SEC hijacks the market to correct the criteria “Free Float-Cash” keeps an eye on DELTA being bounced past SET50 !?

Ms. Ruenwadee Suwanmongkol, secretary-general of the Securities and Exchange Commission (SEC), said that the free float criteria is the criteria set by the Stock Exchange of Thailand and must be approved by the SEC. The above criteria are very important to the liquidity of a listed company. It is also one of the securities selection criteria for the SET50 Index, SET100 Index, and SETHD Index.

However, the above criteria was last updated in 2008. Therefore, the SET It should be reviewed whether the above criteria still reflect the true distribution of minority shareholders. As the current market conditions have changed

From an example of the case of DELTA’s share price that has changed significantly in the past, the SEC has coordinated with the SET. Please closely monitor the trading conditions of such securities. To protect investors and prevent distortions of prices and trading volumes from their normal conditions Since the end of December 2020, the SEC has found that one factor is due to DELTA’s relatively low real free float. In addition, the trading price has changed rapidly. But according to the current rules, it is not considered a warning sign to make investors careful when making investment decisions.

Therefore, the SEC has requested the SET to To review the free float rules and mark-up measures to warn investors. This is especially true in the case of rapid price changes of low free float stocks, as well as other measures to protect shareholders and investors.

“Regulating securities trading in order to be orderly and to be fair. It is a measure to protect the interests of shareholders and investors. After the SET Proposed a review of the criteria Including various measures, the SEC will expedite the revision of such criteria to be submitted to the SEC for further approval, ”said the secretary-general of the SEC.

However, as the SEC stated that the Free Float criteria is extremely important. It is also a criteria for selecting stocks to calculate in various major indices such as SET50, SET100 and SETHD. If the SET has updated details of the actual rules Will the DELTA shares that began to be calculated in the SET50 Index on January 1, 2021 onwards have to be taken out of the calculation?

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