Thailand’s Securities and Exchange Commission (SEC) has proposed stricter regulations for margin loans to enhance risk management among securities firms and reduce market volatility. The changes aim to address issues like payment defaults, bad debts, and forced sales of collateral, which have undermined market confidence. Key measures include higher initial margin rates for newly listed shares, stricter lending criteria tied to a firm’s financial capacity, and limits on loans to individual customers. Collateral concentration thresholds and enhanced monitoring of customer trading behaviour are also proposed. Investment units will be excluded as eligible collateral, and loans will be restricted to securities trading purposes. The SEC said these measures aim to strengthen the resilience of securities firms and safeguard investor confidence.