Vietnam: Responsibilities and powers of the State Securities Commission

1. Take charge and cooperate with relevant entities in formulating and submitting legislative documents on market surveillance to competent authorities for promulgation.

2. Issue market surveillance procedures; regulations on cooperation in market surveillance between SSC, Stock Exchange (hereinafter referred to as SE), and Vietnam Securities Depository (hereinafter referred to as VSD).

3. Approve the system of criteria for market surveillance formulated by SE and margin thresholds, position limits for each account of investors, clearing members formulated by VSD.

4. Make and implement annual plans for market surveillance.

5. Supervise trading on the securities market to discover, prevent, and take actions against internal trading, market manipulation, and violations against regulations on securities transactions.

6. Supervise investors if they comply with laws and regulations on securities transactions.

7. Require supervisees to report, represent, and provide information and documents on securities transactions.

8. Give proper warnings against transactions and behaviors showing indicative of violations in a timely manner to prevent supervisees’ violations against law on securities transactions.

9. consolidate reports on surveillance and reports serving surveillance (hereinafter referred to as surveillance reports) of SE, VSD, and exchange members; request SE, VSD, exchange members, and clearing members to coordinate to discover, analyze, evaluate, inspect and take actions in a timely manner as deemed necessary against subjects with respect to irregular trading as per the law.

10. Take charge and cooperate with relevant units in inspecting supervisees prescribed in Clause 2 Article 2 of Circular No. 115/2017/TT-BTC.

11. SSC shall send reports on progress of market surveillance on an annual basis or at the request of the Ministry of Finance.

More details can be found in Circular No. 115/2017/TT-BTC of the Ministry of Finance of Vietnam, which takes effect from December 08, 2017.

- Nguyen Trinh -

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE