Bangkok--27 May--SET
Bank of Thailand approved in principle to allow gold futures market makers to trade futures contracts in foreign exchanges, thus helping market makers easily manage their risks. In addition, The Thailand Futures Exchange PCL (TFEX) has appointed Thanachart Securities PCL to be a market maker for gold futures, starting June 1, 2009.
“Bank of Thailand has approved in principle to allow TFEX gold futures market makers, who help increase liquidity, to trade futures contracts that have gold and gold ETFs as the underlying assets in foreign exchanges to help market makers manage risks resulting from working as TFEX market makers. However, such overseas trading must only be through exchanges. Bank of Thailand has approved USD50 million for the Securities and Exchange Commission (SEC) to allocate market makers for their overseas trading,” said TFEX Managing Director Kesara Manchusree.
Moreover, TFEX has appointed Thanachart Securities PCL, a TFEX member, to be a gold futures market maker and will start its operation on June 1, 2009, with the other two existing such firms: Globlex Securities Co., Ltd. and Trinity Securities Co., Ltd.
“TFEX believes that support from the Bank of Thailand and Securities and Exchange Commission will be a significant factor that helps the market maker manage liquidity in TFEX more conveniently. Additionally, the joining of Thanachart Securities PCL should promoting gold futures trading to have liquidity and be more attractive,” added Ms. Kesara.
Thanachart Securities PCL is in the Thanachart Group, which seeks to provide a complete range of financial services, including banking, leasing, securities brokerage, asset management, and insurance. Thanachart Securities PCL’s major shareholder is Thanachart Bank PCL, holding 99.99% of total shares. Thanachart Securities PCL became a TFEX member on July 20, 2006. For more information, please visit www.thanachartsec.co.th.