Application for registration as a trading member submitted by a securities company in Vietnam

According to the Decree No. 158/2020/NĐ-CP of the Vietnam’s Government, when applying for registration as a trading member on the Stock Exchange (SE), a securities company is required to meet the following requirements:

- It has been licensed to provide derivative brokerage;

- It has met the requirements laid down by SE pertaining to information technology infrastructure and operational procedures for derivative trading;

- It has entered into a clearing and settlement entrustment contract with a general clearing member if it registers as a non-clearing member.

Thus, an application for registration as a trading member submitted by a securities company consists of:

- The application form made using Form No. 06 in the Appendix enclosed with the Decree No. 158/2020/NĐ-CP;

- Certificate of eligibility to trade derivatives issued by the State Securities Commission of Vietnam (SSC);

- The description of the applicant’s information technology infrastructure and operational procedure as prescribed by SE;

- The clearing and settlement entrustment contract signed with a general clearing member in case of registration as a non-clearing member.

Note: A full set of original application documents is required. If a copy of document is submitted, it must be a copy extracted from master register or a certified copy. The application shall be submitted to SE directly or by post.

Besides, within 07 business days from the receipt of the application:

- If the application is adequate and valid, SE shall request the applicant in writing to develop material facilities and install systems and software programs for transmitting and receiving trading data, testing trading system and performing other preparations for trading;

- If the application is inadequate or invalid, SE shall request the applicant in writing to revise it.

More details at the Decree No. 158/2020/NĐ-CP of the Vietnam’s Government, effective from January 01, 2021.

Ty Na

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