Bangkok--Apr 25--Weber Shandwick (Thailand)
SCB Securities (SCBS) announced its plans to provide a full range of services for Thai investors. To strengthen its position as a leader in the Thai Securities industry, the company is always eager to bring new and innovative services to its customers. With this new introduction, the company will allow investors to have an access to the brand-new investment alternatives - Thai-equity-based derivatives products - by mid-year and to the SET50 Index Futures on the Thai Futures Exchange (TFEX) when it becomes fully operational approximately by the end of this year. SCBS will also form a new company, SCB Quant Asset Management Company Limited (SCBQ), which comprises of a team of Thailand’s derivatives experts to specialize in and offer a wide variety of derivatives funds and investment management products for investors.
SCBS also announced the sale of its stake in Hunters Asset Management Co., Ltd. as it plans to place a greater emphasis on its private fund businesses and derivatives services through SCBS and SCBQ respectively.
“To strengthen SCB Securities reputation as a premier Investment Banking and Equity Trading Institution for both retail and institutional investors, SCBS is always looking to offer new financial services and investment alternatives to its clients. This is also in line with the grand strategy of its parent Siam Commercial Bank, to become a Premier Universal Banking Group in Thailand.”
After launching its private fund business last year, known as “The Privilege by SCBS”, SCBS has since then continued to focus on expansion of its services further to include derivatives, so that it can leverage on the synergy between the twos to better serve its clients”. M.L.Chayotid Kridakorn, Managing Director of SCB Securities Company Limited, disclosed at the seminar “Derivatives Investment with SCB”, hosted by SCBS to introduce derivatives and their applications to SCBS customers and general investors on Saturday, April 23.
“SCBS plans to officially launch SCB Quant Asset Management Company Limited (SCBQ) in June 2005. It is ready to commence its derivatives services after successfully building its management and derivatives specialists teams whose their in-depth experience in this business are well-known in the financial field. SCBS is presently in the process of submitting an application for an approval to the Securities and Exchange Commission. It is also applying to become a futures trader and a broker of the SET50 Index Futures on the Thailand Future Exchanges. The company foresees itself becoming a leader among all of the local securities companies’ He added.
Derivatives is a viable investment alternative for both retail and institutional investors as it offers potentially higher returns. In addition it allows investors to guard against the risk from unstable stock prices, by using instruments such as futures or option contracts to hedge against stock price volatility.
SCBS sees a bright future for its derivatives business in Thailand. The business has a high growth potential especially when looking at the volume and popularity of derivatives that are traded on the international markets. Globally it is not uncommon for the daily volume of derivatives trading to exceed that of equity trading. However, due to the infantry stage of the Thai derivatives market, within the first couple years, local volume is expected to be relatively small as investors are becoming more familiar with the products. But in the subsequent period, the growth is expected to become rapid, and the volume should increase, when there is greater understanding of the benefits from these derivatives products. Judging by the attendance and interest shown at today’s seminar growth maybe higher and faster than we anticipate.
M.L.Chayotid said: “We are confident that we will be able to become a leader among Thailand derivatives service providers due to our readiness and thorough preparation in all aspects of this business before our launch. This includes our management team and our specialists (who have had direct experience in derivatives from international markets), the service and product network coverage of SCBS, its subsidiaries and SCB’s branches. All key personnel have been extensively trained and the cutting-edge technology systems have been developed with a full support from Siam Commercial Bank, our parent company.”
“SCBS realizes that derivatives is a new financial tool that only a handful of Thai investors currently understand its technical nature and how to leverage its capability. Educating investors about derivatives and SET50 Index Futures is a must and also is part of SCBS’s commitment to help develop the Thai capital market. 2005 is the 10th anniversary of SCBS and we are proud, more than ever, to have introduced SCBQ in this important year and will continue to host derivatives seminars every month as part of our “Derivatives Lecture Series” project that will run from April to December 2005. Investors interested in attending the seminars should follow announcements in the media on dates, locations and how to make reservations.” M.L.Chayotid concluded.
Note to Editor
Established in 1995 as a wholly-owned subsidiary of The Siam Commercial Bank PCL, SCB Securities Company Limited has rapidly grown to become one of the best and most fully integrated investment banks in Thailand. SCBS’s product offering spans the entire spectrum from financial advisory to capital raising, asset management, and related financial services.
For more information, please contact:
Khun Kasma Kriengveerayuth
Public Relations and Communications Manager
SCB Securities Company Limited
Tel: 0 2686 2373 Email: [email protected]
Khun Kamonwan Thansri
Public Relations Consultant, Weber Shandwick (Thailand) Limited
Tel: 0 2257 0300 ext 332 Email: [email protected] End.