New SEC head seeks to restore investor confidence in Thai capital market

[snoop1130]

 

BANGKOK (NNT) - With the Securities and Exchange Commission (SEC) having recently received a new secretary-general, the agency is now implementing an urgent policy to rebuild confidence among stock investors, who were shaken earlier this year by developments concerning More Return Plc. and Stark Corporation Plc. The agency is also hoping to elevate the Thai capital market into a funding and saving destination for all segments of the public.

 

SEC Secretary-General Pornanong Budsaratragoon said the first matter to be pursued by the SEC going forward is fostering investors’ confidence. This would be done by developing and regulating the capital market so it would function as a funding tool for all levels of businesses as well as a tool for saving money for those in the people sector. The SEC hopes for the capital market to function as a key mechanism promoting economic sustainability.

 

According to Pornanong, actions are being taken jointly with the Department of Special Investigation as a result of developments surrounding STARK and MORE shares in the stock exchange. Said actions include prosecution, expanding on the charges being sought, and penalizing wrongdoers. The SEC will seek to communicate with investors about the progression in these matters. A feasibility study is currently ongoing to determine whether a fund for rehabilitating those who suffered losses from their investments could be set up. Said study is looking into potential sources of funding for the fund, the form of operation the fund would take, as well as the fund’s work mechanism.

 

On the topic of regulating digital assets, the SEC secretary-general explained that the Emergency Decree on Digital Asset Businesses already provided robust oversight on this front. The wider Securities and Exchange Act, meanwhile, is being improved to also include matters of digital assets governance. The Council of State is now vetting the proposed amendment to the Securities and Exchange Act. Once this step is complete, the National Assembly will deliberate on the revised bill and give its validation. All aspects of the amendment are expected to become clear by year’s end.

 

Pornanong also commented on the government’s economic stimulation measures, acknowledging they are having positive effects on the Thai capital market. This is especially true with policies that promote improved profits at listed companies and the transfer of these profits to investors. The SEC chief also noted that leading up to this point, the Thai capital market was under heavy pressure from external factors, the interest rate hike cycle, and the depreciation of the Thai baht.

 

By Na-ark Rojanasuvan

 

Full story: NNT 2023-10-11

 

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[retarius]

Well she's got my vote of confidence anyway, not that I will be investing in Thailand's capital markets.

[Purdey]

This type of announcement occurs every time the market takes a bath.

There is a spreadsheet in the SET website that states how many companies have historically delisted. While the majority voluntarily delisted the number delisted forcibly are few. The SET is just too easy on criminals. 

Edited October 12, 2023 by Purdey