Kasikorn Asset Management launches K-ESGBF-ThaiESG to invest in bonds and debentures.

Kasikorn Asset Management (KAsset) reinforces its position as Thailand's leading sustainable investment provider, under the concept of "Insight to Impact." The company has launched a new ThaiESG fund, "K-ESGBF-ThaiESG," focusing on investing in investment-grade bonds and debentures for sustainability, along with strategies for portfolio adjustments to suit market conditions.

Mr. Thanandon Cholitkul, Deputy Managing Director, Investment Management Department, Kasikorn Asset Management Co., Ltd. Although Thailand's interest rate cut may be delayed from earlier projections, amid global volatility, a weakening economic outlook, low inflation, and a continued slowdown in credit, accommodative monetary policy is necessary to support the economy. Consequently, Thailand's policy interest rate remains in a downward spiral.

Therefore, investing in high-quality bonds remains an attractive investment. Kasikorn Asset Management reaffirms its position as Thailand's No. 1 sustainable investing leader under the concept of "Insight to Impact" by adding more options for investors through the new ThaiESG fund called The K-ESGBF-ThaiESG Sustainable Bond Fund will open its initial public offering (IPO) from November 11-18, 2568.

Mr. Thanandon further stated that Kasikorn Asset Management (KAsset) currently maintains its market share in the ESG Fund and SRI Fund categories, ranking first in Thailand, with total assets under management (AUM) exceeding 40 billion baht. The ThaiESG Kasikorn Fund also boasts the highest AUM in the industry, with over 10 billion baht (source: Morningstar as of October 31, 2025).

This is for new funds. K-ESGBF-ThaiESG The company has a policy of diversifying its investments through bonds and debentures that are environmental conservation instruments (Green Bond) and/or sustainability instruments, with the opportunity to generate additional returns from credit spreads through investment in debentures in a proportion of 30-70%, with the flexibility to increase or decrease the duration in line with market conditions.

By combining investments in both sustainability bonds with a duration of more than 7 years and sustainability bonds with a duration of less than 7 years, the fund balances returns and effectively controls volatility and risk. Furthermore, it emphasizes the fundamental investment philosophy of the asset management company in selecting rigorous bond investments to ensure asset quality for the fund's portfolio.

“Investment in debt instruments will also benefit from the prospect of interest rate cuts in the future. Kasikorn Asset Management Co., Ltd. estimates that the Monetary Policy Committee (MPC) has the opportunity to cut the policy interest rate one or two more times in the next 12 months, as the Thai economy faces challenges from uncertainties from both internal and external factors. In addition, the increase in interest rates

Recent Thai bond yields have significantly increased the valuation of Thai debt instruments, as evidenced by the recent return of foreign investors to Thai debt instruments. Kasikorn Asset Management expects the 10-year Thai government bond yield to fluctuate between 1.40% and 1.80% over the next 6-12 months. The K-ESGBF-ThaiESG Fund has the opportunity to benefit from a combination of bonds and sustainability bonds, which supports the potential for stable returns over the medium to long term, particularly in a declining interest rate environment that favors debt investment. Mr. Thanandon said

Read all news related to funds - investments here.