SET to Introduce New Stock Categories on 1 Mar 2027, Clearly Separating Technology Stocks to Support New Economy Listed Companies

Many Thai stock investors have often perceived the Thai stock market as having relatively few "technology stocks" compared to the US or regional markets, where large software, platform, or semiconductor companies dominate. As a result, the image of Thai tech stocks has typically been confined to telecommunications and electronic components businesses.

The Stock Exchange of Thailand (SET) has continuously worked to address this issue by facilitating new economy companies to raise capital. The latest initiative, the BOI to IPO program, aims to attract these companies to list on the Thai stock market.

As new companies gradually enter, the next challenge is to make investors "see" technology stocks more clearly. This leads to a major industry group restructuring effective from 1 March 2027.

New classifications will help investors see technology stocks more distinctly.

Sarawit Krai-irk, Deputy Managing Director and Head of Marketing at the Stock Exchange of Thailand (SET). He stated that technology businesses in the Thai capital market have been growing and evolving rapidly. Originally focused on infrastructure, they have expanded into equipment, software, digital platforms, and AI. However, the old classification system did not clearly reflect this diversity.

The new business classification will help investors better visualize and understand the technology companies listed, enable them to search for and compare Thai stocks with similar companies in leading regional exchanges, and assist analysts in appropriately valuing stocks by benchmarking against comparable businesses.

Additionally, the new classification prepares for companies operating new business models and supports the development of future investment products, such as thematic funds or sector ETFs.

SET has considered feedback from stakeholders in the capital market and ensured alignment with its missions of “Empowering Market Participants” and “Trusted Marketplace,” with plans to periodically review the classification of listed companies in the future.

Focus on the TECH industry index expanding from 2 to 4 categories.

The most notable change is in the Technology (TECH) industry group, which has undergone the most transformation. Previously, it contained only two categories: Electronic Components (ETRON) and Information and Communication Technology (ICT).

Now, it expands to four categories to reflect the primary revenue sources of listed companies:

• Electronic Components (ETRON) for manufacturers, designers, and distributors of electronic components and related products.
• Digital Infrastructure & Telecommunication (DINFRA) for providers of communication infrastructure, network systems, equipment, connectivity, and digital data transmission, processing, or storage services.
• Technology Services & Solutions (TECHSS) for providers of technology hardware and/or software services, including system outsourcing, management, maintenance, and related technical support.
• Technology Products & Digital Platform (TECHDP) for owners of intellectual property in digital products and/or services, electronic software (SaaS), platforms, artificial intelligence (AI), and financial technology (FinTech).

Meanwhile, the Resources industry group (RESOURC) will be renamed Energy & Utilities (ENERGY), divided into two categories:

• Oil, Gas & Fuels (FUEL) for natural energy and fuel businesses, including production, exploration, drilling, refining, distribution, transportation, storage, wholesale, and retail.
• Power & Utilities (POWERUT) for producers and distributors of all forms of electricity, raw and potable water, as well as providers of public utilities. The Mining (MINE) category will be discontinued due to the absence of listed companies in this sector.

Overall, all listed companies on SET and mai will be classified into 8 industry groups and 30 business sectors. It will be interesting to see whether the new structure effective 1 March 2027 will allow Thai investors to see "technology stocks" more clearly, as intended by SET.

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