Bangkok, 24 November 2017 ? The SEC urges investors to read important information on the prospective listed companies to examine duty performance of company directors and executives before making investment decisions. Investor education, market discipline and stakeholder participation are also emphasized apart from supervision and enforcement.

Mrs. Sirivipa Supantanet, SEC Assistant Secretary?General, said: ?Annual report and other reports such as quarterly financial statements and management discussion and analysis (MD&A) are a good source of material information on listed companies. The annual registration statement (Form 56-1) in particular provides important information in three sections: (1) nature of business operation of the company, group of companies and subsidiaries, (2) management and supervision of business, the management structure of directors and executives, corporate governance and corporate social responsibility policy, and related-party transactions between the company and its sudsidiaries, and (3) management discussion and analysis of financial position.?

Before listing on the Stock Exchange of Thailand (SET), a company must pass the screening process in accordance with the principles of good corporate governance (CG).  After listing, the supervisory mechanism will ensure that listed companies maintain their quality, operate business with integrity, have an internal control system in place, and disclose sufficient information.

The SEC oversight is generally based on the concept of moving toward standardization and emphasizes measures for business development and mechanism for investor education, market disciplines and industry participations. Duty performance of company directors and executives is closely monitored to ensure compliance with corporate governance, protection of company interest and prevention of conflicts of interest.

The SET has conducted a public hearing on draft preliminary measures whereby listed companies with financial problems or issues on financial statements or nature of business opreation woud be subject to cash balance trading, symbolized by te ?C? sign.

Investors are advised not only to keep abreast of the important information disclosed by listed companies via the SET on a regular basis, but also to make use of the auditor's report and the financial statements ("Key Audit Matter? or ?KAM") to support their investment decision-making. They should also be conversant with any disclosure of information with respect to asset acqusition or disposal ("material transaction? or ?MT") and related-party transactions ("RPT") between listed companies and related persons. Monitoring acitivities of invested companies is also a must as sometimes regulators are not legally authorized to issue an order in certain matters.

Disclosure of sufficient information is an important first sign to consider whether or not a prespective company is worth investing. The SEC therefore requires immediate disclosure and reporting in case of severe damage, business discontinuation, change to the nature of business, agreement of management control by a third party, business takeover, or any other incidents affecting or to affect the rights and benefits or investment decision-making of shareholders.

?Investors are a key component in the quality chain of listed company supervision. Apart from the awareness of their own rights, investors are advised to proactively protect them by getting well-informed of important information and reports and attending the shareholders? meetings to seek sufficient and necessary information for making investment decisions,? Mrs. Sirivipa said.