Thailand plans clearer rules for people who refer clients to brokers

Unpaid referrals can fall within the proposed definition

The regulator calls these intermediaries introducing broker agents, or IBAs. An IBA refers or solicits clients for a securities or derivatives business but is not one of that firm's investment consultants. Payment is not a prerequisite: the definition is based on the referral activity itself, whether or not the intermediary earns a fee.

Under the proposed arrangements, an agent could provide information about a brokerage, distribute or collect account application forms, check that paperwork is complete and carry out preliminary client screening. The broker would still make decisions that belong to the licensed business.

The SEC's earlier consultation also drew a boundary around core services. It proposed excluding investment advice, the execution of orders, account approval and the handling or custody of client assets from the IBA's duties. A person helping with the application process should therefore not be assumed to have authority to recommend trades or manage money.

For practical context, see Thailand economy and finance. This development also connects with Thailand SEC proposes new capital rules for digital asset firms.

Brokerages would have to vet and supervise their agents

The draft requires firms to assess prospective agents and enter into written agreements with them. It also sets out ongoing monitoring, responses to breaches and reporting to the SEC twice a year. Firms would have to follow relevant standards issued by the Association of Thai Securities Companies (ASCO) where those standards have SEC approval.

Referral fees are another focus. The proposed rules seek transparent, appropriate payments that do not reward unnecessary trading activity. Agents would need to identify the brokerage they represent and tell prospective clients whether that firm pays them. For investors, the disclosure would help reveal a financial connection that might otherwise be mistaken for an independent recommendation.

The consultation ends on 5 November, with no start date announced

On 7 October, the SEC opened comments on the draft notification itself, moving beyond the principles discussed earlier in the year. Stakeholders can respond through the official consultation channels until 5 November 2026. The regulator's announcement did not specify when any final requirements would take effect.

Until rules are adopted, the draft does not create new enforceable disclosure duties. Investors considering an introduction can still ask who employs or pays the referrer and make sure applications and transactions are handled through the brokerage's authorised channels. The proposals concern referrals to securities and derivatives operators; they should not be read as a blanket set of rules for every financial blogger or property agent in Thailand.