Currently, ATO and ATC orders are given priority over limit orders when matching orders. However, when the new KRX technology system is operational, this regulation will change.
Investors need to note a series of new changes after the KRX system is put into operation - Photo: QUANG DINH
Ho Chi Minh City Stock Exchange (HoSE) and related parties are preparing to put the new information technology system (KRX) into operation next May.
Investors are not allowed to modify or cancel any agreed transactions.
On March 13, HoSE also announced changes related to trading regulations when applying KRX compared to the current one.
First of all, there is a change in ATO/ATC orders during the periodic order matching session. HoSE said that when applying KRX, ATO/ATC orders will not be prioritized over limit orders previously entered into the system when matching orders. Currently, ATO/ATC orders are prioritized over limit orders.
ATO/ATC orders will display at a specified price as limit orders, while currently these two orders display at prices marked "ATO" "ATC".
New display principle, in case there is only remaining buy or sell order of ATO or ATC order, the displayed price of ATO/ATC buy or sell order is the expected matching price.
In case there is no expected matching price, the displayed price is the closest matching price or reference price (in case there is no closest matching price).
In case of remaining buy or sell orders of limit orders, the displayed price of ATO/ATC buy orders is the highest buy price plus 1 quote unit. If this determined price is higher than the ceiling price, it will be displayed as the ceiling price.
The displayed price of the ATO/ATC sell order is the lowest remaining sell price minus 1 quote unit. If this determined price is lower than the floor price, it will be displayed as the floor price.
In addition, HoSE also said that when applying KRX, investors can correct the price or volume of unexecuted limit orders (LO orders) or the remaining part of unexecuted orders during continuous order matching time.
This is done according to the principle: An order to decrease the volume will not change the order's priority; an order to increase the volume or change the price will change the order's priority.
Regarding negotiated transactions, according to HoSE, investors are not allowed to correct or cancel negotiated transactions that have been executed on the trading system when KRX is operating. Currently, investors are allowed to correct incorrectly entered negotiated transactions during trading hours by canceling the incorrect negotiated transaction and entering the correct negotiated transaction.
Odd lot transactions will be additionally executed by periodic order matching method.
Another change related to odd-lot trading is also of interest to many investors. That is, when applying the new information technology system, odd-lot trading will be carried out according to the periodic order matching method, continuous order matching method and negotiated trading method.
HoSE said that currently, odd-lot transactions are only carried out by continuous order matching and negotiated trading methods.
In addition, in the new group of regulations, securities subject to restricted trading will be traded all day and the periodic order matching trading method will be applied, including: a periodic order matching session to determine the opening price, followed by periodic order matching sessions each lasting 15 minutes and a periodic order matching session to determine the closing price.
Unlike the current situation, restricted trading securities can only be traded in the afternoon session by order matching and negotiation.
Finally, the trading process of stocks and closed-end fund certificates of foreign investors also has significant adjustments.
Accordingly, for order matching transactions, foreign room will be reduced when the foreign investor's purchase order is entered into the trading system, instead of after the purchase order is executed. Room will increase if the order is canceled or the volume is reduced.
For negotiated transactions, the room decreases when a foreign investor's bid is entered into the system in the case of a negotiated transaction between a foreign buyer and a domestic seller. In the case of a foreign investor canceling a bid with a domestic investor, the room will increase immediately after the cancellation order is entered into the trading system.
Source: https://tuoitre.vn/loat-diem-moi-khi-krx-van-hanh-lenh-ato-atc-se-khong-con-duoc-uu-tien-20250313155504886.htm
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