Thai bourse and Clearstream strengthen collaboration in funds business

Stocks and Financial Services Press Releases Thursday September 6, 2018 15:36
Bangkok--6 Sep--SET

The Stock Exchange of Thailand (SET) and Clearstream Banking S.A., one of the world's leading international securities depositories, today (September 6) signed a memorandum of understanding (MoU) to strengthen the joint-investment funds' business through the online linkage between SET's FundConnext mutual fund platform and Clearstream's Vestima global fund processing platform. This marks the unprecedented cross-border cooperation and aims to broaden promising opportunities in the Asian investment fund markets for international investors.

The linkage between these two platforms is in response to foreign investors' demands for the Thai funds' market investment. The collaboration includes order routing facilitation, asset servicing and settlement services of investment funds for Thai domestic investment funds. The link is to go live in early 2019. In the future, it will also provide access to the international investment fund markets for Thai investors.

SET President Pakorn Peetathawatchai said that this groundbreaking collaboration marks a key milestone for the Thai fund industry's transformation in connecting the Thai investment fund market to global investors, thereby accelerating the growth of the Thai mutual fund industry.

"FundConnext has been built in close collaboration with the Thai mutual fund participants and the support of the Thai Securities and Exchange Commission as one of the capital market's open architecture and interoperable platforms. This is the first and only platform that streamlines mutual fund processing in Thailand. Within just one year from the first day of operation, FundConnext can now expand to serve foreign participants and take the Thai mutual fund industry to the international level by serving as a gateway for investors in 56 countries to capture investment opportunities available in the Thai mutual fund industry with an asset of THB 4.6 trillion (EUR 121 billion). We are delighted that Clearstream will be the first foreign participant to utilize this standardized infrastructure to enter into Thailand."

Philippe Seyll, Co-CEO of Clearstream Banking S.A. and Head of Investment Funds Services at Clearstream, said the cooperation with SET continues the development of our Asia funds strategy allowing more international investors to gain easy access to the local fund markets.

"We are very pleased to announce the linkage to SET's FundConnext in order to bring greater access for international investors to the Thai fund industry and potentially allowing Thai investors to seamlessly access the international investment fund markets," Philippe Seyll said.

Rapee Sucharitakul, Secretary-General, The Securities and Exchange Commission, Thailand stated that the initiative of FundConnext is a proven solution for processing the Thai mutual funds. It helps standardize working processes across the entire industry. The linkage between FundConnext and Clearstream is a key move of FundConnext to drive the growth of Thai mutual funds. The SEC congratulates on this success and will continue to provide regulatory support.

About The Stock Exchange of Thailand

The Stock Exchange of Thailand (SET) is among the most liquid exchanges in Asia, providing a full range of investment products including equities, derivatives, as well as world-class trading, post-trade infrastructure/technology services in accordance with international practice (EMEA and PFMI). Going forward, SET's vision "To Make the Capital Market Work for Everyone" is aligned with the aim to support strong economic growth and competitiveness. Globally and regionally, SET has also actively coordinated with other exchanges to boost investment opportunities and capital market growth potential. Moreover, SET puts strong emphasis on sustainable growth by promoting listed companies' business models that care for environmental, social and governance (ESG) practices.

About Clearstream

As an international central securities depository (ICSD), headquartered in Luxembourg, Clearstream, which is part of Deutsche Boerse Group, provides the post-trade infrastructure for the Eurobond market and services for securities from 56 domestic markets worldwide. With 13 trillion Euros in assets under custody, Clearstream is one of the world's largest settlement and custody firms for domestic and international securities. Alongside its highly automated mutual fund services, Clearstream provides clients with a 'one-stop shop' solution for all fund types.


Latest Press Release

Photo Release: KBank recognized as having the highest corporate brand value in the banking business category 2nd consecutive year

At Sukree Kaewcharoen Auditorium, the Stock Exchange of Thailand (SET), Ms. Kattiya Indaravijaya, KBank President, recently represented KBank to receive the "Thailand's Top Corporate Brand Values 2018" award in the banking business category from...

MicroBitcoin Open Source Community เซ็นสัญญากับสมาพันธ์แรงงานในเกาหลี เปิดโอกาสให้แรงงาน 1.5 ล้านคนได้ใช้เงินดิจิทัล

MicroBitcoin Open Source Community เซ็นสัญญากับสมาพันธ์แรงงาน Korea Association of Care Workers (KACW) เพื่อนำสกุลเงินดิจิทัล MicroBitcoin มาใช้ สัญญานี้ลงนามร่วมกันสามฝ่าย ได้แก่ MicroBitcoin Open Source Community, KACW และ Bluequotient...

MicroBitcoin Open Source Community Signs an Exclusive Contract with the Korea Association of Care Workers (KACW) to Expand its Usability to One and a Half Million Users

The MicroBitcoin Open Source Community has signed a contract with Korea Association of Care Workers (KACW) to adapt the MicroBitcoin blockchain network protocol. The trilateral contract was made between the MicroBitcoin Open Source Community, the Korea...

WICE establishes a joint-venture, EUROASIA TOTAL LOGISTICS, with its holding 40% of shares to provide cross-border transport services between China, Hong Kong

WICE establishes a joint-venture, "EUROASIA TOTAL LOGISTICS", with its holding 40% of shares to provide cross-border transport services between China, Hong Kong, and South East Asia with the expectation to achieve the first year's revenue at 200 million...

Photo Release: Krungsri Asset Management wins Best Asset Fund Manager 2018 from Alpha Southeast Asia

Miss Siriporn Sinacharoen, Managing Director, Krungsri Asset Management Company Limited received the Best Asset & Fund Manager Award 2018 from Alpha Southeast Asia magazine at a presentation ceremony on 18 September 2018. Behind-success factors...

Related Topics