The Stock Exchange of Thailand (SET) has revised regulations to accommodate the trading of mutual fund units, including Vayupak Fund One (VAYU1), making them more suitable and beneficial for investors. The amendments include the adjustment of timeframes for the disclosure of net asset value (NAV) and book closing date / record date. Additionally, short selling price regulations for market makers of VAYU1 and the tick size for VAYU1 trading will be amended. These revisions will take effect on October 1, 2024. Key points are as follows:
1) Disclosure timeframes for mutual funds
1.1 NAV disclosure: management companies will be required to disclose NAV every business day.
1.2 Entitlement date notification: notification of the book closing date or record date, and changes to such entitlement dates for mutual fund unitholders must be announced at least five business days prior to the entitlement date.
2) Revision of trading regulations for VAYU1 unit
2.1 Short selling price regulations: market makers for VAYU1 will be allowed to short sell VAYU1 units without any price restrictions. This adjustment aims to enhance liquidity of VAYU1, enabling investors to trade VAYU1 at prices consistent with the underlying securities.
2.2 Tick size: the tick size of VAYU1 unit will be adjusted to a tiered structure, the same as stocks. For example, trading prices from THB 10 to less than THB 25 will have a tick size of THB 0.10, while trading prices from THB 25 to less than THB 100 will have a tick size of THB 0.25, and so on.
Details on the revised rules are available on the SET website at www.set.or.th under the "Rules and Regulations" section, within the "Circular Letters - Listed Securities” subsection.
