Bangkok, April 21, 2016 -- The SEC is seeking public comments on draft rules concerning supervision on trigger funds and advertisement of other types of mutual funds, to be imposed on relevant intermediaries.

These proposed rules aim to provide sufficient and material information for investors? decision making, and to promote salespersons? thorough understanding of the products they offer as well as their professional ability to give appropriate information to investors.

In making appropriate adjustments and enhancing practicality for the industry, the SEC has taken into consideration comments and suggestions gathered from the previous hearing on the principles of the said rules conducted in January.  

Essentially, the draft rules emphasize the improvement of information disclosure and clearer warning of specific features of trigger funds. For example, fund intermediaries must strictly clarify that the trigger point is not a guarantee of returns, and that unit redemption ahead of the target date set in the fund scheme is not allowed.  

In addition, should past success of any trigger fund is part of an advertisment, the responsible intermediary must also disclose accurate and complete information on all other trigger funds under its management for the benefit of investors? comparative study and investment decision-making.  

Another focus of the draft rules is the supervision of advertising and sales promotion of other types of mutual funds to enhance clarity and appropriate flexibility for such activities.

The consultation paper is available at www.sec.or.th. Stakeholders and interested parties are welcome to submit comments through the website, or facsimile at 0-2263-6099 or email: napaporn@sec.or.th.     

The public hearing ends on May 23, 2016.