The Cambodia Securities Exchange (CSX) will extend trading hours from next week in a move to boost trading volumes and allow investors to react faster to market conditions.
Starting August 19, the exchange will operate from 8.00 am to 3.00 pm. Trading currently ends at 11.30 am.
CSX expects to “receive a number of positive outcomes” from the longer trading hours, which has been approved by the Securities and Exchange Commission of Cambodia.
“CSX will be able to provide even more convenient trading environment to the investor as the extended trading period will allow market participant[s] to react quicker to the market condition,” the stock exchange operator says in a statement on August 14, adding that liquidity is also “more likely” to rise.
It says increased liquidity “can go a long way” in allowing prices of securities to be traded at their fair value, and will boost investor confidence.
According to CSX, the longer trading hours will be “another step further to become a more integrated market”, opening up opportunities to cooperate with neighbouring exchanges to develop cross-border products and bolster market competitiveness in the region.
Cambodia’s stock market has been one of the better performers in Southeast Asia this year, with the benchmark CSX Index surging 33.28% between January 1 and August 14. There are currently five companies listed on the exchange.