27 February 2018

On 6 February 2018, the Monetary Authority of Singapore (“MAS”) announced it will work together with the Securities Commission Malaysia (“SC”) to facilitate the establishment of a stock market trading link between Bursa Malaysia (“BM”) and Singapore Exchange (“SGX”) by the end of this year. The trading link will allow investors to trade and settle shares listed on each other’s stock market in a more convenient and cost efficient manner and retail investors in particular will benefit from the link.

This initiative follows from the efforts of the ASEAN Capital Markets Forum (ACMF) to deepen financial connectivity across the region’s capital markets. The bilateral link between BM and SGX will not only cover trading but also include post-trade arrangements such as the clearing and settlement of the stocks traded. MAS and SC will set up cross-border supervisory and enforcement arrangements, and work together with the two exchanges to operationalise the link. Each market will continue to be governed by its own listing, trading and clearing rules and regulations.

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