SGX seeking to reduce lot size from 1000 to 100

Source: http://www.channelnewsasia.com/news/business/sgx-seeks-to-reduce/782336.html

SUMMARY:

• SGX aims to introduce the board lot size of 100 by the first quarter of next year (2014), and it could be at least two years (2015) before the lot size will be reduced to one unit. - industry players would like the board to implement the reductions without splitting into two phrasesroposed

• Proposed standard board lot size of 100 (or 1) units will apply to ordinary shares, real estate investment trusts, business trusts, company warrants, structured warrants, extended settlement contracts and shares on GlobalQuote.

• Board lot sizes for exchange traded funds - barring the SPDR STI ETF and ABF SG Bond Fund - American Deposit Receipts and fixed income instruments, including Singapore Government Securities and preference shares, will remain unchanged. 

TOKKING POINT:

*Hurray* for small fish for 10% reduction in cost needed! 

Self-scheduled averaging strategy (like OCBC blue chip investment plan) can be executed with greater flexibility. 

BUT BUT will there be new (lower) commission? If it is going to remain the same, then the commission MAY eat into the profit like piranha, and it will only be good for those who buy shares to keep.