Secondary Market

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????????? ???????????????????????????????????
(Secondary Market)
Bond Star Challenge 2 20-Oct-2008

• Suchart Thanathitiphan

Surveillance Dept, ThaiBMA
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????????????????????
1. ??? Exchange
(ex ???? Automatic Order Matching AOM
???????????????????????? ?????????????????????????
??)
????????????????????
2. ??? Over The Counter (OTC)
(????????????????????????????,
??????????????????????????, ????????????? 24
???????, etc)
????????? (Common stock)
?????????? (Bond)

• Exchange 100
• OTC 0

• Exchange 1
• OTC 99

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???? Exchange (Common Stock)
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???? Exchange (Common Stock)
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???? OTC (Bond)
OTC Over The Counter

• ?????????????????? ?????????????????
  ???????????????????????????
• ?????????????????????????
• ??????? ??????????????? ???????????????
  ???????????????? ???????????

?????????????? ???????????????? ?????????
??????????????????? (Trading Transactions)
???????? ThaiBMA ????????????? Information Center
????????????????????
1. SRO 2. Bond Information and Pricing Agency
3. Market Convention and Standard 4. Market
Development and Education
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Surveillance Department Role Functions
Surveillance Department
Roles functions
1. Monitor daily trading activities reported by
dealers 2. Checking for accuracy of all trading
transactions that reported by dealers 3. Detect
potential fraud manipulation 4. Follow up bond
market movement 5. Monitor dealer conduct to
comply with relevant rules regulation 6.
Facilitate reporting service for dealers 7.
Produce data reports related to bond trading
transactions
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Surveillance Department Work Flow

• Website (one by one)
• Web Service (batch file)
• Upload file (excel format)
• Fax (for emergency case)

1. Data Receiving
2. Monitoring Process

• Trading statistics
• Dealers ranking
• Weekly Report
• Monthly Report
• Submission report
• etc.

4. Reports
3. Transfer to Pricing Dept.
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Example of Trading Transactions
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Example of Trading Transactions Intraday
Movement
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Surveillance Department Monitoring Process
1. Daily Process
?????????????????? ???????????????????????????????
Dealers ?????????????????????????????????????????
??????????????? ????????? Pricing
??????????????????? ?????????????
Monitoring Process
2. Surveillance Process
???????????????????? ?????????????????
?????????????????? Dealers ?????????
????????????????????????????????????????????????
?????????????????????????????????? (??? program
Data mining SAS ????????????)
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Surveillance Department Daily Process

• 1. Ensure accuracy of transactions
• Yield
• Volume
• Counter party
• Duplication
• Trading sequence

• 2. Detect suspected case
• Such as
• Non profit trading
• Loss trading
• Buy and sell back the same trans.

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Surveillance Department Daily Process
Buy / Sell
Volume
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Surveillance Department Daily Process
Yield Off-Range
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Surveillance Department Surveillance Process
Fraud Manipulate Trading Behavior

• Mark the close
• Price manipulation
• Volume manipulation
• Wash Sales
• Series Trading

• Parking
• Front run
• Insider trading
• Improper Bid/ Offer
• Excessive mark up

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Surveillance Department Surveillance Process
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Surveillance Department Surveillance Process
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Surveillance Department Surveillance Process
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Q A
Thank You
For more questions, contact at 02-252-3336 Ext.312