The Philippine Stock Exchange, Inc. (PSE) and Shenzhen Stock Exchange (SZSE) signed on Wednesday, January 4, a Memorandum of Understanding (MOU) to strengthen communication and economic cooperation between the two bourses that can potentially help boost investment prospects for both the Philippine and Chinese capital markets.
“The MOU broadens the strategic alliance and strengthens the relationship between PSE and SZSE. We will explore new areas to work on that will be beneficial for both exchanges,” said PSE President and CEO Ramon S. Monzon.
Under the agreement, PSE and SZSE will promote investing in the counterparty’s stock market as well as share information on regulatory practices, market development and information technology. The two exchanges will also pursue initiatives on market connectivity through cross-border product development. Specific undertakings, if pursued, will be subject to the signing of definitive agreements and regulatory approvals.
The PSE-SZSE relations started in 2009 when both exchanges signed an agreement to undertake sharing of information on various market-related matters. The MOU was reaffirmed in December 2017 when SZSE officials visited the PSE. The following year, officials from the Securities and Exchange Commission and officers from PSE and its subsidiaries and affiliates went to China to learn more about SZSE’s listing and disclosure regulations, market data products, and trading, surveillance, and clearing and depository systems, among others.
In February 2020, PSE and SZSE started information and data sharing on their respective websites.
“Among the main objectives of our collaboration with SZSE is to bring PSE up to par with neighboring stock exchanges. I believe that this partnership with one of the fastest growing markets in Asia and the world will help us realize this,” Mr. Monzon added.
Shown in photo: PSE President and CEO Mr. Ramon S. Monzon and SZSE President and CEO Ms. Sha Yan showing the signed MOU for communication and economic cooperation between the two bourses.
