Page 32 - SET SD 2563 - EN

About This Report Messages from
& Contents the Chairman & President
About SET and Sustainable Sustainability Performance
SET Development
Sustainability Management
Market Growth
Sustainable Product, Service and Innovations Development
203-1
Products and Services for Sustainable Investment 417-1
SETTHSI Index: The Sustainability Index for the Thai Capital Market
The Stock Exchange of Thailand publishes the SETTHSI Index, a stock price index which highlights the SET-listed companies that passed the Thailand Sustainability Investment (THSI) assessment criteria, to reflect the movement of securities prices of listed companies operating their businesses with economic, social and environmental considerations. The SETTHSI Index is both a Benchmark Index and a reference index for issuing other financial products such as mutual funds or ETFs based on the sustainable stock list.
The SETTHSI Index helps to promote the idea of sustainable investment in Thailand. By the end of 2020, 58 listed companies were on the SETTHSI Index, accounting for 61% of the market capitalization. In addition, it was found that the stocks listed in the SETTHSI Index provided a higher Total Return Index (TRI) than those in the SET100 Index in both Daily and Holding Period Returns2.
ESG Ratings: Sustainability Assessment Information Service
Currently, stakeholders in the capital market are demonstrating greater demands for sustainability information disclosures. SET therefore consolidates the Thai listed companies’ sustainability assessment results (ESG Ratings) and publishes this information through www.settrade.com to provide investors with more comprehensive information for decision-making. Such information includes the Thailand Sustainability Investment List (THSI), SETTHSI Index, Dow Jones Sustainability Indices (DJSI), and the results of Corporate Governance Report (CGR) of Listed Companies. SET correspondingly collaborates with the world’s leading sustainability rating agencies, including Arabesque S-Ray and Vigeo Eiris, to provide information on ESG Ratings to investors at no cost.
In 2020, there were over 134,000 viewers3 of ESG Ratings information on www.settrade.com. Furthermore, SET has
2 Testing period of 21 months (January 2019-September 2020) 3 Data from 29 March – 31 December 2020
extended its cooperation with additional global sustainability rating agencies to disseminate the Thai listed companies’ sustainability assessment results.
Inclusive Innovation Development
SET develops work systems and infrastructure to support investments in various digital assets and transactions. Examples include trading systems, payment systems, and data transmission systems. Everyone is able to access these channels and benefit from the capital market to its fullest potential. In 2020, key performances in this area were as follows.
Providing Connectivity Services and Access Support for Digital Transactions (Digital Gateway)
SET develops Digital Gateway systems to provide connectivity and access to digital transactions that streamline electronic transactions and reduces capital market redundancy as a whole. Important services offered include information linkages to the National Digital ID (NDID) or NDID Proxy, a digital identity verification platform (eKYC) that verifies the identities of investors when they register accounts for securities trading, mutual funds, life insurance or other types of accounts online, from anywhere. This system was launched in November 2020 and has handled more than 900 transactions by the end of 2020.
Moreover, SET has developed various connectivity systems to promote access to digital transactions with other organizations, which will assist operators in managing their costs and time effectively. These include:
• System linkage to the Department of Provincial Administration for National ID card status verification.
• Electronic stamp duty payment service for electronic
instruments according to the Notification of the Revenue Department, whereby the stamp duty is paid instantly through SET's platform without the need to pre-purchase paper stamp duty.
Both systems commenced service in July 2020 and received more than 5,000 transactions by the end of 2020.
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Sustainability Report 2020