New Trading System unveiled by the Philippine Stock Exchange
New Trading System unveiled by the Philippine Stock Exchange
The Philippine Stock Exchange will switch to a New Trading System (NTS) today replacing the previous 15-year old Maktrade system implemented when the Makati and Manila stock exchanges were unified.
This NTS, which the New York stock exchange uses, will introduce new “pre-opening” and “pre-closing” sessions wherein using prices of last transactions which may be unduly high will not be used anymore. Another feature would be on the daily trading limits for orders where 2 limits would be implemented, static and dynamic thresholds.
For static thresholds, which used to be known as the floor and ceiling prices, the upper limit is 50% above the reference price, while the lower limit is 50% below the reference price. The reference price is the previous day’s closing price.
On the other hand, an order entered which breaches the Dynamic Threshold will cause that particular security to be frozen by the PSE thereby stopping all trades until the PSE reactivates the security with a new dynamic threshold.
This NTS is part of the PSE’s commitment to enhance the trading experience and support systems for all investors, PSE support groups
