VIETNAM STOCK
MARKET
STUDENT NAME: TRAN MINH HUONG
STUDENT ID: MA0N0213
Introduction
• VST was launched on July 28th 2000
• Including 2 center
▫ Hanoi Securities Trading Center (HASTC) : VN-INDEX
▫ Ho Chi Minh City Stock Trading Centre (HSTC): HNXINDEX
Organisation and operation
• •The State Securities Commission (SSC) SSC is the
highest executive body belonging to the government
responsible for supervising the securities market.
• Ho Chi Minh Stock Exchange (HOSE):organizing,
operating and regulating securities trading activities
• Hanoi Securities Trading Center (HASTC): same
function with HOSE but location in Hanoi
• Vietnam Securities Depository (VSD): increase the
market performance in general, and the clearing and
settlement system in particular
• •Securities Companies: organized in the form of limited
liability companies or shareholdingcompanies
Listing Requirements
• •Legality: Applicants must be a shareholding
company, Joint Stock Company.
• •Capital adequacy: a charter capital amount of no less
than 80 billion VND. ~ four million us dollar
• •Profitability: a positive after-tax profit for the last
two consecutive years prior to the time of application
• •Capital structure: At least twenty percent of the
equity of a company must be held by at least one
hundred shareholders
VNI-INDEX (2003-2012)
• 1. Giai đoạn 2000-2005:
• The period 2000-2005 marked the start-up of
the securities market. At that time, have only 2
company join stock market. The securities
market remained small in The highest index in
this period only 300 and lowest 130
• 2. Giai đoạn 2006 : Securities trading companies
and securities investors rose significantly in
number in this period. From 02 company of last
period, in 2006 have 80-100 listed company.
Highest Index is 800
• 3. Giai đoạn 2007: (phenomenal growth)
• Highest index 1170 points
However, end of 2007 , facing bad implications
of the global economic recession
VNIndex drop around 900 point. Stock
transactions was decreased with limited volume.
• 4. Giai đoạn 2008: Because influence of global
economic recession, VSM get big drop and
VNindex in this period around 400
• many already-listed companies canceled plans to
issue additional shares
• 5. 2009 – nay :
• in the first months of 2009 to the deepest low in
the last four years, reaching 235.50
• The stock market has recovered with the
Government’s demand stimulus package. VNIndex increase 14%.
• Until now, The VN Index has increased
continuously and stable development
Number of securities company
Securities company
120
100
80
60
40
20
0
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Number of listed company
Number of listed company
600
500
400
300
200
100
0
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Foreign investors
• Foreign investors can buy or sell shares
securities companies.
• Each investor can not hold more than 10%
• Foreign investors can hold maximum 49%
• Foreign investors are required to register
through a licensed custodian who holds
securities on behalf
• Trading currency : Vietnam Dong (VND)
• End 2011, have 567 foreign investors account