The Stock Exchange of Thailand (SET) has announced the launch of new services aimed at establishing the market as a post-trade hub for Southeast Asia.
In Q3 this year, the exchange plans to launch a new corporate actions solution based on messaging standards developed by bank-owned financial messaging cooperative SWIFT, and third-party clearing services, which it claims will boost trading volumes on SET and increase business opportunities for the Thailand Securities Depository and the Thailand Clearing House (TCH), both subsidiaries of SET.
“The Thai bourse will be the first exchange in ASEAN to use SWIFT messages for distributing information of listed firms,” said Bordin Unakul, vice president, post-trade services and development, SET. “Receivers can also transfer information into their data base automatically using straight-through processing. The third-party clearing service will boost liquidity and increase transaction volume.”
Third-party clearing capabilities are due to commence in July and will enable brokerages that are members of the TCH to clear and settle trades on behalf on non-members. According to SET, the TCH, which clears Thai derivatives, securities and OTC trades, has a total of 89 members, including 37 brokerages and 46 commercial banks.
For corporate actions, SET asserted that implementing the internationally-recognised SWIFT standard to receive information and data from listed companies will ensure that market participants receive market information quickly and accurately. The new corporate actions service is will start in September.