Singapore Exchange Limited (SGX) is to raise the maximum clearing fee (or fee cap) for securities trades above $200,000 from $100 to $200 with effect from 1 December 2001. The current clearing fee of 0.05% of the contract value will be maintained.
Currently, the exchange charges a single, bundled clearing fee, subject to a cap of $100, for the full range of post-trade services in the securities market. These services are provided by The Central Depository (CDP), the securities clearing and depository unit of SGX. They include clearing, settlement and custody, as well as the central counterparty guarantee for the settlement of all securities trades.
SGX expects the increased cap on securities clearing fees to impact its total operating revenue by between two and seven per cent.