Bangkok--27 Apr--SET
From May 2006, investing in bonds via cash accounts will no longer entail placing 10% collateral up-front. The Board of Governors (BOG) of The Stock Exchange of Thailand (SET) has resolved to remove this requirement, to increase bond market liquidity.
“Clearing and settlement of bonds will be made on the second business day after the transaction date (T+2), or earlier. Therefore there’s little chance of default risk, so it is only logical to dispense with this prerequisite,” Executive Vice President of SET, Ms. Patareeya Benjapolchai, who is also BOG Secretary said.
The Bond Electronic Exchange (BEX) had proposed that the scheme be considered at the SET members’ general meeting on April 5, 2006. No member companies have objected to the decision.
For more information, please contact the Corporate Communication Dept.:
Ladawan Kantawong Tel: 0-2229-2036 / Kulvida Jintakawong Tel: 0-2229-2037
Nattaporn Boonprapa Tel: 0-2229-2049 / Watsamon Saowakhonsathien Tel: 0-2229-2797