The first question to ask for any acquisition is "why does this merger create value?" In this case, the
Singapore Exchange and Australian Securities Exchange hope to create a more liquid market.
The deal would create the world's fifth largest listed exchange operator. It will benefit both parties, creating a roughly US$1.9 trillion market that would pose a serious threat to other Asian exchanges in Hong Kong and Tokyo by luring away big fee-paying clients like high-frequency traders and companies seeking to raise capital in a deep, liquid market.
I think that it is creating value, at least to the consumer. If they are listing 2700 companies (which I believe they stated was at least the highest number in the region) you will limit the trading costs for consumers if they are located in one place.
ReplyDeleteHonestly speaking I feel it’s way too tough to handle Stock Market especially for new comers, so that’s why I always believe that we should do what we feel comfortable with. I do Forex trading since that’s far more profitable and easier to do and thanks to giant support in OctaFX broker, I am able to do things easily especially with their low spread of 0.2 pips for all major pairs while there is also great support service that’s always active.
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