What are the rights of the Vietnam Stock Exchange in Vietnam?
In Vietnam, what are the rights of the Vietnam Stock Exchange? In Vietnam, when does a securities firm get its proprietary trading license? Business operations of the securities investment fund management company.
<subquestion>In Vietnam, what are the rights of the Vietnam Stock Exchange?</subquestion>
Hello Lawnet, I am learning about the new regulations governing securities activities, can I ask what rights do the Vietnam Stock Exchange have under the new regulations?
Answer: Pursuant to Clause 1, Article 46 of the Law on Securities 2019 stipulates that the Vietnam Stock Exchange has the following rights:
a) Issue its regulations on listing and trading securities, disclosing information, regulations on its members and other regulations on organization and operation of the securities market after they are approved by SSC;
b) Organize and operate the securities market;
c) Putting securities under alert, control and restriction in accordance with law and its SSC;
d) Suspend or terminate trading of certain securities in case of abnormal fluctuation in their prices or trading quantity without rectification by their issuers, which result in the securities being put under alert, control or restriction, or in case the suspension or termination is necessary to protect the investors’ the lawful rights and interests and ensure the stability and safety of the securities market;
dd) Approve, change, cancel listing or registration of securities; supervise the fulfillment of conditions for listing of securities of listed organizations;
e) Grant and cancel membership of members of VSE;
g) Provide bidding services; services involving market information and information about listed or registered securities; technological infrastructure development services for the securities market, and other relevant services specified in its Charter;
h) Act as a mediator to settle securities-related disputes at the request of its members;
i) Carry out inspections and take actions against violations committed by its members, listed organizations and registered organizations in accordance with its regulations;
k) Request regulatory authorities to provide information about its members, listed organizations and registered organizations for information disclosure purposes as prescribed by law;
l) Other rights prescribed by law and its charter.
<subquestion>In Vietnam, when does a securities firm get its proprietary trading license?</subquestion>
I am learning about the securities field according to new regulations. I know that the securities company will be able to perform securities operations, including securities trading. However, I heard that in order to conduct securities trading, one must have securities brokerage, is it true?
Answer: Pursuant to Article 72 of the Law on Securities 2019 stipulating operations of securities companies:
1. A securities company shall be licensed to perform one, some or all of the following operations:
a) Securities brokerage;
b) Proprietary trading;
c) Securities underwriting;
d) Securities investment consultancy.
2. A securities company shall only be licensed for proprietary trading when it is licensed for securities brokerage.
3. A securities company shall only be licensed for securities underwriting when it is licensed for proprietary trading.
Therefore, a securities company shall only be licensed for proprietary trading when it is licensed for securities brokerage.
<subquestion>Business operations of the securities investment fund management company.</subquestion>
According to the new regulations on securities activities, what business operations can a securities investment fund management company perform?
Answer: Pursuant to Article 73 of the Law on Securities 2019 stipulating operations of fund management companies:
1. Operations of a fund management company include:
a) Securities investment fund management;
b) Securities investment fund management;
c) Securities investment consultancy.
2. The licensing of the operations mentioned in Clause 1 of this Article shall be included in the securities trading license of the fund management company.
