<TABLE border=0 cellSpacing=0 cellPadding=0 width="100%"><TBODY><TR>SGX conducts rigorous surveillance
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<!-- START OF : div id="storytext"--><!-- more than 4 paragraphs -->I REFER to the commentary, 'Time to review pre-close trading routine' (April27), and the Forum Online letter by Mr Narayana Narayana, 'Difficult but not impossible to tweak closing prices on bourse' (April 30).
The closing routine concentrates liquidity, facilitates price discovery and helps lessen volatility at closing. The resulting closing prices are representative of the market and not easily manipulated, although no closing routine offers a foolproof defence.
The Singapore Exchange (SGX) conducts rigorous surveillance and any transgressions are investigated thoroughly. Investigations are necessarily confidential and, depending on the conclusions, may also result in investigations by other agencies and possibly judicial proceedings. It is, therefore, inappropriate to discuss the findings of our ongoing investigations in the public realm.
In addition, we continually review market structure, including our closing routine, for improvement. Any modifications will have to be carefully assessed, as they can present fresh problems of their own.
We will consider the relevant issues and make enhancements where appropriate.
On the inclusion of Jardine Matheson Holdings in the Straits Times Index (STI), all FTSE Group indices, including the STI, are managed according to ground rules which ensure they are representative of the markets they cover and are in line with investors' needs.
There are transparent and clear rules on the subjects of nationality and liquidity. Jardine Matheson meets both rules and is, therefore, included in the STI. Details of the ground rules are available at the FTSE website at www.ftse.com/st Muthukrishnan Ramaswami
Senior Executive Vice-President
and Chief Operations Officer
Singapore Exchange
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<!-- START OF : div id="storytext"--><!-- more than 4 paragraphs -->I REFER to the commentary, 'Time to review pre-close trading routine' (April27), and the Forum Online letter by Mr Narayana Narayana, 'Difficult but not impossible to tweak closing prices on bourse' (April 30).
The closing routine concentrates liquidity, facilitates price discovery and helps lessen volatility at closing. The resulting closing prices are representative of the market and not easily manipulated, although no closing routine offers a foolproof defence.
The Singapore Exchange (SGX) conducts rigorous surveillance and any transgressions are investigated thoroughly. Investigations are necessarily confidential and, depending on the conclusions, may also result in investigations by other agencies and possibly judicial proceedings. It is, therefore, inappropriate to discuss the findings of our ongoing investigations in the public realm.
In addition, we continually review market structure, including our closing routine, for improvement. Any modifications will have to be carefully assessed, as they can present fresh problems of their own.
We will consider the relevant issues and make enhancements where appropriate.
On the inclusion of Jardine Matheson Holdings in the Straits Times Index (STI), all FTSE Group indices, including the STI, are managed according to ground rules which ensure they are representative of the markets they cover and are in line with investors' needs.
There are transparent and clear rules on the subjects of nationality and liquidity. Jardine Matheson meets both rules and is, therefore, included in the STI. Details of the ground rules are available at the FTSE website at www.ftse.com/st Muthukrishnan Ramaswami
Senior Executive Vice-President
and Chief Operations Officer
Singapore Exchange
