Bangkok--31 Jul--SET
In H1/2009, The Stock Exchange of Thailand (SET) launched gold futures, derivatives warrants, 11 single stock futures, and the FTSE SET Shariah Index. SET will increase the number of listed companies after the Board of Investment (BoI) provided tax benefits for BoI-promoted firms to list on the Thai capital market. Also in H1/2009, listed companies raised THB304.83 billion, (approx. USD8.96 billion) almost all by issuing bonds worth THB292.56 billion (approx. USD8.60 billion)
SET reported its H1/2009 operating performance in the Board of Governors’ meeting on July 29, noting that trading activity was severely affected by the global financial crisis, particularly in Q1/2009. However, trading activity has rebounded in Q2/2009, as a result of investor confidence in global economy improvement. In H1/2009, daily average trading value on SET and the Market for Alternative Investment (mai) reached THB15.12 billion (approx. USD0.44 billion). Meanwhile, Thailand Futures Exchange PCL (TFEX) had a daily average trading volume of 10,678 contracts. Internet trading value was at THB363.81 billion (approx. USD10.70 billion) accounting for 20.2% of total trading value.
As of end-June 2009, SET Index closed at 597.48, an increase of 33% compared to end-2008, while market capitalization of the two markets was at THB4.77 trillion, (approx. USD 140.29 billion) an increase of 33% from year end-2008, revealed SET President Patareeya Benjapolchai.
In H1/2009, foreign investors had a net buy position of THB 20.12 billion (approx. USD0.59 billion), institutional investors had a net sell position of THB14.61 billion (approx. USD0.43 billion), and local investors had a net sell position of THB5.51 billion (approx. USD.0.16 billion)
Due to the overall increase in stock prices and new products launched in 2009, the number of investors with active accounts (defined as trading at least once a month) increased. As of June30, there were 129,704 active accounts nationwide out of 549,502 accounts in the system.
Regarding the fundraising (SET+mai) in H1/2009, listed companies has raised fund by offering common shares and issuing bond at the total of THB304.83 billion (approx. USD8.96 billion) (fundraising through common shares of THB12.27 billion (approx. USD0.36 billion) and through bond of THB292.56 billion(approx. USD8.72 billion))
“In H2,2009, SET will launch an ETF with the FTSE SET Shariah Index as the underlying asset, Islamic funds to attract investors. In addtition, the FTSE SET Large Cap ETF (ThaiDex FTSE SET Large Cap ETF) will be traded on the exchange soon. At present, we are studying interest rate futures to be an alternative investment for investors,” said Ms. Patareeya.
In H1/2009, there were 7 newly listed companies (2 on SET and 5 on mai), with a total market capitalization at IPO price of THB6.8 billion (approx. USD0.20 billion) and a property fund of THB1.00 billion (approx. USD0.02 billion). Currently, there are 11 companies receiving approval from the Securities and Exchange Commission and waiting for trading (7 on SET and 4 on mai), with market capitalization of THB21.51 billion (approx. USD0.63 billion). There are also 10 more firms applying for listing consideration (one on SET and 9 on mai).
The Board of Investment (BoI)’s tax benefits for promoted firms to list on the Thai capital market will be effective from August 2009 - December 31, 2012. SET and BoI will hold seminars for the capital market-related industries and firms, whether promoted or not, including financial advisors, law firms, and auditors to know the new privileges of listing. SET and BoI will cooperate to hold road shows and meet companies in industrial estates. SET expects that there will be middle to large companies in industries having high return on investment (ROI), i.e., agricultural industry, industrial estates, and list industry, to enter the market.
At the same time, SET continues to take care of listed companies. This year, SET advised listed firms on helping to create value and listened to their voices on rules and regulations, including operations, from 141 firms from the set target of 200 companies,” concluded Ms. Patareeya.
For more information, please contact S-E-T Call Center 0 2229 2222
Press office, please contact Public Relations Unit, the Corporate Communications Dept.: Ladawan Kantawong Tel: 0-2229-2036 / Kanokwan Khemmalai Tel: 0-2229-2048 / Panitee Chatpolarak Tel: 0-2229-2792