Dec 15, 2014

    No need for independent inquiry into SGX snafus

    I REFER to the report "Inquiry into SGX snafus 'should be independent' " (My Paper, Dec 4), which stated that the Small and Middle Capitalisation Companies Association (SMCCA) has called for an independent inquiry into recent disruptions of the Singapore stock market after Dec 3's delayed market opening.

    This is not necessary as a board of inquiry - consisting of independent directors of the Singapore Exchange (SGX) - has already been formed to look into the latest snafu and the earlier breakdown on Nov 5.

    I am sure the board of inquiry will get the necessary expertise from within and outside SGX to carry out its investigations, and will be as independent as it can be.

    Trading disruptions occur now and then, even in the best-run exchanges, and SMCCA made it sound ominous when it suggested that these two incidents could be the "first signs of something with deeper implications".

    It is too early to pre-judge these two incidents. Let the board of inquiry do its job and complete its investigations instead of jumping to any conclusions.