member and he or she were a Trading Representative respectively.
Amended on 23 January 200923 January 2009.
5.11.1 Procedures
5.11.2 Acceptance of Resignation by SGX-ST
SGX-ST needs not accept the resignation of a Designated Market-Maker if it is:—
5.11.3 Deletion from Register
If SGX-ST accepts a Designated Market-Maker's resignation, the Designated Market-Maker's name will be deleted from the Register of Designated Market-Makers upon the effective date of resignation.
5.12.1
A former Designated Market-Maker remains liable to SGX-ST and its customers (if applicable) for any liabilities incurred under the Rules or Directives during the period of its registration in respect of a Specified Security. The former Designated Market-Maker also remains subject to disciplinary action for any offence committed during the period of its registration.