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MAS, SEC Thailand Boosts Cross-Border Investment With Stock Markets’ Linkage

The Monetary Authority of Singapore (MAS) has joined forces with the Securities and Exchange Commission of Thailand to enhance connectivity between the two markets for increased cross-border investment opportunities for investors.

The regulators announced the launch of the Thailand-Singapore Depositary Receipts (DR) Linkage by the Singapore Exchange (SGX) and the Stock Exchange of Thailand (SET) in a joint statement.

Being the first exchange-level DR cooperation in ASEAN, depositary receipts representing securities listed on one market will be issued for trading on the other.

The DRs will trade according to their respective home market rules and regulations.

To promote development of cross-border products, SEC Thailand said that it has put considerable efforts to revise rules and regulations related to DR issuance in Thailand, which entered into force on 16 June 2021.

These amendments help to enhance flexibility for DR issuers and to increase investment options for investors.

The collaboration between SGX and SET is another addition to Thailand and Singapore cross-border development following the linkage of their real-time retail payment systems, a world’s first as well.

Ruenvadee Suwanmongkol, SEC Thailand Secretary-General.

Ruenvadee Suwanmongkol

“SEC Thailand looks forward to the successive implementation and participation from market stakeholders.

Meanwhile, we will continue to explore further collaborations with MAS in order to advance our capital markets development in the future,”

said Ruenvadee Suwanmongkol, Secretary-General of SEC Thailand.

Lim Tuang Lee, Assistant Managing Director (Capital Markets), MAS.

Lim Tuang Lee

“This initiative demonstrates the collaborative efforts between Thailand and Singapore to improve the inter-connectivity between our two markets and provide investors access to a wider range of investment opportunities.

We look forward to the successful introduction of DRs under the DR Linkage, and will continue to work closely with SEC Thailand to further enhance mutual connectivity and broaden investment selections for our investors,”

said Lim Tuang Lee, Assistant Managing Director (Capital Markets), MAS.

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