SET eyes new stock trading accounts

SET eyes new stock trading accounts

The Stock Exchange of Thailand (SET) plans to double stock trading accounts to 1.5 million in the coming years through the internet, bank and broker channels.

On Thursday it signed an agreement with CIMB Thai Bank as the ninth partner bank for the Banker to Broker project, begun three years ago to foster synergy with banks. The other banking partners are Bangkok Bank, Bank of Ayudhya, Kasikornbank, Tisco Bank, Krungthai Bank, Thanachart Bank, Siam Commercial Bank and Kiatnakin Bank.

The SET will teach bank staff about equity markets and recommend products to suggest to customers opening securities trading accounts.

"Banks are a high-potential channel in expanding the investor base," said SET president Charamporn Jotikasthira.

"Most of their customers still park money in deposit accounts offering low risk and low return, while the capital market provides them with a greater choice of investment and higher return."

The SET expects 25,000 new securities trading accounts via the bank channel this year, up from 15,000 last year.

In the first half of this year, new trading accounts from banking totalled 20,000.

Combined securities trading accounts now number 850,000, up from 750,000 in the past two years.

"An additional 600,000 accounts is possible," said Mr Charamporn.

In the first half, new internet trading accounts surpassed the SET's full-year target of 120,000 as the market broadly rose. Last year saw 100,000 new online trading accounts.

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