Market participants interested in performing clearing functions may apply for admission as members of The Central Depository (CDP). Members of CDP have clearing rights and will provide third party clearing services for SGX Securities Trading (SGX-ST) members, or for themselves if they also have trading rights. Market participants who wish to hold trading rights, may apply to be admitted as members of SGX-ST. They will perform trading functions and have their trades cleared by a member with clearing rights. Existing SGX-ST Clearing Member Companies, who trade and clear securities, will hold both trading and clearing rights and will remain as members of both SGX-ST and CDP.
Mr Ang Swee Tian, SGX President, commented, "We are pleased to offer this new membership structure. It allows market participants greater flexibility in the way they can structure their businesses and choose how they wish to operate in the equities market. This is part of our efforts to attract more players to participate in our market and a significant step towards our vision to become the choice securities and derivatives market for local and international players."
