11:27 | 23/10/2015 Finance - Banking
(VEN) - Securities companies were honored at the recent 2015 Market Members Conference for their active contributions to the development of the securities market.
Awarding the top securities companies on the HNX
Hanoi Stock Exchange (HNX) Management Board Chairman and General Director Tran Van Dung said that the Vietnamese securities market had sometimes faced huge difficulties during the last 10 years since its startup in 2005. The market experienced hot growth in 2010 when it had 102 securities companies on the HNX with total assets of VND107.2 trillion.
After the macro economy experienced a downturn, liquidity on the securities market declined sharply. As a result, many securities companies had no choice but to restructure, merge, dissolve or suspend operations. Several capable companies focused on upgrading their transaction systems, strengthening risk management and internal control to improve the quality of service and ensure their safety. By September 2015, the number of securities companies on the HNX had reduced to about 80 with total assets of VND74.7 trillion, total owner capital of VND41.6 trillion and 1.48 million user accounts.
At the conference participants recognized the rapid developments of HNX members during the 2005-2015 period. The HNX currently comprises of three markets, including the listed share market, the governmental bond market and the unlisted share market (UPCoM) which have together contributed to raising capital for the economy. Securities companies have experienced difficulties and worked with the HNX to develop the markets following close guidance from the State Securities Commission (SSC) and the Ministry of Finance.
SSC Deputy Chairman Pham Hong Son spoke highly of efforts made by the HNX and its member securities companies during the development of the Vietnamese securities market. The HNX and securities companies have played their role in developing the Vietnamese securities market in the last 10 years and are driving towards the target for 2016-2020.
“The SSC will continue improving the legal corridor in the direction of progressively increasing operational standards for securities companies to help the market run in a better and more sustainable manner,” said Pham Hong Son.
To prepare for further development from 2016-2020, the HNX is establishing a derivative market and plans to develop its members. The HNX also underscored the need for securities companies to review and adjust their business strategies in new circumstances, raise initiatives and work together with management agencies to boost the development of the Vietnamese securities market and improve operations of securities companies.