Everyone is showing how concerned they are over the second stoppage of SGX as if the end of the world is coming. Actually it was nothing more than a pimple. What should be really serious are the dying stock market and the consequences of the financial market and financial centre when the market goes kaput. But this has been going on for so long that the dying stage is accepted as normal and a dead stock market is something no one wants to know. Depending on one’s definition, the market to some has long been dead or in ICU.
So we have so many people acting angry, condemning the SGX. What happened to deregulation, self regulation and self inspection of pimples in one’s backside? These are the good things, the good stuff, the right stuff and in a way contributed to the recent lapses. No, not true, just a little bit of bad luck I supposed?
The only sensible call, or wake up call, is from the Small and Middle Capitalisation Companies Association to demand an independent inquiry. To the rest of the regulators or overseers, this is not necessary at all. Now, aren’t anyone curious why this Association suddenly finds it necessary to demand for an independent inquiry? Shouldn’t it be sufficient for SGX to conduct its own inquiry by appointing its own independent directors and senior officers or board of directors to do the same like the previous glitch? Why is this one so different that this Association is demanding an independent inquiry?
It is a good call and a necessary call. But at most it will find out the causes of pimples and acnes. Would anyone think it necessary to call for an independent board of inquiry on the fate of the SGX and why it is dying and when it is going to go kaput for good? Oops, this BOI is only necessary if people acknowledge that the market is dying. If people still believe that the market is doing roaring business and in the pink of health, any call for a BOI is simply superfluous.
Maybe this is an over exaggeration. The market will not die, will never die, as long as the computers are kicking and doing the buying and selling. Only the traders will die, the remisiers will die, but the broking houses will not die either, they would simply downsize or reduce in numbers. And everyone will still be having a party and singing hallelujah, Christmas is around the corner, let’s pop the champagne and celebrate another good year.
Chua Chin Leng AKA RedBean
*The writer blogs at http://mysingaporenews.blogspot.com/
Related:
2nd Delay in a Month Causes SGX to Open at 12.30pm Today