Asia Plus Securities (ASPS) Research predicts 13 low free-float stocks with high volatility are likely to drop in value following a possible revision of the criteria for free-float shareholding of listed companies.
New liquidity criteria are expected to make stocks with strong fundamentals more attractive to investors.
The Securities and Exchange Commission (SEC) asked the Stock Exchange of Thailand (SET) to revise the free-float standards for minor shareholder distribution along with other measures that may reduce speculation in this stock segment.
The SEC also urged the SET to review measures on posting warning alerts to investors on certain stocks, and the criteria for new additions to the SET50 or SET100 indices.
ASPS Research said the SEC and SET have begun to observe unusual price movements and trading volume among certain equities. They should work to…
