REGULATION WATCH- New EGX trading regs to come into effect on Thursday: The Financial Regulatory Authority approved changes yesterday to trading regulations that will round securities trading under EGP 2 per share to the thousandth decimal point, according to a bourse statement (pdf). Under the new regulations, which come into effect on Thursday, these shares will be placed on a special list that will be reviewed weekly to monitor the daily fluctuations in their prices. Also yesterday, the FRA approved changes that will set the opening price for exchange-traded index funds based on their net asset value rather than the previous session’s closing price. The regulator also signed off on amendments that shorten the time it takes to get approvals for specialized activities, such as margin trading, to come into effect.

Background: The FRA passed a number of regulatory changes recently to bring listing and trading regulations in line with the new Companies Act and its executive regulations. Among those were provisions that establish a weighted voting system that allows shareholders to vote on board members and also ask the board questions ahead of general assembly meetings.