The Stock Exchange of Thailand (SET) announces the 3-year strategic plan (2021-2023) under a theme of the “Redefine Thai Capital Market Resiliency,” aiming at integrating innovation and maximizing efficiency to all participants in the Thai capital market.
The plan comprises 8 key strategies under the sustainability framework, covering 4 areas: 1) Market growth through supply-side opportunity boost and rapid investor expansion; 2) Infrastructure expansion through building engagement and venturing new frontiers; 3) Environmental and social development through ESG cultivation and social empowerment; and 4) Continuous improvement & talent empowerment through business scalability and operational excellence.
The 3-year plan will be the main tool for implementing strategies to increase business opportunities for the overall capital market as well as create substantial positive social and environmental impacts to achieve a balanced growth between business and society.
SET President Pakorn Peetathawatchai said that SET has transitioned to the ‘Next Normal,’ by tailoring products to serve the investors’ needs and acting as a key fundraising source for the country to navigate the VUCA (Volatility, Uncertainty, Complexity and Ambiguity) world. The SET’s 3-year development framework is aimed to create balanced growth between social and business development to get the market ready for the rapidly changing digital technology, dynamic economic, and social and environmental landscapes. The framework is also to make the capital market a beneficial tool to all stakeholders, in line with SET’s vision “To Make the Capital Market ‘Work’ for Everyone.”
The four Pillars of Sustainability Framework comprising 8 key strategies:
1.1) Boost supply-side opportunities: support fundraising for new business ventures such as new economy, foreign securities, subsidiaries of listed companies, SMEs, and startups in a way that suits their risks and type of investors while promoting data utilization to foster business innovation.
1.2) Rapid investor expansion: prioritize the adoption of digital technology to develop investment channels and contents, and enhance knowledge to attract new generation investors and enable them to access necessary knowledge, open their trading accounts and start their investment quickly and conveniently. The SET will also create new investment channels to reach a more diverse and wider group of investors as well as promoting the Thai capital market to international communities through online channels and offering thematic products and services to match institutional investors’ needs.
2.1) Building engagement: develop infrastructure for listed companies and operators in the capital market, build a business data platform, promote ESG reporting, address regulatory obstacles and explore appropriate trading fees structure to increase business potential and operational efficiency of business operators.
2.2) Venturing new frontiers: develop digital infrastructure for the Thai market, add products with international exposure and provide a digital asset platform to widen business opportunities and revenue streams to the capital market’s operators while offering new investment alternatives to investors.
3.Environmental solutions & Social Development
3.1) ESG cultivation: encourage listed companies to integrate environmental, social and governance (ESG) principles into their business practices to attain sustainable investment and maintain the regional leadership in ESG. In addition, SET has partnered with alliances to raise environmental awareness in tackling climate change through ‘Care the Bear Care the Whale’ and ‘Care the Wild’ projects.
3.2)Social empowerment: set sight on becoming the country’s financial literacy center by providing the public with basic financial skills in day-to-day life. Moreover, SET plans to develop a capital market research platform, and bolster potential and capture more business opportunities for social enterprises through Social digital platforms.
4.Continuous improvement & Talent empowerment
4.1) Business scalability: upgrade securities trading system and cybersecurity to be consistent with international standards and relevant laws, as well as collaborate with partners to launch a one-stop service to serve needs of businesses and investors.
4.2) Operational excellence: deploy technology to maximize operational efficiency, streamline operational processes by adopting the Robotic Process Automation (RPA) technology, focus on risk and crisis management and communications, level up employee potential and build a working environment that suits the new normal.