Yesterday the SGX went on full time, no lunch break, to improve trading volume. And the result was immediate. During the one and a half hour of trading, without lunch break, it chalked up 100m shares traded. This, as reported, was an increase of 6.4% in volume.
I was dumbfounded. For all the years I spent in human resource management, the profession has been bugged by the difficulties in raising productivity. Money were spent to improve productivity throught mechanization and computerization. The catchphrase was to work smart and not work hard, to work intelligently and not slogging over long hours. And we did not achieve much.
Now I realized that we have missed the wood for the trees. The solution was so simplistic yet so brilliant, so effective. Just extend working hours man. And 100m shares were achieved in an additional one and a half hour of trading. Nevermind if the overall volume was down from 1.7b on Friday to 1.46b yesterday. The 240m shares lost can easily be recovered by increasing trading hours by another two hours.
This is a remarkable discovery of a management theory of great significance. I must write an article to the SHRI’s newsletter on how to raise productivity in the simplest way and cheapest way. If the ministers and their ministries were to work through lunch, gaining another one hour of working time, their productivity would increase accordingly. And if the no lunch break is extended across the country, across all industries, viola, the country would have a 6% increase in GDP. There is thus no need to increase the influx of foreign workers and foreign talents which would bring along high inflation, high property prices, high congestion and competition for space and air.
After 40 years of independence, I think Spring Singapore would not have thought of such a great concept. We have wasted all this time trying out all the dump ideas to improve productivity which obviously did not work. And the one that works, influx of foreigners, actually works on the same principle. Increase in workforce means increase in manhours working. This is the same as increasing the number of working hours, like no lunch break.
I think we will progress more rapidly if everyone simply works longer hours. We will progress, from First World to the Third World.
you are absolutely right, it was a stroke of genius.
ReplyDeleteKudos to Bocker, ceo of Sgx.
I remembered there were many reservations when the proposal to scrap lunch hours were aired, some were outright objections. The leader has to do the right thing, although it may be upsetting to some, that ultimately, majority and hopefully all will benefit.
ReplyDeleteA psychiatrist remarked that some of the remisiers/dealers will go bonkers. It is extremely stressful to their mental health when the market runs continuously for 8 hours without a break. This means they will have to be highly charged to the ups and downs of the market nonstop. The brain needs a break, a rest.
ReplyDeleteIMH must prepare more beds for mad traders and remisiers.
If prostitutes are not given breaks, they can be scre**d 24 hours. But think of it this way, if there is a global crash and all other exchanges are closed, then we will bear of selling and Mr Bocker will go home and enjoy his handsome pay package.
ReplyDeletebocker did the right thing - it is better to keep it open else there will be a big gap down when lunch reopens, if there is a global crash. If remisiers can go bonkers then better they do other things like sell insurance, cars.
ReplyDeleteBonkers is brilliant. xxx million traded during 12.30 - 2.00pm.But total trading volume for the day for 1 Aug down from 29 July.Bonkers & his senior staff deserve 24 months bonus !
ReplyDeleteHe is half hearted. Should go all the way, to cover Europe and Wall Street as well. What happens if they collapse and we are closed for the day? Can't imagine the sell down.
ReplyDeleteHi simwong, welcome to the blog.
ReplyDeleteSingapore will soon emerge as the number one financial centre at the rate we are going.
hahaha I am LMAO. This is the last desperate attempt by SGX and the SG leaders to turn its 3rd class exchange into something it's NOT. No way will they overtake HKG ever. They can keep paying top money to get Australian or Canadians to merge they'll never be a real substantial player until they look at their own governance and protection laws for investors. The Lehman fiasco is already a good precedence, not to forget the dozen more cases involving chinese listed companies. The only daft people who will trade there naked are the daft ones. So what's the nett volume increase again?
ReplyDeleteWe can't pretend to be Hk when we are not, for Hk has china as hinterland, hk is part of china. We r nothing. It is alomost impossible to overtake the big exchanges. But that doesnt mean we shouldnt stop trying. And definitely u cant expect this baby step of lunchtime trading to leapfrog others. But the real daft daft people are those who think others are dafts, for they fail to see their own daftness.
ReplyDeleteDon't worry, Singapore will be number one. We will buy the best talents to do it.
ReplyDeleteAll the stock exchanges in Asia have been operating with lunch breaks for so many decades and don't have such problem. Why now got problem?
ReplyDeleteVery frightening if tonight Dow collapses and our market is not open. Tomorrow morning sure got sold down. How man? Can do something about this or not?
Hahaha
ReplyDeleteYou guys should know by now that the most productive person in red dot is the one sitting in the Istana right now.
At the rate of more than $10K per day, that is productive alright. When our rulers say productive, who can argue?
simwong - whooooooooshhhhhhhhh.......
ReplyDelete