The Stock Exchange of Thailand (SET) is extending the trading hours for depositary receipts (DRs) linked to US and European securities, allowing trading during both daytime and nighttime sessions starting May 6.
The move is to enhance Thai investors' access to global markets amid rising demand for foreign exposure, said SET senior executive vice-president Rinjai Chakornpipat.
Under the new schedule, DRs referencing US and European assets can be traded from 10am to 4.30pm and from 7pm to 3am the next day (all Bangkok time).
DRs tied to Asian markets will continue to be traded during regular daytime hours in accordance with Thailand's time zone.
"This trading hour extension will provide Thai investors with enhanced access to foreign securities via the SET for portfolio diversification and greater investment options that match their needs, while enabling a scalable framework for future product development," she said.
In addition, all 20 existing fractional depositary receipts (DRx) that are linked to US-listed securities will be automatically integrated with their corresponding DRs on May 6.
Investors can track prices and execute trades for all DRs using their existing securities trading accounts through any brokerage platform.
"The improvements will simplify the trading experience and offer greater flexibility for investors seeking global diversification through the Thai market," said Ms Rinjai.
DR and DRx have gained significant traction in the Thai market, driven by the convenience of buying foreign shares in baht and the attractive returns compared with domestic equities, she said.
As of April 23, DR and DRx offerings included 89 products referencing leading securities from the Americas, Europe and Asia, with a total of five DR licensed issuers.
The combined market capitalisation was roughly 31 billion baht (US$926 million), with an average daily trading value of 580 million baht, growing by more than 140% from the previous year.
Investors can access DR price information and submit their orders through all trading platforms operated by securities companies using their current securities trading accounts.
The price of DRs will be referenced to the original underlying share, but delayed by roughly 15 minutes, said Ms Rinjai.
She said the SET expects 30 new DRs to be registered in May to meet growing demand from Thai investors. Looking ahead, multiple DRs referencing the same underlying securities but issued by different sponsors may be introduced, offering investors greater choice and competition, said Ms Rinjai.
"The expansion of DR trading hours and consolidation of DRx is part of our long-term commitment to making international investment more accessible, flexible and investor-friendly," she said.