With Singapore now a leading financial center in the Asia-Pacific, the Singapore Exchange has
become one of the premier exchanges in its region. The SGX has approximately 659
companies listed on its exchange, and has a market capitalization of $398.4
billion. It is a highly international exchange, with 40 percent
of its market capitalization coming from foreign companies.
The SGX divides its company listings
into the SGX Mainboard and the SGX SESDAQ. The Mainboard lists companies that
meet certain requirements including market capitalization, pre-tax profits, and
operating track record. The SESDAQ, on the other hand, is for newer companies
and there are no quantitative requirements for listing. Companies listed on the
SESDAQ may apply to be moved to the Mainboard if they have been listed for at
least two years and meet the minimum quantitative requirements.
The Singapore Exchange is a fully
electronic exchange, using the Central Limit Order Book (CLOB). Brokers place
orders online and when a buy and sell order match, the system automatically
executes the order and notifies the brokers. Trades that are not executed by
the end of the day are terminated. Shares are typically traded in lots of 1000.
The Singapore Exchange is also well
known for its trading in a variety of derivative securities via SGX-DT. It was
the first exchange in Asia to offer equity index futures, and now offers the
world's widest range of Asian index futures.
For more information, consult the SGX website:
http://au.advfn.com/StockExchanges/about/SGX/SingaporeExchange.html