Thailand Securities & Exchange Commission revises mutual fund fee calculation and disclosure rules effective 1 February 2026

The Thailand Securities & Exchange Commission has revised its requirements for how mutual fund fees are determined and disclosed, aiming to give investors clearer, decision-useful information and to align fees with the services received, while allowing greater flexibility for different service and pricing models. The revised framework takes effect on 1 February 2026. Fees must be set in a clear and fair manner and be appropriate to the services provided, with business operators required to have mechanisms to oversee and review fee structures at least annually and fund supervisors assigned a role in assessing fee appropriateness; the SEC also encouraged the Association of Investment Management Companies to develop SEC-approved guidelines. Performance fees are permitted but must be predetermined and separate from management fees, limited to specified fund types, and calculated using prescribed criteria designed to reflect the asset management company’s investment capability rather than broad market movements, with performance fee charges reported in mutual fund reports. Management fee rules now require maximum fees to remain appropriate relative to base management fees, mandate full justification and disclosure for any increase in actual fees, and require investor notification at least 15 business days in advance; promotional fee reductions must be time-limited to no more than one year. For trailer fees, asset management companies must apply fiduciary duties to avoid unnecessary costs and conflicts of interest and disclose in the prospectus whether trailer fees are paid, their objectives, investor impact and related services, while selling agents must evidence and disclose receipt of trailer fees, explain investors’ post-purchase service rights, implement conflict-prevention measures, and provide ongoing services consistent with the fees received. The SEC consulted on the principles and draft notifications during November to December 2025, with most respondents supporting the proposals; the revised regulations have been published in the Government Gazette ahead of the 1 February 2026 effective date.