Jun 28, 2013 (LBT) - Sri Lanka's only capital market Colombo Stock Exchange today halted its trading temporarily quoting an Automated Trading System Issue.
Officials said that they found a a mismatch that has arisen in certain client balances displayed on the Automated Trading System (ATS) during the pre-open session (9.00 am - 9.30 am) on 28th June 2013,"
Similarly CSE also issued a statement to market participants and whilst after rectfying the issue market commenced its trading at 1:15 p.m. and closed at 2:30 p.m. as usual.
During the day only one crossing was reported with 1 million Aitken Spence Hotel Holdings (AHUN) shares changing hands at Rs.75 per share at 1:18:01 p.m. just after 3 minuts and a second since market commenced trading.
A total of Rs.265.92 million turnover recorded with 12.7 million shares changing hands via 2,176 trades. All Share Price Index (ASPI) closed at 6135.08 points rising by 23.72 points by a 0.39% and S&P SL 20 closed at 3440.74 points rising by 14.26 points or 0.42%.
Earlier also on September 19th 2011 CSE entirely halted trading for the day quoting a 'technical glitch' for the first time in history soon after CSE switched in to Millenium IT developed Automated Trading System 7 version.
Earlier there were several electronic blunders reported with the latest upgrade (or downgrade as per many stock market analysts) that came to the Colombo Stock Exchange in the name of "ATS 7" system, the market sentiment has been completely destroyed, thousands of investors opined at the time.
And in fact the market had seen considerably low turnover levels apart from few days which recorded large deals and according to analysts it is clearly evident that retailers had turned away from the market due to the problems in lately upgraded system.
“After the implementation of ATS 7 there is hardly anything that could be called as a market” a top Stock market analyst and a fund manager stressed adding that it had resulted in the disappearance of continuous foreign buying as well as local institutional buying since investors do not want to put BUY and SELL quotes on the board as you may get hit for only one share by the end of the day!
Earlier reports say that quote from top sources from the broking industry says that however all these mess was started when Indian male officer and a female officer started providing consultancy services to the CSE few years ago. They had advised the CSE to reduce the minimum lot size to 1 instead of 100 shares purportedly to increase the liquidity to which there was tremendous resistance from the brokers.
"However CEO Surekha Sellahewa and Former Chairman of CSE Nihal Fonseka ignoring this opposition from the brokers went ahead and proposed it at an EGM specially called for passing objectionable proposals.” A stock market analyst said adding that at the EGM the proposal of the CEO and the Chairman was defeated by the member Stock Broking firms.
“Despite this the SEC was got round by these officials to send a Directive to effect the disastrous change. However, the minimum lot size at one was introduced with the new ATS 7 system only few years later on 24 February 2012 due to the inefficient software provider” he added. '
“There is now some speculation among many investors in Colombo as to whether the CSE suspended trading in five securities in August 2010 and introduced Price Bands because the ATS 6 trading system could not cope up with over a Rs.5 billion turnover per day” he pointed out.
“It was in fact evident since latter part of 2010 market continued to have system problems the system crashed one day. “For the first time in Sri Lanka’s capital market history the CSE trading system crashed and the whole market activity was stopped on 19 September 2011” he stressed.
Industry questions why there was no one in the Ministry of Finance & Planning to question about such mismanagement of country’s vital capital market system that is the barometer of the economic activity of the nation. “Nobody took action against MIT or the Management of CSE. "The backups of the system took so long to upload its data back again” said a IT manager from stock broking industry. However later it transpired from CSE sources that a consultant brought in by the CEO of CSE had put the blame on a very senior IT Executive of CSE which lead the IT Executive to resign and join a leading brokering house-Asia Securities.
However later between March to April in 2012 the system was a little bit improved according to sources.
While it was obvious that the ATS6 provided by the MIT to the CSE has expired last 2011 and could not handle large turnover, the question is why did the CSE awarded the contract for a new system to the same vendor without calling for proposals from other software vendors. “It is irrelevant what MIT is doing in other stock exchanges if what they have provided to the CSE is not good enough” an IT Consultant commented. He said that even MIT’s new system at London Stock Exchange had been faced with controversy in Europe in the begining. It is said that there had been a great deal of self-proclamation from the LSE about the wonders of their new Millennium IT system. However, two aspects of the system implementation should give concern:
i) the fall in market share in Turquoise since the migration and;
ii) the needlessly high levels of risk that Xavier Rolet is taking in the project to implement Millennium Exchange on the main market.
The purchase by the London Stock Exchange of Millennium Information Technologies of Sri Lanka was a controversial act taken by Rolet as one of his first moves after taking the helm of the London Stock Exchange according to reports from Europe.
The Millennium system was hitherto unproven in high volume markets, having been sold largely to smaller African and Asian Exchanges. Thus it was with great interest that the system was made to go live on the Turquoise platform (now part of the London Stock Exchange) on Oct. 4th 2010.
The migration from the Central Technology from the Cinnober system to the Millennium one seems to have been successful albeit for some hitches on the first few days day of trading. However, the transition has seen Turquoise’s market share taking a significant hit to an average of about 5.2% from about 7% pre MIT.
Many stock exchanges forget that brokers have to run businesses and that redeveloping their connected trading systems to a new platform involves spending money. Thus, when reaching a decision about as to whether one should spend hundreds of thousands of pounds redeveloping their interface to Turquoise, which only had 7% of the market share behind BATS, Chi-X and the incumbent exchanges, some brokers may well have decided to pull the plug altogether. This may explain the loss of market share in the transition.
(Additional Reporting by Jithendra Antonio)
කොටස් වෙළෙඳපොළ හා පෘතුගීසින්! අගෝස්තු 29, 2014 (LBT) - ලෝකයේ පෘතුගාලේ සහ බ්රසීලයේ ප්රසිද්ධ නමක් වෙන 'සිල්වා' නාමය ලොව මුලින්ම භාවිත කලේ ක්රිස්තු වර්ෂ 500 - 1500 කාලයේ රෝම අධිරාජ්ය බිඳ වැට්ටු නැගෙනහිර ජර්මනියෙන් පැවත එන 'විසිගොත්' සහ 'ඔස්ට්රෝගොත්' යන අයගෙන්; ඇස්ටුරියානු අධිරාජ්ය පිහටවූ විසිගොත් ලාගෙන් පැවත ආ ඩොම් ඇල් ඩෝරෙඩෝ ගේ පුත් වෙන ඩොම් ගුටෙරේ අල්දෙරේට් ද සිල්වා විසිනි. ඇස්ටුරියානු අධිරාජ්ය අද ස්පාන්ඥය සහ පෘතුගාලය වී ඇති අතර 1505 ලංකාවට ද පැමිණියේය.පෘතුගීසින් ඔවුන්ගේ නාවික නායකයකු වූ වස්කෝ ද ගාමා ලෝකේ වටේ ගොස් මුහුදු වෙළඳ මාර්ග ඇරඹීමත් සමගම පෘතුගීසි ඊස්ට් ඉන්දියා සමාගම එකල නැගී ආ ආසියානු වෙළඳාම ඒකාධිකාරයට නතු කරගන්නා ලදී. ඊට සමගාමීව සැලියන් ෆ්රෑන්ක වරුන්ගෙන් පැවත ආ ලන්දේසින් හෙවත් නෙදර්ලන්ත වැසියන් නැගී ආ ආසියානු වෙළඳාම ඒකාධිකාරයට නතු කරගැනීමට 1602 දී ලොව පළමු වරට මහජන කොටස් නිකුත්තුවක් සමග කරළියට ආ ඩච් ඊස්ට් ඉන්දියා සමාගම පිහටවගන්නා ලදී. ඒ ලෝක කොටස් වෙළඳපොලේ ඇරඹුමයි. එකල ඩච් ගිල්ඩර් මිලියන 78 වටිනාකමක් තිබුණු ඩච් ඊස්ට් ඉන්දියා සමාගම 1637 බිහිවුණු 'ටියුලිප් මේනියාව' හෙවත් අනුමාන කෙරුණු ටියුලිප් මලේ බල්බ වල වටිනාකම ඩච් ගිල්ඩර් 3000 සිට 4200 දක්වා යුරෝපයේ ඉහල යාමත් සමගම අදටත් ඩච් ඊස්ට් ඉන්දියා සමාගම සතු වූ ඩච් ගිල්ඩර් මිලියන 78, වර්තමාන මුදලට තක්සේරු කලවිට ඇමෙරිකානු ඩොලර් ට්රිලියන 7.4 හෙවත් බිලියන 7,400 වටින ලොව වැඩිම වටිනාකමින් යුතු බහු ජාතික ... Read more
Aug. 27, 2014 (LBT) - Sugar is more addictive than cocaine or tobacco. This information was revealed at an awareness seminar conducted by the AIA Insurance. Diabetes is the forerunner of all non-communicable diseases, which can be avoided by controlling your sugar intake. AIA Insurance, which promotes healthy living as part of its Corporate Social Responsibility, strives to increase education and awareness on making healthy choices to live a healthy life, through seminars and workshops. In one such seminar, it was revealed that sugar is in fact 8 times more addictive than cocaine (Dr Mark Hyman – USA, Feb 2014) and tobacco. Our daily sugar intake should be less than 6 teaspoons a day (World Health Organization). However, most Sri Lankans, on average consume over 9 teaspoons (Ministry of Health of Sri Lanka). The biggest problem with sugar addiction is that it is a vicious cycle; when you consume sugar in any form, you start enjoying the taste which in turn causes craving. This leads to a gradual increase in sugar consumption which can result in obesity and worse, diabetes. Notably, this dependency on sugar starts at infancy, with mothers introducing refined sugar to their babies at weaning through food and drink, especially ... Read more
Aug. 11, 2014 (LBT) - During the recent past, the expenditure on imports of Sri Lanka has shown a declining trend. The intermediate goods are the category that is largely being imported to Sri Lanka, with a contribution of 59%, while investment goods and consumer goods follow with a share of 23% and 18% respectively. This reflects a positive shift in the manufacturing industry, contributing to a more stable development within the country, said Anura Siriwardena, Secretary, Ministry of Industry and Commerce on Tuesday, August 5. Delivering the keynote address at the 79th AGM of the Import Section, Ceylon Chamber of Commerce held at the Taj Samudra Hotel in Colombo, Siriwardena said that the country from which Sri Lanka sources the highest amount of imports is India, which contributes to 17.6% of our imports, while China is close behind, with a share of 16.4%. Singapore, UAE, Oman, Japan and Malaysia are the next largest sources of imports of Sri Lanka at present, he said. Pointing out that countries were vastly diverse when it came to the level of their resources, both natural and human, the Ministry Secretary Siriwardena noted that it determined the production capacity, as well as the range and ... Read more
Sep 02, 2014 (LBT) -Indices closed in red due to price losses on counters such as John Keells Holdings, Dialog Axiata and Sri Lanka Telecom with turnover crossing the Rs 1 Bn mark. Institutional and high net worth interest was witnessed in Sinhaputhra Finance while retail interest was evident in Lanka IOC and First Capital Holdings. Mixed interest was witnessed in Commercial Credit & Finance and Union Bank. Foreign activity remained low and closed as net buyers. Banks, Finance and Insurance sector was the top contributor to the market turnover (due to Sinhaputhra Finance, Seylan Bank nonvoting, Union Bank, Commercial Credit & Finance and LB Finance) whilst the sector index gained 0.40%. The share price of Sinhaputhra Finance closed at Rs 245.00 ... Read more
Aug 29, 2014 (LBT) - The indices closed with gains due to price appreciation on counters such as Ceylon Tobacco Company, Nestle and Lion Brewery with turnover crossing the Rs 1.1 Bn mark. High net worth and institutional interest was witnessed in Commercial Bank and Access Engineering while retail activity was observed in Laugfs Gas. Foreign activity remained low and closed as net buyers. Banks, Finance and Insurance sector was the top contributor to the market turnover (due to Seylan Bank nonvoting and Commercial Bank) whilst the sector index increased by 0.64%. The share price of Commercial Bank closed at Rs 249.00 appreciating by Rs 0.10 (0.04%). The share price of Seylan Bank nonvoting closed at Rs 49.20 appreciating by Rs 0.40 (0.82%). Construction and ... Read more
Aug 26, 2014 (LBT) - The indices advanced by 29.29 points with a significant net foreign inflow of Rs 480Mn to close at 7,013.32. High net worth and institutional interest was witnessed in John Keells Holdings while retail interest was seen in Richard Peiris and Ceylinco Seylan Developments. Mixed interest was observed in Lanka Indian Oil company and Nations Trust bank. Diversified Sector was the top contributor to the market turnover (due to John Keells Holdings and Richard Peiris & Company) whilst the sector index moved up marginally by 0.31%. The share price of John Keells Holdings lost Rs 0.50 (0.21%) to close at Rs 242.50. The share price of Richard Peiris & Company gained Rs 1.40 (17.95%) to close at Rs 9.20. ... Read more