The Moral Center together with ChangeFusion has organized a conference on Socially Responsible Investment (SRI) as part of the activities launched at the National Moral Assembly at Impact Muang Thong Thani on 30th August, 2009. The event kicked off with an opening speech by Mr. Vasant Thienhom, Senior Assistant Secretary-General of the Securities and Exchange Commission, who highlighted the increasing importance of investor’s role to bring about an ethical capital market in Thailand.

The speech was followed by a penal discussion under the topic: Road Map for Socially Responsible Investment (SRI) in Thai capital market and strategies on responsible investment.

The session was joined by speakers from various backgrounds including;

1. Mr. Chaiyuth Chamnanlertkid, Executive Director Industry Development Center, the Stock Exchange of Thailand

2. Dr. Somjin Sornpaisarn, President, TMB Asset Management Limited (TMBAM)

3. Mr. Sansern Nilrath, President, Thai Investors Association

4. Ms. Venus Asawasithitaworn, Communication Manager, SCG Group

5. Mr. Wuthichai Sithipridanan, Communication Manager, EGCO Group

Moderator: Sunit Shrestha, Managing Director, ChangeFusion

The discussion aimed to stimulate the exchange of ideas and opinions from different parts of the capital market as well as allow the audience to participate in the discussion. The topics discussed during the session include: general introduction to Socially Responsible Investment in local context, roles of the Stock Exchange of Thailand and Securities and Exchange Commission in promoting and establishing necessary infrastructures to support the growth of SRI. Roles of individual or retail investors and their shareholder’s activism. Listed company social and environmental disclosure policy particularly on the sustainability report. Inclusion criteria of different sustainability indexes in the global market. Speakers from listed firms also emphasized the activities companies engage in their corporate social responsibility scheme. Moreover, obstacles limiting the potential growth of the SRI in Thailand were being highlighted during the session.

At the end of the session, all the participants from Securities and Exchange Commission, Stock Exchange of Thailand, Institutional and retail investors as well as the listed companies have pledged together to provide any support needed for the successful development of socially responsible investment in Thai capital market. The declaration was made public on the following day at the National Moral Assembly.

Declaration on ethical capital market

Regulator and the stock exchange

1. Securities and Exchange Commission and the Stock Exchange of Thailand as well as different associations and the academics will co-operate to develop a common social and environmental disclosure guideline for listed companies. This guideline will ensure the systematic sustainability reporting framework which will be comparable to globally acceptable standards while make it suitable for Thai companies. Moreover, we aim to promote corporate social responsibility (CSR) with emphasis on sustainability and measurable outcome among the listed companies, this will, in turns, translate into valuable inputs for responsible investors when making their investment decision. And lastly, this will provide a foundation for future development of SRI index or SRI fund.
 

Investors

2. Thai Investors Associations as well as Association of Asset Management Companies will promote SRI investment among their investors. Both the institutional investors and retail investors are encouraged to take into considerations social and environmental impacts of the companies before investing in them. This is based on the strong belief that responsible investment yield greater benefit in a long run and considered to be more sustainable for the shareholders and investors.

Listed companies

3. Listed companies will continue to operate in a socially and environmentally responsible manner with good governance that based on sustainability principles. The companies will disclose information on their social and environmental impact in their sustainability reports which follow the guideline provided by the Securities and Exchange Commission and Stock Exchange of Thailand.

All parties

4. All parties including the SEC, SET, institutional and retail investors as well as the listed firms on the market will co-operate to promote and support social responsible investment in Thailand’s capital market in order to encourage business sectors to give back to the society as well as operate their business in a more sustainable manner.