Bualuang Securities (BLS) expects the average trading value on the Stock Exchange of Thailand this year will fall below last year's 45 billion baht a day as the cooling economy whittles down investors' risk appetite.
The average daily turnover is estimated at 43 billion as the lukewarm economy fans concerns that listed companies' earnings will miss targets this year, Bualuang Securities president Pichet Sithi-Amnuai said.
The brokerage is set to lower its SET index target this year from 1,670 points while maintaining its growth forecasts for the country's economy and listed firms' earnings at 3.7% and 15%, respectively.
Separately, BLS, a brokerage arm of Bangkok Bank, plans to maintain its top-five ranking in the industry this year. It is now fourth with a market share of 5.25%, up from 10th with 4.16% in 2012.
To enlarge its customer base and raise market share, BLS will continue to provide education and training programmes throughout this year. Last year BLS arranged 70 investment seminars that attracted more than 3,000 investors, leading to 30,000 new account openings. The broker's total trading accounts sit at 180,000.
Internet trading has grown rapidly, now accounting for 41% of its total accounts, up from 21% five years ago, he said.
The company charged a commission fee of 0.16% of the transaction value for online trading, higher than the industry's 0.14% fee amid intensified competition as traders were satisfied with BLS's services.
Given the weak sentiment, the number of initial public offering (IPO) deals is expected to be lower this year. The company estimates it will launch up to five IPO deals this year.
BLS wants to pump up its investment management business through its subsidiary Bangkok Capital Ltd, which has assets under management worth 22 billion baht from provident and private funds.
Mr Pichet said BLS planned to diversify its business structure into other related businesses over the next three years.
Brokerage generates 60% of BLS revenue, followed by derivative warrants at 20%, investment banking at 10% and others the rest.
BLS achieved revenue of 3.06 billion baht last year, down by 7.55% from 2013, for a net profit of 1 billion, down by 16%.