The six-month extension will allow Bursa Malaysia to reinforce its management measures for intraday quick promoting actions with a purpose to promote market stability.
Malaysia’s SC (Securities Fee) and Bursa Malaysia have introduced an extension of the short-term suspension on Intraday Brief Promoting (IDSS) and intraday quick promoting by Proprietary Day Merchants (PDT Brief Sale) to 29 August 2021.
Brief-selling restrictions have been introduced in March 2020, as a part of efforts to mitigate potential dangers arising from heightened volatility and international uncertainties.
The short-term suspension of Regulated Brief Promoting (RSS) was allowed to expire on 31 December 2020, and RSS was re-introduced on 1 January 2021 with enhanced management measures to make sure stability and keep investor confidence.
The short-term suspension of IDSS and PDT Brief Sale was allowed to stay in place and is because of expire on 28 February 2021. This will likely be prolonged six months to 29 August 2021.
“The extra six-month suspension of IDSS and PDT Brief Sale, that are used primarily as a day buying and selling technique, will allow Bursa Malaysia to reinforce the management measures for intraday quick promoting actions with a purpose to promote market stability and strengthen the integrity of the capital market,” the SC and Bursa stated in an announcement.
The SC and Bursa Malaysia will proceed to observe developments affecting the securities market and consider the adequacy of current measures to assist a good and orderly market in addition to mitigate potential dangers, the assertion stated.