Accordingly, compared to the current securities trading regulations, the regulations for securities trading when applying the new information technology system are expected to have certain changes that investors need to be aware of, as follows:
Regarding ATO/ATC orders during the periodic matching session, ATO/ATC orders will not be prioritized over limit orders previously entered into the system during order matching (currently, ATO/ATC orders are prioritized over limit orders).
ATO/ATC orders will be displayed at a specified price as limit orders (currently, ATO/ATC orders are displayed at the price indicated by the symbols “ATO” and “ATC”);
The new display principle is as follows: If only buy or sell orders remain in the ATO or ATC order, the displayed price for the ATO/ATC buy or sell order will be the expected matching price. If there is no expected matching price, the displayed price will be the most recent matching price or the reference price (if there is no most recent matching price).
In the case of remaining buy or sell orders in limit orders, the displayed price for ATO/ATC buy orders is the highest remaining buy price plus 1 price unit (if this price is higher than the ceiling price, it will be displayed as the ceiling price). The displayed price for ATO/ATC sell orders is the lowest remaining sell price minus 1 price unit (if this price is lower than the floor price, it will be displayed as the floor price).
Regarding the modification or cancellation of matched orders, investors are allowed to modify the price or volume of unexecuted limit orders (LO orders) or the remaining unexecuted portion of orders during continuous matching, according to the following principle: Modifying the volume will not change the order's priority; modifying the volume or price will change the order's priority.
Regarding negotiated transactions, investors are not allowed to modify or cancel negotiated transactions that have already been executed on the trading system (currently, it is permitted to correct incorrectly entered negotiated transactions during trading hours by canceling the incorrect transaction and entering the correct one).
Regarding securities transactions by foreign investors, for matched order transactions of stocks and closed-end fund certificates, the room (the remaining volume that foreign investors are allowed to buy) decreases when a buy order from a foreign investor is entered into the trading system (according to current regulations, the room decreases immediately after a buy order from a foreign investor is executed).
If a foreign investor's buy order is canceled by the investor or the trading system, the room for foreign investors increases by the canceled volume. If a foreign investor's buy order is modified to reduce the volume, the room for foreign investors increases by the reduced volume of the order.
For negotiated transactions of stocks and closed-end fund certificates, the foreign ownership limit (room) decreases when a bid order from a foreign investor is entered into the trading system in the case of a negotiated transaction between a foreign investor buying and a domestic investor selling (according to current regulations, the room decreases immediately after the negotiated transaction between the foreign investor buying and the domestic investor selling is executed).
If a foreign investor cancels a tender offer with a domestic investor, the foreign ownership limit will be increased immediately after the cancellation order is entered into the trading system.
Regarding odd-lot transactions, they will be executed using periodic order matching, continuous order matching, and negotiated transaction methods (currently, odd-lot transactions are executed using continuous order matching and negotiated transaction methods).
Regarding the trading of restricted securities, these securities will be traded throughout the day using a periodic order matching method, including: a periodic order matching session to determine the opening price, followed by periodic order matching sessions each lasting 15 minutes, and a periodic order matching session to determine the closing price (under current regulations, restricted securities can only be traded in the afternoon trading session using order matching and negotiated transactions).
Regarding the display of the three best bid and ask prices during the periodic order matching session, the three best bid and ask prices displayed are the expected remaining best bid and ask prices after order matching (currently, the three best bid and ask prices for all orders in the order book are displayed).
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