PSE signs deal for electronic link with other Asian bourses

MANILA, Philippines - The Philippine Stock Exchange (PSE) on Monday signed a memorandum of understanding (MOU) with other Asian bourses for an “electronic linkage." The memorandum was signed in Bangkok, Thailand for a proposed “electronic gateway" to be called “Asean (Association of Southeast Asian Nations) Common Exchange Gateway" and also an “Asean Bulletin Board." The bulletin board will enable each Asean exchange to feature selected issuers from its regional counterpart economies. However, the PSE refused to divulge more details, saying the MOU covers certain matters that may require approval from the Securities and Exchange Commission. Last year, the PSE board has approved the local exchange’s participation in a scheme allowing cross-border trading. The tie-up is seen to provide exchanges some protection against the global chaos brought by the financial crisis. The weaker Wall Street has pulled down the regional indices last year, halving gains during the record-breaking performance in 2007. The board will link the PSE with the exchanges from Malaysia, Vietnam, Indonesia, Singapore, and Thailand. Francis Ed Lim, PSE president and chief executive officer, earlier said the proposed memorandum of agreement, the bourses will commit to the trading of 30 companies each. - GMANews.TV