Pakistan Stock Exchange (PSX) has reached a decision to revert to the Karachi Automated Trading System (KATS) as a temporary measure to provide nonstop trading for all TREC-Holders.
The decision has come about following backlash from market participants. Market participants complained about the technical bugs that keep disturbing the transactions being carried out.
To add some context, the New Trading System (NTS), sourced from the Shenzhen Stock Exchange (SZSE), China, went live on October 25, 2021, for the purpose of integrating the local bourse with regional and international stock markets while making sure that improved security features are in place for better safeguarding of investors’ data.
Currently, the PSX’s IT team along with the SZSE technical teams are working with the local vendor to eradicate the issues in Jade Trading Terminal (JTT).
PSX issued a statement on the matter saying, “Implementation of such a complex new system is a monumental task to ensure that there is no interruption of service to all market participants. It is pertinent to mention that 18 mock sessions were held before go-live. The live environment, however, presents its own unique set of challenges”.
The team from PSX in consultation with SECP and brokers has decided to revert to the previously used system for the short term in order to address the issues with JTT.
The statement added that PSX might decide to adopt SZSE’s trading terminal for TREC-Holders and end-users at switchover as a part of NTS. The local bourse will initiate and organize market-wide testing before it goes live.
