New SGX regulatory unit open to reviewing quarterly report requirement

The Singapore Exchange Regulation is an independent subsidiary set up by SGX.
The Singapore Exchange Regulation is an independent subsidiary set up by SGX. ST PHOTO: KUA CHEE SIONG

SINGAPORE - The Singapore Exchange Regulation (SGX RegCo) will review the existing market rules to ensure they are relevant and balanced.

Some of the things that may be looked at for adjustments include the requirement for listed companies to issue quarterly reporting, and the rules around minimum trading price, SGX RegCo chairman Professor Tan Cheng Han said on Thursday (April 27).

The newly formed entity is an independent subsidiary set up by the SGX to take over all the bourse's regulatory functions. It will likely start operating by August, taking charge of matters such as maintaining and updating listing and trading rules, investigation into rule breaches and enforcement actions.

Professor Tan stressed that the SGX RegCo will be independent of the SGX. The company management, led by Tan Boon Gin as chief executive, will report to a five-men board comprising of three fully independent directors. Currently Mr Tan is the chief regulatory officer of the SGX and his team functions as part of the bourse.

Being independent means the SGX RegCo will be free of "profit and loss concerns" that a SGX unit might have when juggling the roles of exchange and regulator, Professor Tan said.

Professor Tan, 52, was dean of the NUS Faculty of Law and a board member of the Accounting and Corporate Regulatory Authority.

Speaking to reporters on Thursday, he said the current regulations are robust, but he wishes to bring a fresh pair of eyes and see how things can be further improved.