Alternative Trading System (ATS) Nextrade (NXT) has decided to align the timing for resuming trading of stocks that were temporarily suspended due to major disclosures with the Korea Exchange.
On September 9, Nextrade announced that it had revised and published its operational regulations to this effect. The amended regulations took effect on the same day.
This measure was taken in response to investor confusion caused by the previously different timings for trading resumption between the two exchanges.
Previously, HD Hyundai Heavy Industries and HD Hyundai Mipo Dockyard announced a merger plan after market close on August 27, resulting in a trading halt on the Korea Exchange until 9:00 a.m., the opening of the regular session the next day. However, on Nextrade, trading for these stocks was executed for one hour from 8:00 a.m. to 9:00 a.m. on August 28.
A Nextrade representative stated, "We have aligned the trading resumption timing after investors experienced confusion due to differences in the handling process between Nextrade and the Korea Exchange," adding, "We will work more closely together in the future to prevent a recurrence."
Additionally, Nextrade has improved its standards to allow for flexible changes to the list of stocks eligible for trading if the trading volume on the previous day is likely to exceed the trading threshold.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
