Practice Note 8.10.1 — Characteristics of Suspension and Trading Halt

Past version: Effective up to 20 Sep 2011

Issue Date Cross Reference Enquiries
Amended on 3 April 20083 April 2008. Rules 8.10.18.11.1 Please contact:

Member Supervision
Facsimile No : 6538 8273
E-Mail Address: membersup@sgx.com

Market Control
Mr Low Lee Kiang 6534 1703

This Practice Note explains the characteristics of a suspension and a trading halt.

ITEM CHARACTERISTIC SUSPENSION TRADING HALT
1 Initiating party A suspension can be imposed by SGX-ST under the circumstances stated in Rule 8.10.1. An Issuer may also request a suspension if its request for extension of a trading halt under Item 3 is not approved by SGX-ST. A trading halt is imposed at the request of an Issuer, usually before making a material announcement to the market.
2 Status of unmatched orders All unmatched orders in a suspended security or Futures Contract in the Trading System lapse. During a trading halt, all existing orders in the ready and unit share markets remain valid. Orders can still be entered, reduced in quantity or withdrawn in the ready and unit share markets but are not matched. If a trading halt is not lifted by the end of a Market Day, all unmatched orders lapse.
3 Duration of suspension or trading halt A suspension is usually for a prolonged period. A trading halt is usually intra-day, with a minimum duration of 1 hour. SGX-ST may extend the duration of a trading halt beyond 3 Market Days upon the Issuers' request.
4 Upon lifting of suspension or trading halt Upon lifting of a suspension, the suspended security or Futures Contract will enter into an Adjust Phase for at least 15 minutes. During this Adjust Phase, orders can be entered, reduced in quantity or withdrawn for the ready and unit share markets. At the end of this Adjust Phase, orders that can be matched will be matched at a single price computed based on the algorithm set by SGX-ST. Unmatched orders are carried forward into the respective phase the market is in when the Adjust Phase ends. Upon lifting of a trading halt, orders that can be matched will at a single price computed based on the algorithm set by SGX-ST. Unmatched orders are carried forward into the respectiv e phase t he market is in when the trading halt is lifted.