Thai stock market also referred to as “Thai SET” is one of the most vibrant stock exchange markets in the world. It’s located in the famous city of Bangkok. Over 500 big companies are listed in the Thailand stock exchange with a combined market capitalization that runs into billions. The stock market has specific indices which include SET50 Index, SET100 index and SET index. Over the years, the stock e market has continued to grow in leaps and bounds. It attracts more companies on yearly basis. It’s indeed a fertile ground for investors.
Thai stock market has a checkered history. It developed in two main phases. The first phase started in 1962 when the market was privately owned. The Thailand stock exchange was known then as Bangkok Stock Exchange. As at then, it wasn’t one of the best stocks that pay dividends. It operated till the early 1970s when the Thai government established the Securities Exchange of the nation. This later became the official security market of Thailand. To make the market secure, the Thai government provided adequate procedures and facilities. Later on in May 1974, the official law that established the Securities Exchange of Thailand was enacted. This led to the commencement of official trading at the stock market. Lots of investors started coming into the company. Later on in January 1991, the Securities Exchange market was officially changed to “The Stock Exchange of Thailand” (SET).
The Roles of the Thai Stock Market
Following the legislation that established the Thailand stock exchange, the market was assigned specific primary roles. These basic roles include:
- To operate as a trading center for securities that are listed on the market
- To provide the necessary systems required for securities trading
- To run businesses relating to securities exchange.
- To run any other business approved by the Securities Exchange Commission (SEC)
- To become one of the best stocks that pay dividends
To learn more about the stock market, it’s important we take a look at how stock market works.
Thailand Stock Exchange and Its Operations
When looking at how stock market works, the focus should be on the basic operational pattern which the market follows. As one of the best stocks that pay dividends, the Securities Exchange of Thailand operates as a juristic entity set up under well enacted laws. It operates by following a detailed legal procedure and laid down rules enshrined in the nation’s Securities Exchange Act of 1992. It operates today as a center for trading available securities that are listed. It also promotes financial services across the nation.
The Thailand stock exchange runs unique operations such as listing of securities, supervising listed companies, disclosing of trading information, market monitoring and so on. It runs an automated order matching system. It also operates within specific trading hours. Indeed, the stock market is very lucrative. Investors do make lots of monetary returns when they get listed on the Thai Stock Market.