The SET announced that in 2006 it would look into listed companies’ actions, emphasizing their intentions. The SET will work with 3 groups of firms: 1) Companies that have already complied with the SET rules will be provided with extra advice when needed, 2) Companies that haven’t fully understood and hence not complied completely with SET rules will be offered special training programs, and 3) Companies that have shown that they did not intend to comply to rules will be monitored closely.
Investors should study the fundamental information of firms before making decisions, to help select the securities best suited for them at the most appropriate time. Investors should more closely follow all news and information they receive, especially that disseminated via the SET’s information system. In so doing, they will obtain accurate and adequate investment information on a timely basis. They should not follow rumors, news which may not be credible or confusing information.
If investors invest speculatively, they have to consider other things, e.g., whether they can bear the extra risks and whether the speculative investments are the most suitable for them. When speculating, investors are even more encouraged to study the firm’s information and news before making decisions.
All investors should regularly exercise their rights as shareholders. They should carefully use, analyze and consciously consider all information available to them, and check its accuracy, reliability and adequacy.
Investors should take special care on securities that have been trading abnormally and if trading those securities on a net settlement or margin-trading basis is not allowed. Other aspects worth keeping a watch on are any follow-up news items and fundamental information, e.g., the auditor’s opinion on the companies’ financial statements, which could indicate how reliable the firm’s figures were.