FACTORS AFFECTING THE SET HD INDEX

Abstract

The Stock Exchange of Thailand (SET) has set the SET HD index to reflect the movement of share price. High liquidity trading. The stock is in the SET100 index, and most importantly, the payout rate is consistently high.

This study aimed at identifying factors affecting high dividend stock Index.1) by using minimum loan rate(MLR) , 2) Monthly Retail Value (IND) 3) Monthly Average Baht to/USD exchange rate (EXCH), 4) Dividend yield (DIVIDEND YIELD) and 5) Consumer Price Index (CPI)

Monthly secondary data from July 2011 - November 2017, all together 77 data sets are included in the analysis.

The study found that factors related to the SET HD Index were average monthly exchange rate of the Thai Baht against the US dollar (EXCH)  and DIVIDEND_YIELD factors are  statistically significant affect the price of SET HD index at the 5% level and they are correlated in the opposite direction. But. 1) the monthly average MLR 2) monthly average retail price (IND) and 3) Consumer Price Index (CPI) are statistically insignificant correlate to. SET HD index at 5% level

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