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Thailand’s SEC is looking to introduce simplified KYC requirements for low-risk investment products.

As recently reported by Regulation Asia, Thailand’s SEC (Securities and Exchange Commission) has launched a public consultation on a proposal to simplify the KYC process for new investors in low-risk capital market products.

At the moment, strict KYC rules apply to all types of investors, regardless of the amount or risk level of the investment, often resulting in unnecessary delays.

Now, the regulator is proposing to introduce simplified KYC requirements for low-risk investment products (e.g. local money market funds with daily redemption) with a total investment limit of THB 50,000 per account (around €1,350 or USD1,600).

Under the proposal (open to public consultation until 18 September 2020), individuals looking to invest in low-risk products would only need to provide information from their ID cards, which would be used for a series of data checks. According to the SEC, the new approach is expected to speed up investment account opening while improving the overall customer experience.

The current proposal comes after the introduction of new AML and KYC rules in Thailand in Q4 2019, following the country’s initial failure to meet international AML/CFT standards.

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Last updated on May 9th, 2023 at 08:57 pm

Claus Christensen

Claus Christensen is the CEO & Co-Founder of Know Your Customer. His vast array of previous experiences includes founding a technology company that develops email server infrastructure products for 60,000+ global customers and serving as VP Electronics at Thielert Aircraft Engines. A regular contributor to leading industry publications and a recognised expert in the anti-money laundering and financial regulation space, Claus is also the host of the RegTalks podcast and a senior lecturer of the Centre for Finance, Technology and Entrepreneurship (CFTE)’s RegTech Course.