The Stock Exchange of Thailand (SET) reveals that assets under management (AUM) of the ten exchange-traded funds (ETFs) listed on SET has expanded 53 percent to THB 8.61 billion (approx. USD 278 million) in the first ten months of 2012, compared with THB 5.62 billion a year earlier, as a result of continued promotional activities and numerous marketing campaigns since the beginning of the year.
In the first 10 months of this year, total trading value of all ETFs amounted to more than THB 10.79 billion, up 59 percent from the same period last year; in particular the AUM of ThaiDex SET50 Exchange-Traded Fund (TDEX) grew to THB 6.05 billion, caused by the rise in the number of institutional investors. The impressive growth was also attributed to the listing of two new ETFs, including Thanachart Gold ETF (TGOLDETF), which invests in one troy-ounce 99.99% gold, and KTAM Hong Kong ETF Tracker (HK), which invests in common shares in Hong Kong’s Hang Seng Index, managed by Krung Thai Asset Management pcl.
Currently, there are ten ETFs listed on the bourse, and KTAM SET Banking ETF Tracker (EBANK), managed by Krung Thai Asset Management pcl and tracking SET Banking Sector index, is set to launch on November 20.
SET President Charamporn Jotikasthira said; “The number of ETF investors has been rising. There are over 10,000 accounts trading ETFs in total for this year, or up averagely 16 percent per month from the same period last year. SET has received good collaboration from BBL Asset Management Co., Ltd., Kasikorn Asset Management Co., Ltd., Krung Thai Asset Management pcl, One Asset Management Limited, and Thanachart Fund Management, all of which have set up ETFs, as well as Ausiris Futures Co., Ltd., Hua Seng Heng Gold Futures Co., Ltd., KGI Securities pcl, Phatra Securities pcl, KT Seamico Securities pcl, MTS Gold Futures Co., Ltd., Thanachart Securities pcl, and YLG Bullion & Futures Co., Ltd., which are market makers and participating dealers. They all have contributed to and supported the development of ETFs, enabling the funds to relate to a broader variety of underlying asset types, including local securities, overseas securities and gold, so that investors will have more investment alternatives.”
Since the start of 2012, SET has organized educational activities to promote ETFs through training and seminar sessions as well as various types of media in cooperation with securities companies. In addition, SET held a marketing event titled “ETF – A big jackpot, a big chance to win a THB 10,000 voucher every week” during March and October, which was well-received and successful in educating and boosting public interest in ETFs. SET will go on educating investors while collaborating with related agencies in order to enable savers and investors to have a better understanding about ETFs, both in terms of benefits and risks, and to be more confident in investing in ETFs.
For more information on ETF, please contact your securities company, or visit www.set.or.th/etf.