Vayupak Fund set to open for subscription to the public on Sept 16
THB150-bn Type A expected to give stock market a much-needed boost
The Ministry of Finance will open the Vayupak Fund 1 to subscription on September 16, guaranteeing a minimum return.
Ministry permanent secretary Lavaron Sangsnit revealed that the prospectus for the sale of Vayupak Fund 1, Type A, with a total investment value of 150 billion baht would be issued soon. Retail investors can subscribe from September 16-20, while institutional investors can subscribe from September 18-20.
The allotments will be announced on September 23, and the fund will begin investing in the Thai stock market starting October 1. Investment units will be available for trading no later than October 10.
“The Vayupak Fund is expected to positively impact the stock market, with over 150 billion baht flowing into the capital market from October 1,” Lavaron said.
Investors in Vayupak Fund 1, Type A, will receive annual dividends based on the fund's actual returns, but not lower than the minimum return rate and not exceeding the maximum return rate. These details will be outlined in the investment prospectus.
Previously, the ministry had announced that Type A units with an initial investment period of 10 years will be available to the public, and listed on the Stock Exchange of Thailand.
Additionally, there will be mechanisms to protect Type A unit investments, including the right to repayment following a waterfall structure and safeguards if the fund's net asset value falls below a certain threshold.
The Vayupak Fund 1 currently holds net assets exceeding 300 billion baht, an increase of nearly 15% since its transformation in 2013, with the majority invested in listed equities and some in short-term bonds.
“In recent years, the ministry has received over 40 billion baht in dividends from the Vayupak Fund One, which is managed by Krungthai Asset Management Pcl and MFC Asset Management Pcl,” Lavaron said.
