13 asset firms to offer extra units

13 asset firms to offer extra units

A total asset value worth 60 billion baht for the "Super Savings Fund extra", offered by 13 asset management companies, is expected to help shore up investment volume in Thailand's stock market, says the Association of Investment Management Companies (AIMC).

Of the 15 asset management companies offering Super Savings Fund investment units, which are separated into a total of 20 Super Savings Fund extra and 52 Super Savings Fund regular units, 13 asset management companies are prepared to offer extra unit purchases tomorrow, said AIMC chairman Vasin Vanichvoranun.

The Securities and Exchange Commission approved 17 Super Savings Fund extra assets as of March 30.

"We encourage people to invest in the Super Savings Fund on a long-term basis. Investors are not recommended to rush to invest in these funds within three months [to receive an additional tax privilege], but rather to invest in certain funds and assess the stock market situation," said Mr Vasin.

The Finance Ministry will be asked to extend the unit purchase period for Super Savings Fund extra given the bourse has deteriorated further, he said.

"The most important thing is for people to take care of their health and hold some cash for daily spending amid the virus outbreak, then they can assess a long-term investment plan," said Mr Vasin.

Despite the huge investment value from the Super Savings Fund extra, this is minuscule compared to the market capitalisation of the stock market at around 11 trillion baht, he said.

The cabinet on March 10 approved a raft of measures, including allowing investors to receive an additional tax privilege of 200,000 baht of annual income, separate from the tax-deductible amount applied to retirement-related funds, for Super Savings Fund units where 65% of net assets is invested in SET-listed securities.

Investors must purchase these investment units between April 1 and June 30 and hold them for at least 10 years, starting from the date of unit purchase.

The Super Savings Fund, approved by the cabinet in December 2019, is a new tax-saving fund to replace the Long-Term Equity Funds (LTFs), whose tax incentive lapsed at the end of last year.

Super Savings Fund investment conditions are more relaxed than those for LTFs, as Super Savings Fund units can invest in any assets, while LTFs stipulate equities as the major investment asset.

Do you like the content of this article?

DR Congo reports fresh Ebola outbreak

KINSHASA - DR Congo reported a fresh Ebola outbreak in its northwest on Monday, the latest health emergency for a country already fighting an epidemic of the deadly fever in the east as well as a surging number of coronavirus infections.


Japan skies lit up to brighten mood

Simultaneous fireworks displays coloured the night skies in Tokyo and other parts of Japan on Monday, with fireworks makers hoping the sight would cheer up the nation as it struggles with the coronavirus pandemic.


Gilead: Remdesivir helped moderate patients improve

Gilead Sciences Inc said on Monday its antiviral drug remdesivir showed improvement in patients with moderate Covid-19 in a late-stage study.