The Stock Exchange of Thailand (SET) has been requested by the Securities and Exchange Commission (SEC) to carry out a comprehensive review of the use of trading programs, including high-frequency trading (HFT). This initiative has been launched to assess the current trading volumes and their suitability for the Thai stock market.
SEC’s secretary-general, Pornanong Budsaratragoon, revealed in a Bangkok Post interview that certain investors voiced concerns regarding the potential linkage of these programs, including HFT, to short-selling or naked shorting orders.
Pornanong has urged the SET to provide the findings from a study on trading programs, which presently account for 35-36% of the total trading value. It is worth noting that HFT alone represents 10%-15% of the trading value.
The volume generated via trading programs on the SET has seen a…
