Bullish SET index foreseen for two years

BANGKOK, January 24 (TNA) - The Federation of Thai Capital Market Organizations (FETCO) says that the Stock Exchange of Thailand (SET) index should remain bullish over the next two years. FETCO Chairperson Vorawan Tarapoom made the assessment during a seminar on the Thai capital market outlook and preparations for the Thai economy to cope with changing world technologies, held in Bangkok on January 23. Vorawan attributed the rising SET index since early this year to the concrete world economic recovery, especially in the G3 group, comprising the United States, Japan and the European Union (EU), which has boosted Thai exports and tourism consequently. Vorawan pointed out that returns from investment on the Thai bourse are also higher than investment in other sectors by about 12 per cent annually, with the returns from investment in long-term mutual funds alone being even higher at 20-30 per cent annually on average. The FETCO chairwoman cautioned, however, that the uncertain domestic political situation in terms of the new general election date remains a short-term risk factor against the rising SET index, but a few month- postponement of the new general election, if clearly set, should keep the SET index bullish as it should enhance confidence among international investors. (TNA)