Speaking at the recent forum “Bonds, Stocks, and Beyond: Building a Resilient Thai Economy”, they said that while the country’s money market is currently solid, with a large market capitalisation, and mature enough for businesses and entrepreneurs to raise funds, signs of sustained growth are weak due to the limited number of individual investors.
Only a few hundred thousand people of Thailand’s 77-million population invest in financial products such as bonds, stocks, and bank loans.
Worse, less than half have made well-planned investments and can allocate their investment portfolio correctly and appropriately.
In addition to accurate and clear regulations to support Thailand’s money market expansion, the experts stressed that practical practices are now required to encourage Thai citizens to participate.
Wasin suggested that the description of an investor be reviewed, stating that most Thai people do not want to become professional investors; instead, they participate with the expectation of growing their wealth rather than saving in banks.
Bonds and stocks in the capital market are additional options for people at a time when bank deposit rates are low, he said.
Theeranat added that with the country’s population continuing to age, saving for retirement is no longer an option but a must.
Taking this into account, alongside providing access to more financial literacy resources, the country must train professional financial advisors to assist most amateurs in designing the most appropriate wealth management plan.
Furthermore, he suggested that regulators find a way to force people to save for retirement, as it is clear that voluntary measures do not work well.
