Are all investors allowed to trade in Catalist stocks?

Yes, all investors are allowed to trade in Catalist stocks.

Is the investor compensation for Catalist the same as Mainboard?

SGX has an investor compensation fund called the Fidelity Fund, which is provided for broker defaults or insolvency. As Catalist will be a market under SGX-Securities Trading Ltd (SGX-ST) in the same way as the Mainboard, the investor compensation mechanisms will be identical. For more information, please click here.

Can investors claim against Sponsors when a company under their sponsorship fails?

SGX rules do not provide for investor claims when companies fail, which is the same as for Mainboard and SESDAQ today.  The management and directors of the company are responsible to shareholders.

Sponsors’ responsibilities to a listed company under the rules are to advise on rule compliance and where necessary, whistleblow to the Exchange.  If a Sponsor is found to have breached the rules, disciplinary action will be taken by SGX

How will investors know which Catalist companies are under the old regime or new regime?

When Catalist rules take effect on 17 December 2007, the Catalist website will provide information on stocks which are under sponsorship.  There will also be indicators beside each stock name on the live prices pages in the SGX website www.sgx.com.  If in doubt, investors should enquire with their brokers. For more information, please click here.

What should I do if I am a SESDAQ shareholder?

SESDAQ shareholders should be aware that SESDAQ companies will be listed on the Catalist board and will need to move onto its Sponsor-supervised regime. SESDAQ companies will be given at least 2 years to find a Sponsor and comply with the new Catalist rules. For more information, please click here.