Thai Bourse Market Report For 2015 And December 2015

The Stock Exchange of Thailand (SET) index ended 2015 at 1,288.02 points, down 14.0 percent from end-2014 as market sentiment was affected by internal and external factors, which were a lower-than-forecast GDP growth, the export slowdown, concerns about slowing Chinese economic growth, the US Federal Reserve (the Fed) interest rate rise for the first time in nine years, and low oil prices from oversupply. However, the SET Index that moved in the same direction as the other exchanges in the region provided better returns than the MSCI Emerging Markets Index.

In addition, both the dividend yield ratio of the SET’s main board and Market for Alternative Investment (mai) rose to 3.58 percent and 1.29 percent respectively, compared with the figures at the end of 2014. 

At the end of December, the combined market capitalization of the SET’s main board and Market for Alternative Investment (mai) was at THB 12.61 trillion (USD 350 billion), a 11.47 percent drop from end-2014. The average daily trading value of SET and mai in 2015 decreased to THB 44.3 billion, down 2.56 percent from 2014.

Key highlights for December

Securities:

• SET index ended 2015 at 1,288.02 points, down 14.0 percent from end-2014, or down 5.3 percent from end-November 2015.
• Market capitalization of SET was at THB 12.28 trillion (USD 341.2 billion), down 11.36 percent from the end of 2014, while market valuation of mai was at THB 323.48 billion (USD 8.99 billion), down 15.56 percent from the end of 2014.
• 2015 forward P/E ratio of SET decreased to 14.51 times from 16.09 a year ago, but slightly lower than the average of 14.68 times for the other exchanges in the region, while mai's forward P/E ratio decreased to 27.38 times from 34.26 a year ago.
• The dividend yield ratio of SET was at 3.58 percent at the end of December, while mai's was at 1.29 percent.
• In December, 2015, average daily trading value of SET and mai rose 8.83 percent from a month earlier to THB 41.7 billion (USD 1.16 billion), while the average daily trading value of SET and mai decreased 2.56 percent to THB 44.3 billion (USD 1.23 billion).
• Foreign investors were net sellers, selling Thai shares worth a net of THB 32.5 billion in December. They sold a net of THB 155.6 billion for the whole year of 2015, while retail and institutional investors were net buyers.
• Listed companies raised funds through equity worth a combined THB 262.8 billion in 2015, up 1.3 percent from 2014. From that amount, THB 130.6 billion was raised from initial public offerings (IPOs) of 33 companies, two infrastructure funds and six leasehold real estate investment trusts; and THB 133.2 billion was raised from the secondary market.

Derivatives:

• Derivatives trading volume rose 87.51 percent in December from a month earlier to an average of 281,079 contracts per day. For the whole year of 2015, trading volume rose 35.86 percent to 199,749 contracts per day on average, mostly due to the increasing transactions of SET50 Index Options and SET50 Index Futures.
• In 2015, Single Stock Futures traded a total of 81,103 contracts per day on average, Single Stock Options traded a total of 1,264 contracts per day on average, while SET50 Index Futures traded a total of 110,142 contracts per day.

For more information, please visit www.set.or.th/setresearch .