Singapore to launch market reforms, sets minimum trading price

SINGAPORE, Aug 1 (Reuters): Singapore will implement wide-scale reforms to its equity market rules following a penny-stock scandal last year, its central bank and stock exchange announced on Friday.

After a three-month public consultation process that ended on May 2, the Monetary Authority of Singapore (MAS) and Singapore Exchange Ltd (SGX) agreed on a number of changes including minimum trading prices, new collateral rules, short-selling reporting, and new independent committees to examine listing applicants and impose regulatory sanctions.

From March 2015, Singapore will have a minimum trading price of S$0.20 ($0.16) for main board-listed issuers and a transition period of 12 months.