Thai mutual fund assets top B6tn in first
The industry net asset value (NAV) tallied 6.19 trillion baht as of July 2025, up 278 billion baht or 4.70% from the end of 2024 when total assets were 5.91 trillion, according to data compiled by the AIMC.
The growth was attributed to 23 licensed asset management companies operating a combined 3,410 funds, an increase of 98 funds since the start of the year.
Fixed-income funds retained their position as the largest segment in the market, benefiting from expectations of a domestic interest rate downtrend. Their total NAV rose by 307 billion baht, or 10.7%, to 3.18 trillion baht, roughly half of the entire industry.
Equity funds ranked second, though their NAV contracted by 94.2 billion baht, a decline of 5.28% year-on-year, to 1.69 trillion baht. Foreign investment funds climbed 46.6 billion baht or 3.44% to 1.4 trillion baht.
Mixed funds recorded stronger domestic investor demand, with NAV rising 13.3% to 47.2 billion baht.
Among tax-deductible funds, retirement mutual funds posted total assets of 454 billion baht, down 1.03% from last year, with net outflows of 4.74 billion baht.
In contrast, sustainable investing products under the Thai ESG banner expanded sharply, with combined NAV soaring 151% since the end of 2024 to 74.2 billion baht. Of the total, 39.6 billion baht was in Thai ESG funds, a gain of 33.7% or 10 billion baht, and 34.6 billion in Thai ESG Extra funds, a new product that raised capital between May and June this year.
Funds no longer eligible for tax incentives, such as long-term equity funds, continued to decline, with NAV falling 49.4% to 111 billion baht, down 109 billion from the start of the year.
Super Saving Funds, another tax-deductible category, posted modest growth of 1.40% to 70.4 billion baht.
Across the industry, 18 of the 23 asset management companies reported growth in total NAV, while five had declines.
Kasikorn Asset Management posted the largest absolute increase, adding 129 billion baht in assets, up 9.98% to 1.43 trillion baht, reinforcing its position among the market's leaders.
Analysts noted the fixed-income segment's strong performance reflects "investor positioning ahead of anticipated monetary policy easing" by the Bank of Thailand in late 2025, according to the AIMC.
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Bangkok Post
4 days ago
- Bangkok Post
Thai mutual fund assets top B6tn in first
Assets in Thailand's mutual fund industry have surpassed 6 trillion baht for the first time, driven by fixed-income fund inflows amid expectations of interest rate cuts, says the Association of Investment Management Companies (AIMC). The industry net asset value (NAV) tallied 6.19 trillion baht as of July 2025, up 278 billion baht or 4.70% from the end of 2024 when total assets were 5.91 trillion, according to data compiled by the AIMC. The growth was attributed to 23 licensed asset management companies operating a combined 3,410 funds, an increase of 98 funds since the start of the year. Fixed-income funds retained their position as the largest segment in the market, benefiting from expectations of a domestic interest rate downtrend. Their total NAV rose by 307 billion baht, or 10.7%, to 3.18 trillion baht, roughly half of the entire industry. Equity funds ranked second, though their NAV contracted by 94.2 billion baht, a decline of 5.28% year-on-year, to 1.69 trillion baht. Foreign investment funds climbed 46.6 billion baht or 3.44% to 1.4 trillion baht. Mixed funds recorded stronger domestic investor demand, with NAV rising 13.3% to 47.2 billion baht. Among tax-deductible funds, retirement mutual funds posted total assets of 454 billion baht, down 1.03% from last year, with net outflows of 4.74 billion baht. In contrast, sustainable investing products under the Thai ESG banner expanded sharply, with combined NAV soaring 151% since the end of 2024 to 74.2 billion baht. Of the total, 39.6 billion baht was in Thai ESG funds, a gain of 33.7% or 10 billion baht, and 34.6 billion in Thai ESG Extra funds, a new product that raised capital between May and June this year. Funds no longer eligible for tax incentives, such as long-term equity funds, continued to decline, with NAV falling 49.4% to 111 billion baht, down 109 billion from the start of the year. Super Saving Funds, another tax-deductible category, posted modest growth of 1.40% to 70.4 billion baht. Across the industry, 18 of the 23 asset management companies reported growth in total NAV, while five had declines. Kasikorn Asset Management posted the largest absolute increase, adding 129 billion baht in assets, up 9.98% to 1.43 trillion baht, reinforcing its position among the market's leaders. Analysts noted the fixed-income segment's strong performance reflects "investor positioning ahead of anticipated monetary policy easing" by the Bank of Thailand in late 2025, according to the AIMC.
Bangkok Post
14-07-2025
- Bangkok Post
Brokerages back dividend tax exemption
Brokerage firms are urging the Ministry of Finance to exempt dividend tax for stock investment to help revive investors' interest in the Thai market, which has declined by more than 20% year to date. The proposal came after the tax-deductible Thai ESG Extra (ESG X) Fund designed to stimulate long-term investment through the Stock Exchange of Thailand (SET) raised only 30 billion baht, falling short of the government's target of 100 billion baht. Paiboon Nalinthrangkurn, chief executive of Tisco Securities, said a lack of investor confidence amid domestic and global volatility may have been a key factor in the fund's underperformance. While Thailand's broader market appears weak, stocks in the SET High Dividend Index (SETHD) offer a 6.1% yield, one of the highest globally, he said. One idea is to exempt dividend tax for investments held longer than one year and allow investors to switch between securities without triggering capital gains, similar to that offered under Japan's Nippon Individual Savings Account programme, Mr Paiboon noted. "If we address the core issue with the right tools, we can rebuild confidence. High-dividend stocks are typically strong, stable companies with consistent earnings. Those are ideal for long-term investment," he told a forum co-hosted by the Federation of Thai Capital Market Organizations (Fetco) and the Thai Bond Market Association (ThaiBMA). In the worst-case scenario of the US's reciprocal tariff, Mr Paiboon said the Investment Analysts Association expects the SET index to find resistance at around 1,231 points, after previously bottoming out at 1,060. Chayanon Rakkanjanan, co-founder and chief executive of Finnomena, echoed these concerns, saying 2025 is the worst year for the Thai stock market. "Confidence in Thailand's capital markets remains fragile, pushing many investors to seek opportunities abroad. However, if the government implements serious economic stimulus and restores political stability, investor sentiment could recover," he said. He agreed that tax incentives for SETHD would make long-term investment more attractive. Fetco chairman Kobsak Pootrakool said US President Donald Trump is highly likely to proceed with the proposed reciprocal tariff. US businesses were given a 90-day grace period with only a 10% tariff, allowing them to stockpile inventory and seek non-Chinese suppliers. For US citizens, the US Congress has passed the "One Big Beautiful Bill", offering tax relief to offset rising import costs. Since early 2025, the US has already collected about US$100 billion in tariffs and the amount is projected to top $300 billion by year-end. This revenue is expected to help reduce the fiscal deficit and fund tax cuts for US households, making it politically difficult to reverse course, said Mr Kobsak, who is also executive vice-president of Bangkok Bank. "The private sector would find it acceptable if the US lowers import tariffs for Thailand to 25% from the proposed 36%," he said, suggesting the government allocate a budget to assist businesses affected by the tariffs as well as other measures to protect the agricultural sector and farmers. "Aug 1 will mark the beginning of a new global tariff regime, with country-specific rates to be announced. The changes will reshape global trade flows, affecting Thai exports and industries."
Bangkok Post
08-07-2025
- Bangkok Post
Thai ESG X funds garner B32.2bn in investment
Thai ESG Extra (Thai ESG X) funds attracted strong interest from investors, particularly holders of matured long-term equity funds (LTFs), tallying total investments of 32.2 billion baht by the end of the offering period on June 30, according to the Securities and Exchange Commission (SEC). Of the amount, 25.1 billion baht came from LTF conversions, while 7.08 billion was new capital. The converted LTF value represents 79% of eligible LTF holders with portfolios of less than 500,000 baht, highlighting the success of encouraging sustainable investing among retail investors, noted the SEC. Thai ESG X funds are a government-backed initiative to encourage investment in companies focused on environmental, social and governance (ESG) factors. The measure also aims to enhance the stability of Thailand's capital markets by offering tax incentives for new investments in Thai ESG X. "The success of Thai ESG X demonstrates investors' growing interest in supporting Thai listed companies that prioritise sustainability," said Pornanong Budsaratragoon, secretary-general of the SEC. These funds also incentivise firms still in development to align with ESG standards, in line with the country's sustainable development goals, she said. According to Mrs Pornanong, the programme represents a coordinated effort between the SEC, the Stock Exchange of Thailand and the Association of Investment Management Companies. The linked system that verifies LTF holdings across the industry can serve as a foundation for future innovations in investor services, she said. Thai ESG X funds, which were launched on May 2, offer two tiers of tax benefits. For general investors, investment in Thai ESG X allows a personal income tax deduction of up to 30% of assessable income, capped at 300,000 baht. Investors must hold the units for at least five full calendar years from the date of investment. For LTF unitholders as of March 11, 2025 who opted to switch 100% of their LTF units to Thai ESG X funds from May to June, 2025, they can claim up to 500,000 baht in tax deductions over the tax years 2025-29, comprising 300,000 baht in 2025 and 50,000 baht per year in subsequent years. For example, an investor who switches LTF units worth 380,000 baht to Thai ESG X can deduct 300,000 baht in the 2025 tax year and 20,000 baht annually from 2026 to 2029. Mrs Pornanong said ongoing market volatility led to new investments in Thai ESG X funds tallying less than 10 billion baht.
