Thailand Futures Exchange PCL (TFEX), under the Stock Exchange of Thailand (SET) group, announced that in 2014 the total trading volume reached 36.02 million contracts, or 147,025 contracts per day, a big jump of 116 percent from a year earlier. The explosive growth came mostly from the increase in popularity of stock futures and the adjustment made to reduce the contract size of SET50 futures. Meanwhile in 2015, TFEX has planned to boost liquidity, develop tools to support investors to make an inform decision and expand investor base both domestically and internationally.
TFEX Managing Director Rinjai Chakornpipat said, “TFEX’s trading volume and the number of investors increase from the previous year. For the trading volume in year 2014, 54 percent were from stock futures, 40 percent from SET50 futures and 4 percent from gold futures. On December 15, TFEX trading volume hit an all-time high of 864,479 contracts while open interest increase 169 percent to 918,187 contracts at the end of 2014. For investor breakdown, retail investors accounted for 55 percent, institutional investors 36 percent, while foreign investors represented 9 percent. Meanwhile, internet trading accounted for 43 percent of the total trading volume. At end of 2014, the total trading account of TFEX reached 100,650 accounts, up 12,957 accounts or 15 percent from the previous year.”
“Given today’s volatile market, investors are turning to stock futures as a tool to manage risk and seek better returns. It was TFEX's most actively traded product with daily average trading volume of 80,100 contracts, up 133 percent from a year earlier. SET50 futures rose 153 percent to 58,790 contracts per day due to the fact that the reduced contract size better accommodate investors trading style. On top of this, TFEX has improved its services by implementing new trading and clearing systems, as well as extending afternoon trading hour. TFEX has also added other services such as physical exchange services for USD futures and gold futures.”
“In 2015, TFEX plans to collaborate with its members to enhance liquidity of existing products, especially SET50 options and stock futures, by developing tools to support investors’ decision-making, as well as, increasing number of market makers. TFEX will continue to increase the number of investor both in Thailand and overseas via various marketing activities and media channels throughout the year such as social media, seminars, training, knowledge-sharing activities, simulation trading competition and many others.” Rinjai added.