BANGKOK, June 13 – Foreign investors will continue their long-term investment in the Thai bourse despite an index plunge for almost two weeks, according to an executive of the Stock Exchange of Thailand (SET).
Pakorn Peetathawatchai, SET executive vice president, said the MSCI indices on the investment ratio and attractiveness of the Thai stock market remain unchanged and the current capital outflows should be only short term.
Investors in the Thai stock market are more diverse with newcomers and asset management institutions which have initiated stock funds by 39.4 per cent more than last year, apparently in accord with the higher SET index, he said, adding that trading volume has increased from Bt7-8 billion to Bt12 billion a day.
He said stock indices in the TIP group — Thailand, Indonesia and the Philippines –dropped sharply with Thailand at 7.01 per cent, the Philippines at 6.63 per cent and Indonesia at 9.05 per cent during June 1-11.
However, the stock market sentiment will remain volatile from the global economic impact and a close monitoring of the US quantitative easing is necessary.
Thailand’s fundamentals remain strong and the government’s investment infrastructure development will stimulate the economy this year, he said.
