Mosese Raqio 
[Photo: File]
The South Pacific Stock Exchange will introduce a new Price Setting Trade Framework from tomorrow, changing how official share prices are determined.
From 18 August, only trades considered large enough by the SPX will set the official reference price of a listed security.
Smaller trades will still go ahead as normal, with investors receiving the exact price at which their trade is executed.
The SPX says there is no minimum trade value or minimum number of shares required to buy or sell.
All trades will remain valid, be reported and settled normally, with ownership transferred as agreed.
The change only affects whether a trade determines the official reference price used for company valuations, market capitalisation and index calculations.
The SPX says the framework is aimed at ensuring official prices reflect meaningful trading activity while keeping the market open to investors of all sizes.
The Exchange will not disclose the qualifying thresholds.
The framework will initially be an interim measure until a new trading system is introduced to automate the process.
