Tisco Securities, Deutsche Bank in JV
Advisory to offer equity research, consultancy on Thai companies
Deutsche Bank and Tisco Securities have formed a joint venture, Deutsche Tisco Investment Advisory, to offer equity research and advisory services on Thai companies.
The research will be issued via Deutsche Bank's global equities research arm.
Tisco Securities, a unit of Tisco Financial Group, will hold a 51-per-cent stake in the JV, with Deutsche Bank owning the remainder.
Deutsche Tisco Investment Advisory, which is capitalised at Bt100 million, will be fully operational this month and serve institutional investors both in Thailand and those offshore seeking exposure to the Thai equity market, which was among the world's top 10 best-performing stock markets last year.
Paiboon Nalintrangkurn, CEO of Tisco Securities, yesterday said the JV meant the company now targeted getting into the top three in the combined local and foreign institutional customer segments next year in terms of trading volume. Currently, Tisco is in the top five in these combined segments.
He said the German partner had forecast the Stock Exchange of Thailand Index hitting 1,650 points this year. The SET is still attractive to investors worldwide and has an opportunity to surge to between 1,700 and 1,800 points next year, according to Tisco.
With Thailand having a strategic location within Asean, which will continue to grow in the next 10 years, no investor wants to fail to catch this train, he added.
Nilesh Navlakha, Deutsche Bank's head of South East Asian Equities, said the bank intended to expand in Thailand and Asia. The SET is also the top performer in Asia.
The German bank and the Thai securities company have had a cooperative relationship for a number of years, involving research and overseas roadshows for Thai companies.
To Frank Krings, Deutsche Bank's chief country officer for Thailand, the joint venture marks another step in the companies' relationship, which will expand the coverage of services to small and large clients of Deutsche Bank in Thailand.
The venture also shows the bank's commitment to expanding business in the Kingdom and accommodating the Asean Trading Link, he said.
The Asean Trading Link, kicked off last year, is the platform allowing cross-transactions of stocks listed in Thailand, Malaysia and Singapore.