By Hiran H.Senewiratne
Trading at the Colombo Stock Exchange (CSE) was positive yesterday following a dip in the market on the previous day. Investors started purchasing large quantities of stocks from Prime Residencies, on the first trading day following the Initial Public Offering (IPO) overlooking other major stocks, stock brokers said.
“Investors had purchased large quantities from the previous IPO “Chrishworld” due to issuance of small quantities of shares to the public and they adopted the same approach to Prime Residencies stocks due its large quantity of shares in the market. Chrisworld had issued 7.5 million shares to the public in their IPO while Prime Residencies issued 187.5 million shares to the public,”stock market analysts said.
Due to these developments, Prime Residences share price quoted at Rs 10.40. On the previous day its share price moved upto Rs 11.90. Since investors’ expectations were not being fulfilled they did not go much for Prime Residencies stocks yesterday, therefore, its share price depreciated by 60 cent or 5 five percent. However, its share price started trading at Rs 11.90 and at the end of the day it moved down to Rs 11.30.
Amid those developments both indices moved upwards despite the turnover recorded a seven-day low. All Share Price Index was up by 22.06 points and S&P SL20 up by 9.46 points. Turnover stood at Rs 1.48 billion without a single crossing.
In the retail market top five companies that mainly contributed to the turnover were Royal Ceramic Rs 117.2 million (3.1 million shares traded), Melstacope Rs 113.4 million (2.4 million shares traded), LOLC Rs 87.8 million (293,000 shares traded), Alumax Rs 84.4 million (6.1 million shares traded) and Dipped Products Rs 68.2 million (1.3 million shares traded).
The market moved slowly but in a positive manner but strong market activities were witnessed in Melstacope and its share price moved up by four percent or Rs 2. Its share price startered trading at Rs 47 and at the end of the day it moved upto Rs 49. During the day 84 million share volume changed hands in 19,632 transactions.
The original SEC Act No. 36 of 1987 had seen three amendments previously, in 1991, 2003 and 2009. Capital market stakeholders have been calling for a new Act for several years to ensure that regulation and market development keeps pace with modern era dynamics.
CSE planning new product lines to attract investors in greater numbers
By Lynn Ockersz
The CSE is planning to attract a greater number of investors to the stock market this year through the introduction of some new product lines. In order to increase the choice of instruments available to equity investors, the CSE intends to focus in the immediate term on instruments, such as, stock borrowing and lending and regulated short-selling, CSE CEO Rajeeva Bandaranaike said.
The latter instruments would help in generating more liquidity and trading among equity investors, not only in instances when the market is on its way up but also in a declining market as well, CEO Bandaranaike told The Island Financial Review in an exclusive interview recently.
The CEO also said that the CSE is aiming at leveraging the corporate debt market through the initiation of some new products. For example, Green Bonds, Perpetual Bonds and the facilitation of secondary trading of corporate bonds via repo trading.
Asked to indicate as to how these instruments would help the bourse going forward, Mr. Bandaranaike said that stock borrowing and lending, for instance, would facilitate and enable regulated short selling which will have the effect of increasing liquidity and trading among all categories of equity investors.
This will create opportunities for traders to make use of market volatility. Besides, investors holding long term portfolios could lend their stock and earn an interest with least effort on their part.
Asked to elaborate on the importance of Green Bonds, the CEO said that institutional investors in particular are currently focusing on ESG projects; that is, investors that are sensitive to environmental, social and governance concerns. Accordingly, the CSE would be catering to some important investor needs through the latter projects.
Meanwhile, in response to the question on how the digitization initiatives of the CSE have helped in ushering a more robust share market in Sri Lanka, CSE’s Chief Information Officer Chandrakanth Jayasinghe said it is the aim of the CSE to give progressive digital exposure to investors. There are two dimensions to be considered here the CIO said. First, more and more important features have been added to the CSE’s digital mobile App over the last two years.
The CIO added: ‘A revamped mobile App is now at hand to enable quicker and informed investment decisions. All the information required by the investor is now available via this App to enable him to enter the market. For example, we are linked to the Department of Registration of Persons. Digital on-boarding and digital signing etc have been enabled via the app. On a full digital basis investors can now interact with the CSE.
‘The investor is now connected to the CDS E-Connect via the CSE and the investor could access his/her stock portfolio, for instance, and access his/her monthly statements. They could also make changes to their profiles such their address changes via the mobile App. Research reports of brokers could be accessed by the same means, nominations could be effected through the same mechanism. It’s a total change: a 360-degree info hub has been created through the App.
‘Secondly, the CSE is a more agile digital organization. For instance, most of our back-end functions are fully robotized. AI is used in many operations. We use AI for compliance operations.
‘We are saddled with very much less paperwork. Over 90% of all account openings are effected through our mobile App. Most paper-based formalities have been done away with.’
SriLankan Airlines unveils new and improved mobile App
SriLankan Airlines has unveiled a new and improved mobile app that is designed for optimum user-friendliness. The enhanced app will afford customers greater ease and flexibility in managing their flight bookings, purchasing value-added services, enrolling for a FlySmiLes account and performing a variety of other tasks.
The new app provides greater autonomy for Customers through added features that are exclusive to the app. Customers will be able to choose their in-flight meal; reserve seats; change travel dates and sectors; buy value added services such as excess baggage, travel insurance and duty-free items; and check-in for flights well in advance.
The ability to manage flight bookings, even while on the move, remains entirely with passengers who will be empowered to exercise greater control in shaping their journey independently and dynamically. Customers’ in-app experience is inclined to be further enhanced with the new ‘My Trips’ feature. My Trips will organize and present important information that a customer requires for an upcoming flight in a timely fashion on the app’s homepage.
The homepage includes other up-to-minute information on the flight schedule and allows users to search and stay on top of the departure and arrival times of flights. Customers can also stay updated and not miss out on the latest deals and promotional fares.
Brandix Manusathkara Thilina 2022
Brandix Apparel Ltd., gave hope to 16,824 children of the Brandix family by gifting them school essentials including stationery and schoolbags necessary for the new school year, under its ‘Manusathkara Thilina’ 2022 initiative recently.
Understanding the current need to support our team members, especially during the current crisis of rising stationery costs, the children of 10,933 Brandix Associates were recipients of Brandix’s unstinting efforts to inspire and support education for all. The 2022 programme is being held for the 7th consecutive year where children from pre-school to Grade 13 received stationery packs.
Malika Samaraweera, Group Head of Corporate Social Responsibility at Brandix Apparel noted, “The beginning of the new school year is eagerly anticipated and exciting for all students. However, we realise that our employees, who are the backbone of our enterprise, are facing a daunting challenge to provide their children these essential items. We firmly believe in taking care of our communities and this year’s Manusathkara Thilina programme ensures these children have the tools and opportunity to learn and grow.”
Begun in 2016, the Manusathkara School Essentials initiative seeks to drive home the importance of education among the children of Brandix employees. To-date, over 37,000 children have benefitted from the programme. The educational hampers gifted to the children comprise of stationery and other school necessities, enabling their success for the foreseeable future.
With the aim of driving social sustainability, the inspired team at Brandix continues their work towards Equal Opportunity and the Right to Education for All. Recognising that today’s challenges are wide-ranging and incredibly tough for many families, the school essential packs will enrich the lives of the beneficiary children and sustain their school education.
Supporting Sri Lanka’s aspiring youth towards continuity in their education, Brandix has also initiated an annual scholarship scheme under its ‘Manusathkara University Scholarship’ programme. Children who are high performers in the Advanced Level Examinations within the Brandix Model Villages are awarded scholarships to pursue their higher education and contribute towards Sri Lanka’s future workforce. The ‘Model Village’ concept was developed by Brandix to support the wellbeing of communities within a 10km radius of the company’s facilities.
Strong winds over Eastern, Uva, Western, Central and Sabaragamuwa provinces and in Galle, Matara, Mullaitivu, Jaffna and Kilinochchi districts.
DG Information ignorant of basic election laws and regulations: ECSL
Navy men and women record wins at Inter Club rugby matches
‘Dates have the highest sugar content to fight Coronavirus’
Sunday Island 27 December – Headlines
U.S. Congress to probe assets fleecing by US citizens of Sri Lankan origin
Midweek Review6 days ago
Westminster event declares support for Canadian action against Rajapaksa brothers
Opinion5 days ago
Simple questions to Sirisena and Gotabaya
Opinion5 days ago
Nelum Kuluna poses danger to aircraft
Opinion6 days ago
Open letter to Sirisena
Features5 days ago
Vibrant ties with M-E, a foreign policy priority for SL
News5 days ago
Treasury blamed for missing paddy stocks worth Rs 1.3 bn
Features6 days ago
Is recolonisation final solution?
Features1 day ago
Implementing 13A: Some thoughts