Thai Stocks, remains a speculating dominated stock Exchange.
As we continuously see, on the Thai Stock exchange it's the same old-saga, for so long -even getting worse...for now.
The stock mkt. here is/remains ever so over dominated by speculating on way-overvalued very, very few big cap stocks, or new IPO's, while the rest is all but ignored....even so at 1/10 the valuation and with 50 times higher or more dividend yields. Go figure.
We so have to contend with our super high dividend stocks in a strong currency with 0% stated inflation. As speculating on big cap, say DELTA, by fr the prominent one, is just not responsible investing! Today DELTA's sets another new all time high at 204 Baht, with a trailing p/e of 140 -and a stated dividend yield of 0.23%. Just Crazy. 
The alternatives in the US, as a key example, are not very investor attractive neither. Glad I for very long viewed accumulating gold here and some 2 1/2 years ago silver (but viewed taking profit on the recent mid October surge). China ETF and Xiaomi also saved the day...TOG (7) is doing fine -even while it's stock price not. I am convinced and we will shortly see if I got it right on my 3 last picks, as PRM, PSP, and FSMART should report solid-up 3 Q. earnings by November 15th. As I dare to predict here. And AIMIRT units are a solid Q. high dividend yielder.
Many months ago I thought some investor or broker rationality would start to set-in by favoring such more defensive picks with their super high yields, after all Thailand now has the highest yield gap, anywhere. (Remember, a "yield gap" refers the difference between local Bank savings accounts and reputable high dividend stocks here). Still all but ignored. Sorry I can't make rational sense in this very irrational investor behavior, on going. Except to say the SET is ever more a speculative market too often nurtured so by its brokers. When, not if, the US high tech bubble burst, so will this nonsense here I think? While discouraged, I am not giving up!
Paul A. Renaud.
www.thaistocks.com
-----------------------------------------------
Here is a Letter to the Bantkok Post editor, I just send them. To share as I fear margin trading here could be another out of norm practice, which needs to be mentioned, (btw, they never mention my website):
Please, BKK Post Editor. do not change anything without my ok, as this is a technical/professional subject very few have a proper understanding on. And I don't want to be mis-quoted and so then viewed as I "do not know what I am talking about". As a previous US licensed broker at a high level, I do know what I am talking about. :)
Best Regards,
Paul A. Renaud.
Regarding your Article in today's Biz News "SEC toughens stance on margin accounts".
The most important key rule with stock margin loans is the force-sell rule, which this article does not even mention? This is the core-protocol rule of maintenance-margin, where every day closing prices of stocks bought on margin are re-valued and based on this, the margin percentage is re-tabulated.
If the market-value falls below this daily mark to market threshold, a force-sell order is issued to the investor. Enough shares must then be sold or new cash (or shares) deposited to bring the account back up to above this minimum level. If the investor ignores this, the broker not only can, but must sell stocks to cover the shortfall without delay.
This is a mighty important key rule in any stock margin account as if not adhered to could snowball into a financial crisis leading to a negative balance owed, and so potentially brokers going out of business. This in fact happened during the Asian financial crisis of 1997, where many back then closed permanently.
Also, IPO's should never be allowed to be marginable-securities as it promotes and induces overpricing of such and then so over-speculating -only to later endure a potential price crash. To my knowledge no major stock exchange allows IPO's to be bought on margin.
Paul A. Renaud.
