SGX: CLSA maintains Sell with TP of $6.70 on last week's trading disruption
- Improvement in governance seen as a positive after announcing the establishing of a subsidiary by 2H17 to house its market surveillance/member supervision functions
- CLSA does not anticipate substantial changes in regulatory intensity as a result of the change
- More concerned about recent equity trading disruption.
- Moratorium on fee increases could be extended along with possible fines, higher capex to improve systems
- Liquidity could also be depressed by weaker confidence in the exchange.
- SGX to report results on 27 Jul.