K-Sec keen on offshore trading

Kasikorn Securities (K-Sec) plans to provide offshore trading next year aimed at attracting investors keen to trade global equities and other products.

It also plans to offer trading fees at half the market rate, said executive chairman Thiti Tantikulanan.

The company will provide global equity trading for 30 countries covering 40 markets next year.

The average commission fee for global equity trading currently stands at 0.5%, but K-Sec can offer a fee rate of 0.25%.

Mr Thiti said its parent company, Kasikornbank, which has a worldwide network, would be able to support the company in accessing global investment destinations more conveniently and at more competitive costs. These include a reduction in the cost of currency exchange and trading transaction costs across other exchanges.

“With the support of our parent company, we can offer trading fees at a lower rate than others in the industry. We can also provide good global investment research through our global partners,” he said.

“Offshore trading has plenty of room to grow. Investors can seek investment in other markets to get a better return, especially when the local market is highly volatile,” said Mr Thiti.

He said next year K-Sec also aimed to improve its market share from sixth among 38 active brokers to the top three by expanding the investor base among both retail and institutional investors.

K-Sec’s market share as of Oct 31 stood at 4.42%. The company was also named the best derivative house by the Stock Exchange of Thailand.

The company also will focus on upgrading the quality of research and investment through training courses and issuing new products, especially derivatives.

Sutthisit Jamdee, assistant managing director of the financial product development department, said it started offering derivative products only a year ago but it was very active in both trading volume and new product issuances. This means it could be among the top three on the Thailand Futures Exchange (TFEX).

“We are issuing derivative warrants focusing on the SET 100, together with being one of the market makers. Market makers are essential for the TFEX as they can improve trading value and volume for the entire market,” said Mr Sutthisit.