The Stock Exchange of Thailand (SET) will prolong its recent trading rule amendments, which are short-selling and ceiling & floor, until September 30, 2020, or before, (from June 30 previously) due to continued market volatility as well as uncertain global economy and the COVID-19 pandemic situation. Likewise, Thailand Futures Exchange’s (TFEX) daily price limit rule will be extended to the same effective end date. The period extension has already undergone the hearing from stakeholders and has been approved by the Securities and Exchange Commission (SEC).
The short-selling rule has lately been tightened by allowing investors to trade only at the price higher than the last trading price (uptick), while ceiling & floor rule has been adjusted to +/- 15% from +/- 30%, in order to mitigate market disturbance caused by COVID-19 crisis.
Meanwhile, TFEX has recently announced the amended rule of daily price limit of SET50 Index Futures, SET50 Index Options, Sector Futures, and Single Stock Futures to +/- 15% from +/- 30% of the latest settlement price to be in line with underlying assets.
SET and Market for Alternative Investment (mai)
|
|
Normal |
Temporary (no longer than Sept 30, 2020) |
|
Short Selling |
Zero Plus Tick
|
Uptick |
|
Ceiling & Floor Stocks / Investment Units / DR / ETF / Warrant / DW / TSR |
+/- 30% |
+/- 15% |
|
Foreign share |
+/- 60% |
+/- 30% |
Note: Ceiling & Floor of Warrant / DW / TSR is set at +/-15% of the closing price of the underlying asset on the previous business day multiplied by the conversion rate.
TFEX
|
|
Normal |
Temporary (no longer than Sept 30, 2020) |
|
Daily Price Limit |
|
|
|
SET50 Index Futures / SET50 Index Options / Sector Futures / Single Stock Futures |
+/- 30%
|
+/-15%
|
Note: Daily Price Limit of SET50 Index Options is set at +/- 15% of the closing price of SET50 Index on the previous business day.
