SET and KTB to launch the first DRx based on Apple and Tesla stocks

BANGKOK, The Stock Exchange of Thailand (SET) and Krungthai

Bank pcl (KTB) will launch its first ever fractional depositary receipts (DRx)

to make high-flying global stocks more affordable on the Thai bourse. The first

two DRx based on Apple and Tesla as underlying stocks, issued by Krungthai Bank

pcl (KTB), will start trading on September 29.

 

SET President Pakorn Peetathawatchai said that new product development is an

integral part of SET’s strategic plan to cater to the needs of investors. The

latest initiative is the launch of DRx, designed to suit with the investment

behavior of new generations who want to invest in the world’s leading stocks

with a small amount of money.

 

DRx is a type of DR, which enables Investors to get benefits similar to direct

investment in foreign shares. Investors are able to buy or sell a fraction of DR

unit (starting from 0.0001 unit) during trading hours of the underlying

securities domiciled in international market. Trading hours for APL80X and

TSLA80X which are based on Nasdaq-listed Apple Inc. and Tesla Inc. stocks,

respectively, will then start from 20.00 hrs. to 04.00 hrs. of the following

day.

 

Payong Srivanich, Krungthai Bank’s CEO, stated that as a leading commercial bank

in Thailand, Krungthai Bank is determined to continue developing financial

products and services to respond to all investment and savings needs of the

customers. The two DRx representing the stocks of Apple Inc. and Tesla, Inc.,

which are listed in the U.S.’s NASDAQ stock market, are fundamentally strong and

have high growth potential. Besides, Thai investors are familiar with them. The

two DRx, namely AAPL80X (Apple DRx) and TSLA80X (Tesla DRx), will become

available to investors through the Stock Exchange of Thailand at the same time.

 

Krungthai Bank prioritizes corporate responsibility and takes into consideration

all groups of stakeholders. This fortifies Krungthai’s position as a market

leader in ESG financial solutions who is ready to address the Sustainable

Development Goals (SDGs) by improving the quality of life of all customers

through the development of digital infrastructure and using innovation as the

driving force to propel the country’s economy toward sustainability. It also

aims to address customers’ savings and investment needs by removing constraints

and allowing Thai investors, especially retail investors, to easily and

conveniently invest in foreign shares through the Stock Exchange of Thailand.

 

Apple Inc. is a world leader in technology that constantly innovates and

launches pioneering products to the market, including Mac, iPhone, Apple Watch

and iPad. It has a loyal customer base thanks to its ability to create an

ecosystem that makes Apple’s devices even more easy to use, which is exactly

what the younger generation wants. As a result, Apple’s customer base continues

to grow and existing customers are retained. Tesla is a leader in the automotive

industry and the world’s biggest electric vehicle (EV) manufacturer. The

company has been investing heavily in the past few years to boost efficiency and

capacity to meet rising market demands. Tesla recorded a profit margin of 25.3%

in 2021 and 27.2% in the first half of 2022 and it aims to accelerate the

transition to a sustainable future.

 

Source: The Stock Exchange of Thailand

Post Author: web Desk