Singapore Automatic Quotation and Trading System
The Singapore Automatic Quotation and Trading System (SAQTS) is an integrated trading platform, providing investors with a seamless, secure, and accessible means to trade multiple different asset classes, including equities and derivatives. The system was developed by the Monetary Authority of Singapore (MAS) to promote market transparency and efficiency in the local securities market.
The system allows investors to access real-time price quotes and analyze market trends, as well as placing transactions in equity and derivative contracts. Investors can also access the settlement of transactions, which can be facilitated by the MAS.
The SAQTS was developed in 2005, with an initial focus on enabling institutional investors to gain access to the Singapore stock market. The platform was gradually opened for retail investors in 2008, with a series of regulatory changes to make the securities market more accessible to them.
In 2009, the MAS opened up the platform to include sovereign debt instruments as part of its efforts to diversify Singapore’s investment landscape. In 2011, other regional and international markets were gradually added in an effort to enhance the SAQTS’s scalability and international exposure.
Since its introduction, the system has undergone several upgrades, with the most recent upgrade completed in April 2018. The new features include multi-asset trading capabilities, a seamless workflow integration with third-party trading systems, and a full suite of risk management and order routing tools.
The platform also includes a comprehensive suite of analytics tools, allowing users to monitor and analyze market trends, access analytics reports and utilize quantitative strategies. This gives traders the ability to create sophisticated trading strategies and develop informed investment decisions.
The SAQTS is seen as a major step forward in the development of Singapore’s capital markets. It helps provide deep liquidity and transparent price discovery for investors and encourges efficient price formation in the markets.
In addition, the platform assists market makers in accessing multiple outlets for their quotes and offers access to a diverse range of products and services. It also helps reduce frictional costs in transactions and ensures the highest possible level of security and reliability to all market stakeholders.
Overall, the SAQTS has revolutionised the way investors interact with the Singaporean securities market. The system offers a robust and secure trading platform that is useful for both institutional and retail investors. Through its suite of features and tools, the platform has enabled the Singaporean securities market to have improved accessibility, depth of liquidity, and enhanced market efficiency.
