IT HAS been about two months since Singapore Depository Receipts (SDRs) on three Thailand-listed companies commenced trading on the Singapore Exchange (SGX). Local trading volume has been modest so far, but this is perhaps to be expected, given that it is still early days and spreading investor awareness here takes time.

Whatever the case, it is important that the authorities press ahead with their plans to introduce more foreign-listed SDRs from around the region, in order to broaden the range of available stocks to local investors.

In the case of the Thai SDRs, each represents beneficial interest in the underlying non-voting depository receipt (NVDR) on shares of a company listed on the Stock Exchange of Thailand (SET).