The Thailand Securities and Exchange Commission has set out proposed supervisory guidelines to strengthen Know Your Customer and Customer Due Diligence standards for securities and derivatives business operators, aiming to improve financial crime prevention, with measures expected to take effect in April 2026. The package would require Enhanced CDD and closer monitoring where a customer’s stated occupation, income source or financial status is inconsistent with observed behaviour or transaction patterns, and would push firms to consider filing Suspicious Transaction Reports with the Anti-Money Laundering Office when reasonable suspicion remains after Enhanced CDD. Ongoing scrutiny and an additional level of review would apply to customers exhibiting unusual behaviour, alongside risk controls such as delaying withdrawals, reducing trading limits or refusing service, including withdrawal delay measures where customers cannot provide supporting evidence of income sources or financial status at onboarding. The SEC also proposes tighter deposit and withdrawal conditions, requiring transactions to be made only through bank accounts in the customer’s own name, prohibiting third-party accounts and cash transactions, and requiring verification of the depositor when cash is paid into a trading account at a bank, with Enhanced CDD, reporting and continued monitoring where the transaction cannot be reasonably explained. Coordination with the Anti-Money Laundering Office is intended to align regulatory direction, and the SEC has consulted with the Association of Thai Securities Companies, the Association of Investment Management Companies and market participants via focus groups. Comments are being sought to refine the guidelines ahead of a formal announcement expected in April 2026.
Thailand Securities & Exchange Commission 2026-04-08
Thailand Securities and Exchange Commission plans April implementation of tougher KYC and customer due diligence requirements for securities and derivatives operators
The Thailand Securities and Exchange Commission has proposed guidelines to strengthen Know Your Customer and Customer Due Diligence standards for securities and derivatives business operators, expected to take effect in April 2026. The package introduces Enhanced Customer Due Diligence, ongoing monitoring and additional review for customers with unusual behaviour, tighter controls on withdrawals and trading limits, restrictions on deposits and withdrawals to bank accounts in the customer’s own name, and closer coordination with the Anti-Money Laundering Office.