Is a commercial bank a special trading member of Vietnam Stock Exchange?
- Is a commercial bank a special trading member of Vietnam Stock Exchange?
- What conditions must be met to become a special trading member of the Vietnam Stock Exchange?
- Procedures for registration of special trading members?
- Can a commercial bank receive information about the securities trading market after becoming a special trading member?
Is a commercial bank a special trading member of Vietnam Stock Exchange?
Pursuant to the provisions of Article 47 of the 2019 Law on Securities in Vietnam on members of Vietnam Stock Exchange:
Members of Vietnam Stock Exchange (VSE)
1. Members of VSE include:
a) Securities companies recognized as trading members by VSE;
b) Commercial banks, FBBs and other organizations recognized as special trading members by VSE.
2. Members of VSE have the rights to:
a) Use the securities trading system and services provided by Stock Exchange and its subsidiaries;
b) Receive market information from VSE and its subsidiaries;
c) Request VSE to act as a mediator to settle their securities-related disputes;
d) Raise issues relevant to securities trading by VSE and its subsidiaries;
dd) Other rights prescribed by law and the charter of VSE.
3. Members of VSE have the obligations to:
a) Have their securities trading and information disclosure supervised by VSE and its subsidiaries in accordance with regulations of VSE;
b) Disclose information in accordance regulations of law and VSE;
c) Assist other members in trading at the request of VSE and its subsidiaries where necessary;
d) Other rights prescribed by law and the charter of VSE.
4. The Government shall specify the requirements, documents and procedures for becoming a member of VSE.
Thus, a commercial bank is a special trading member of Vietnam Stock Exchange and is subject to the supervision of Vietnam Stock Exchange.
Is a commercial bank a special trading member of Vietnam Stock Exchange?
What conditions must be met to become a special trading member of the Vietnam Stock Exchange?
Pursuant to the provisions of Article 99 of Decree No. 155/2020/ND-CP on the conditions for becoming a special trading member of the Vietnam Stock Exchange
- In order to become a special trading member, an applicant shall:
+ Be a commercial bank or FBB that has a contributed or provided charter capital not lower than the legal capital and is not put under special control as prescribed by regulations of law on credit institutions;
+ Be a depository member or open an account directly at VSDCC;
+ Fulfill the requirements in terms of information technology infrastructure, professional processes and personnel under regulations of the Stock Exchange.
Procedures for registration of special trading members?
Pursuant to Article 101 of Decree No. 155/2020/ND-CP stipulating the procedures for registration of special trading members as follows:
- Within 03 working days from the receipt of the satisfactory application, the Stock Exchange shall send a document requesting the application to complete the infrastructure, setup the system and connect software programs for data transmission and transaction test.
- Within 05 working days from the day on which the applicant fulfills the infrastructure requirements as inspected by the Stock Exchange, the applicant shall sign service contracts with the Stock Exchange and register an official trading date.
- Within 03 working days from the day on which the applicant fulfills the conditions specified as above, the Stock Exchange shall issue a decision to grant the membership and announce this on its information disclosure medium.
Can a commercial bank receive information about the securities trading market after becoming a special trading member?
Pursuant to Clause 2, Article 47 of the 2019 Law on Securities in Vietnam, the rights of special trading members are as follows:
Member of Vietnam Stock Exchange (VSE)
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2. Members of VSE have the rights to:
a) Use the securities trading system and services provided by Stock Exchange and its subsidiaries;
b) Receive market information from VSE and its subsidiaries;
c) Request VSE to act as a mediator to settle their securities-related disputes;
d) Raise issues relevant to securities trading by VSE and its subsidiaries;
dd) Other rights prescribed by law and the charter of VSE.
Thus, when a commercial bank becomes a special trading member, it will receive information about the securities trading market from Vietnam Stock Exchange and its subsidiaries in accordance with the above provisions.
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