After UMA, Bursa now introduces trading reminders

THE local stock exchange has introduced trading reminder alerts to highlight listed companies that exhibit unusual trading activity.

In a statement yesterday, Bursa Malaysia Securities Bhd said the new alert would be issued in addition to the Unusual Market Activity (UMA) queries by the exchange that prompt public disclosure from public listed companies (PLCs) experiencing significant, unexplained price or volume movements.

Bursa Malaysia said has observed instances where share prices and volumes remained volatile despite PLCs responding that there were no new developments in their UMA response.

“Hence, the Trading Reminder flag aims to alert investors to exercise caution when encountering a stock displaying persistent unusual price and/or volume movements after the listed company’s UMA response,” it said.

It said the pre-emptive actions, including engagement with participating organisations to address irregular trading concerns, remained a cornerstone of efforts on investor protection.

Bursa Malaysia said it also retained the option to issue market alerts and designations, which caution investors on stocks susceptible to excessive speculation or manipulation, as well as pursuing enforcement action against recalcitrant brokers who disrupt market order. – TMR