Thai bourse unveils 2022-2024 strategic plan, "Connecting opportunities x Transforming possibilities," to synergize present & future worlds of investment

Tuesday 11 January 2022 11:24
The Stock Exchange of Thailand (SET) has formulated the three-year strategic plan (2022-2024) based on the concept of "Connecting opportunities x Transforming possibilities," with the aim to develop the current capital market and connect to the future world to ensure growth and sustainability aspects for both business and society. SET will debut "Thai Digital Assets Exchange (TDX)" in response to the new generation's interest as well as the "LiVE Exchange" to provide SMEs and startups with access to funding sources while allowing sophisticated investors to take part in the ownership.
Thai bourse unveils 2022-2024 strategic plan, Connecting opportunities x Transforming possibilities, to synergize present future worlds of investment

SET plans to support infrastructure to facilitate efficient business operations and cater to the new normal environment. SET aims to be the fundraising venue for businesses in the changing economic landscape, stretching into new economy industries as well as offering more investment opportunities through global capital market-linked products by enabling Thai investors to conveniently invest in other countries at lower costs.

As for the society, SET will continue to focus on financial literacy of Thai people in order to strengthen financial health in the new normal era. SET will continue to drive sustainability by cultivating a number of environmental, social and governance (ESG) experts, increasingly sharing knowledge among wider public, and supporting businesses' engagement in environmental conservation.

SET President Pakorn Peetathawatchai said that amid pandemic and the ever-changing digital world, SET is committed to capital market development for the benefits of all sectors while being resilient and having contributed continuous growth in line with the group's vision 'To Make the Capital Market Work for Everyone.' The bourse's three-year strategic plan, for 2022-2024, will expand to support both today's world and in the future as the country's attractive investment hub. Meanwhile, the financial skills of the Thai people will be enhanced continuously to achieve better financial health in the new normal era. Significantly, SET will further promote the engagement of the business sectors in protecting the environment and society toward sustainability, mainly through the following three strategies: 1) Bridging seamless opportunities across all segment, 2) Bonding innovative infrastructure with trust, and 3) Branching financial sustainability for Thais.

1) Bridging seamless opportunities across all segment - supporting fundraising through the initial public offering (IPO) of companies with high potential and rapid growth as well as the listing of foreign companies. SET will further develop a capital-raising source for social enterprises (SEs), SMEs, and startups by leveling up LiVE Platform into LiVE Exchange, which is expected to start trading in the first quarter of 2022. Moreover, listed companies of all sizes will be promoted to adopt ESG concept to become ESG Investment Stars, aiming to increase companies in global sustainability indices.

SET will promote capital market accessibility by offering easier access to investment via efficient procedures for account opening, encouraging retail investors to use digital technology in trading, and serving young generation investors with the small ticket investment products. Furthermore, SET will promote connectivity of opportunities for investment in other countries such as exchange-traded fund (ETF), depositary receipt (DR),derivative warrant (DW), as well as fractional product which is expected to start trading at the beginning of the third quarter of this year.

2) Bonding innovative infrastructure with trust - expanding the reliable and efficient digital infrastructures to serve new lifestyles of investors, and upgrading the comprehensive management of capital market professionals via digital channels. The ESG Data Platform is initiated to provide investors with useful information for their investment in sustainable stocks. Furthermore, SET will innovatively create a new platform to link the trading of traditional assets to digital assets under TDX which is expected to be launched in the third quarter of 2022.

3) Branching financial sustainability for Thais - collaborating with educational institutions. SET has continuously developed courses related to environmental, social and governance (ESG) to produce more ESG experts, while joining hands with various organizations to distribute ESG standard courses. Consequently, this will instill the long-term savings, financial and investment skills among Thai people from all walks of life for better living in the new normal era. These projects are such as the Happy Money project for happy retirement, and many others. As for the sustainability aspects, SET has increased the number of partners for environmental and climate protection via Climate Care Platform projects; and further enhanced the potential of SEs. In addition, SET also continues promoting good governance in cybersecurity among capital market's participants.

"With an aim to make the enterprise-wide operations agile, flexible effective, and competitive, SET has increasingly developed its digital transformation of infrastructures and is fully open to work with various partners. We believe that the investment worlds of today and tomorrow will be connected seamlessly in such a way as to serve the demand of issuers, investors, and stakeholders in all sectors. In addition, SET will continue to take good care of Thai people, enabling everyone to adapt to changes and grow together," added Pakorn.

Key developments and achievements in 2021

Market Growth

  • IPO market capitalization totaling THB 454 billion (approx. USD 13.55 billion), the 7th largest in Asia and the 18th ranking worldwide.
  • The most liquid stock exchange in ASEAN since 2012, with average daily trading value at THB 93.9 billion (approx. USD 2.81 billion)
  • 1.6 million new stock trading accounts, 40 percent increase from previous year. There are currently over 5 million accounts.
  • Having introduced the IPO criteria for companies in New Economy sectors that are in line with the government policy and global trends
  • Having received the Best Stock Exchange Southeast Asia 2021 Award from Global Banking and Finance Review, and the ESQR's Quality Achievements Award 2021 from the European Society for Quality Research (ESQR), reflecting the international recognition as a leading stock market in Asia

Infrastructure Expansion

  • Developing LiVE Exchange to widen opportunities for SMEs and startups for funding sources
  • Connecting products and services in global markets such as Thailand-Singapore DR Linkage, DW on DJSI, NASDAQ-100 Index, and Hang Seng Tech Index, as well as shares in Hong Kong Stock Exchange being used as underlying assets
  • Developing the Streaming Fund+ service for mutual fund trading and investment planning
  • FundConnext with more than 33,000 transactions/day of mutual fund trading, rising by over 1.6 times from 2020
  • Developing Digital Access Platform (DAP) services as "NDID Proxy" of the capital market, ready to connect databases with government organizations

Environmental Solutions & Social Development

  • Global recognitions for sustainable companies: 24 Thai listed companies included in Dow Jones Sustainability Indices (DJSI) - the highest number in ASEAN for eight consecutive years, and 11 Thai companies ranked "Gold Class" by S&P Global - the world's highest number
  • Collaborating with more partners such as National Innovation Agency (NIA), Panyapiwat and Expara Thailand to develop training courses for entrepreneurs
  • - Cultivating and disseminating financial knowledge among the Thai people via various projects: Happy Money, AOM YOUNG, and INVESTORY Mobile Exhibition on Schools, etc.
  • Moving forward via Climate Care Platforms to help reduce global warming with over 300 participating companies while reducing greenhouse gas emissions of SET building to reach carbon neutrality
  • Initiating measures for stakeholders to ease the impact of COVID-19

Source: SET Corporate Communications