Who are the members of the Vietnam Stock Exchange?

Who are the members of the Vietnam Stock Exchange? (Internet image)

Regarding this issue, LawNet responded as follows:

1. What is Vietnam Stock Exchange?

According to Clause 1, Article 43 of the Law on Securities 2019, Vietnam Stock Exchange (VSE) is an enterprise that is established and operated in accordance with the Law on Securities 2019, the Law on Enterprises 2020. Over 50% of charter capital or voting shares of VSE shall be held by the State.

2. Who are the members of the Vietnam Stock Exchange?

Members of VSE include:

- Securities companies recognized as trading members by VSE;

- Commercial banks, FBBs and other organizations recognized as special trading members by VSE.

(Clause 1, Article 47 of the Law on Securities 2019)

3. Rights and obligations of members of the Stock Exchange of Vietnam

3.1. Rights of members of the Vietnam Stock Exchange

Specifically, in Clause 2, Article 47 of the Law on Securities 2019, members of VSE have the rights to:

- Use the securities trading system and services provided by Stock Exchange and its subsidiaries;

- Receive market information from VSE and its subsidiaries;

- Request VSE to act as a mediator to settle their securities-related disputes;

- Raise issues relevant to securities trading by VSE and its subsidiaries;

- Other rights prescribed by law and the charter of VSE.

3.2. Obligations of members of the Vietnam Stock Exchange

Members of VSE have the obligations to:

- Have their securities trading and information disclosure supervised by VSE and its subsidiaries in accordance with regulations of VSE;

- Disclose information in accordance regulations of law and VSE;

- Assist other members in trading at the request of VSE and its subsidiaries where necessary;

- Other rights prescribed by law and the charter of VSE.

(Clause 3, Article 47 of the Law on Securities 2019)

4. Cases of suspension of members from transaction of the Vietnam Stock Exchange

According to Clause 1, Article 105 of Decree 155/2020/ND-CP, the Stock Exchange shall suspend some or all transactions of a member in the following cases:

- The member is suspended from securities brokerage or proprietary trading; suspended from securities depository, clearing, payment for securities transactions;

- The member fails to eliminate the causes for being put under control or special control as prescribed by law;

- The conditions specified in Clause 2 Article 97, Article 99 of this Decree are not satisfied by the deadline imposed by the Stock Exchange;

- The member is permitted by SSC to suspend securities brokerage or proprietary trading;

- The certificate of clearing membership is revoked without a contract for clearing, payment authorization with the general exchange member (if the exchange member is a clearing member);

- There is no contract or unexpired contract for clearing, payment authorization with the general exchange member (if the exchange member is a non-clearing member);

- Other cases specified in the regulations of the Stock Exchange.

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