11-09-2013, 08:59 AM
(11-09-2013, 08:40 AM)felixleong Wrote: contra should be banned
but revenues would be lost
contra or no contra for sgx stocks no diff because singapore bourse are not speculative at all, you need hot speculative market for contra to work before when clob exchange was still around it was a hot market because singapore and malaysian stocks where open to investors in both countries trading and volume was very high.
Also before the lowest price for any share on sgx is half cent or 0.05 now because of another decimal place the lowest price can go to 0.001 means to make money you have to buy a lot to make up for thin trades and with only T+2 for contra trades means it's a huge risk now.
I never contra stocks, but I do speculate so instead of using contra whatever I buy I must be able to pick it up so I reduce my risk and have the luxury of time to wait it out.