Q3-2010 New trading rules

The CMB amended some of ISE stock market trading rules with its decision (dated 23 July 2010 and numbered 21/657) (the “Decision”). According to the Decision, all companies traded on the ISE will be classified into three groups (A, B or C). The trading rules are differentiated based on this classification. For example, Group B and Group C stocks cannot be subject to margin trading and short sales. Such classification will not affect the current ISE market segments. According to the CMB, the Decision aims to ensure conditions preventing the formation of artificial prices, support efficient price discovery and protect investors’ rights. The rules are effective as of 1 October 2010.

 

 

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