Association of Investment Management Companies

"Private fund management," according to the SEC notification, means “the management of funds of a person or group of persons who has authorized the asset management company to acquire benefit from securities, whether or not investment in other assets is also made, which management is conducted as an ordinary course of business, in consideration of a fee or other remuneration.” In other words, private fund management business engages in the management of funds or assets for a person or group of persons who intends to take part in his/their own investment policy. The fund manager then makes investment within the limit and restrictions as agreed upon with the customer. In order to know the customer, the fund manager will request from the customer information on his/their financial position, financial obligations, investment period, investment experience, acceptable level of risk and expected returns, and analyze the information to work out suitable investment policy for the customer. Target groups of private fund business usually are high net worth persons or group of persons who have large investment funds.

• Person means a natural person (individual) or juristic person.


• Group of persons means a group of 2-35 persons. (A group of persons may comprise entirely either natural persons or juristic persons, or a combination of both.)




A private fund is established under an agreement between the customer and the asset management company or the financial institution with private fund management license.  Therefore, a private fund does not have the juristic person status.  Ownership of assets is still held by the customer and the customer’s name is stated as the owner of such assets while the name of the fund manager is also indicated to confirm that the customer’s assets are managed by a asset management company.  As the customer is the asset owner, the nationality of the private fund also varies in line with the nationality of the customer.  In this regard, when a private fund obtains benefits from its securities such as share dividend and capital gains, the customer is subject to tax payment at the same rate as in case of direct investment in such securities.


Private fund business in Thailand was commenced in 1996.  The fund manager must be licensed by the MoF and supervised by the Office of the SEC.  It is also a member of private fund business group of AIMC.  As of June 2, 2008, AIMC has a total of 23 member companies in private fund business group.