Thailand Futures Exchange Public Company Limited (TFEX)
was established as the sole central market place for trading derivatives in Thailand. TFEX offers a wide range of derivatives, including equity, precious metal, agricultural, currency and interest rate derivatives, designed to suit Thai financial market and the need of investors for managing risks or enhancing returns of their investment efficiently.
TFEX offers a wide range of derivatives products.
categories, using financial, commodities, and agricultural products as underlying assets:
Equity instruments
such as Stock Index and Individual Stocks
Debt instruments
such as Government Bonds and Interest Rates
Commodities
such as Gold and Silver
Exchange rates
USD/THB, EUR/THB, JPY/THB, EUR/USD, USD/JPY
Agricultural products
such as Rubber
Products
| Equity |     |
| Precious Metal |     |
| Interest Rate |  |
| Agriculture |   |
| Currency Futures |  |
The Role of TFEX
TFEX plays an important role in the stability and sustainability of Thai financial market and economy. TFEX’s main objective is to generate value for investors and stakeholders, as outlined below:
TFEX plays an important role in the stability and sustainability of Thai financial market and economy. TFEX’s main objective is to generate value for investors and stakeholders, as outlined below:
 | To establish a centralized and standardized derivative trading center |
| To offer investors and entrepreneurs the information on price discovery in the market that can be used to reflect market expectations |
Thailand Futures Exchange (TFEX)
a subsidiary of the Stock Exchange of Thailand (SET), was established on May 17, 2004 as a derivatives exchange. TFEX is governed by the Derivatives Act B.E. 2546 (2003) and is under the supervision of the Securities and Exchange Commission (SEC). TFEX received license and permission to trade derivatives products from the SEC on Feb 11, 2005.
a subsidiary of the Stock Exchange of Thailand (SET), was established on May 17, 2004 as a derivatives exchange. TFEX is governed by the Derivatives Act B.E. 2546 (2003) and is under the supervision of the Securities and Exchange Commission (SEC). TFEX received license and permission to trade derivatives products from the SEC on Feb 11, 2005.
A Variety of Products and Services
TFEX has continuously developed its products and services to better suit investors’ demand. TFEX offers a variety of derivatives products, where the underlying assets are equity, debt instrument, commodity, exchange rate, and other indices. For example, these are SET50 Index Futures, Stock Futures, Gold Futures, Currency Futures, Rubber Futures, and SET50 Index Options.
TFEX has also provided its services to better align with international standards, such as providing block trading transactions, co-location, foreign currency collateral and extended trading hours.
TFEX has continuously developed its products and services to better suit investors’ demand. TFEX offers a variety of derivatives products, where the underlying assets are equity, debt instrument, commodity, exchange rate, and other indices. For example, these are SET50 Index Futures, Stock Futures, Gold Futures, Currency Futures, Rubber Futures, and SET50 Index Options.
TFEX has also provided its services to better align with international standards, such as providing block trading transactions, co-location, foreign currency collateral and extended trading hours.
Tradable in All Market Conditions
Investors can buy or sell derivatives contracts without immediate delivery or payment, providing the chance to sell products without the need for prior possession of the underlying goods. This flexible trading mechanism enables investors to potentially succeed in any market conditions.
Market up:
Investors who hold a long position will generate profits,
whereas those who hold a short position will incur losses.
Market down:
Investors who hold a short position will gain profits,
whereas those who hold a long position will incur losses.
Investors can buy or sell derivatives contracts without immediate delivery or payment, providing the chance to sell products without the need for prior possession of the underlying goods. This flexible trading mechanism enables investors to potentially succeed in any market conditions.
Market up:
Investors who hold a long position will generate profits,
whereas those who hold a short position will incur losses.
Market down:
Investors who hold a short position will gain profits,
whereas those who hold a long position will incur losses.
The Power of Leverage
TFEX offers a trading mechanism that enables investors to trade a large contract value of futures and options with a relatively small amount of capital. This is called greater capital efficiency. In addition, another benefit of leverage is gaining increased exposure in the underlying asset via having the position in futures or options contract.
TFEX offers a trading mechanism that enables investors to trade a large contract value of futures and options with a relatively small amount of capital. This is called greater capital efficiency. In addition, another benefit of leverage is gaining increased exposure in the underlying asset via having the position in futures or options contract.
Equipped with efficient clearing and settlement systems
Clearing and settlement mechanisms are in place to ensure integrity, transparency, and flexibility in all transactions. In addition, all trades on TFEX are cleared by the reliable clearing house with a fully integrated derivatives trading, clearing, settlement and depositary services.
Clearing and settlement mechanisms are in place to ensure integrity, transparency, and flexibility in all transactions. In addition, all trades on TFEX are cleared by the reliable clearing house with a fully integrated derivatives trading, clearing, settlement and depositary services.