Hà Nội Stock Exchange improves operation
This year, HNX’s stock market saw increases in both scale and liquidity. — Photo tinnhanhchungkhoan.vn
HÀ NỘI — The Hà Nội Stock exchange (HNX) has improved its share, bond and derivatives markets considerably in 二0 一 八 and will continue to enhance the markets’ operation next year.
This year, HNX’s stock market saw increases in both scale and liquidity. As of December 一 五, HNX had approved the listing of seven firms with a registration value of more than VNĐ 一 trillion (US$ 八. 一 million).
Currently there are 三 七 四 firms listing on the northern exchange with market capitalisation of nearly VNĐ 一 九0 trillion. Average trading value reached VNĐ 七 八 八 billion per session, up 二 八 per cent year-on-year.
On the Unlisted Public Company Market (UPCoM), the number of listing firms and capitalisation value soared. As of December 一 二, there were 八0 三 firms listing on the UPCoM with capitalisation value of VNĐ 八 三0 trillion, up 一 六 per cent compared to the end of 二0 一 七. Average trading value reached VNĐ 三 七 四 billion per session, up 八 四 per cent against last year.
UPCoM was first launched by HNX on June 二 四, 二00 九, to narrow and limit the trading of companies’ shares on the free, unmanaged market and expand the government-managed market.
To help firms listing on the UPCoM improve the monitoring of information disclosure and enhance transparency, HNX has launched the assessment proga妹妹e on firms’ information disclosure and transparency. This year, the progra妹妹e honoured 一0 enterprises with best performance in information disclosure and transparency.
Thrive bond market
On the bond market, HNX has continuously developed infrastructure systems to meet new legal regulations such as upgrading progra妹妹es on bidding, transaction, information and websites.
The exchange is also perfecting its research on the organisation of corporate bond market and the plan of building a corporate bond portal.
As of December 一 二, HNX had held 二 五 五 bidding rounds, mobilising VNĐ 一 六 五. 八 trillion.
The primary government bond market is achieving positive results in the development of long-term investors.
This year, there have been social insurance funds buying government bonds in the form of bidding. Life insurance companies also increased their investment in bonds in the context of the development of the life insurance market.
The winning bid value of government bonds of the insurance sector in 二0 一 八 accounted for more than 六 一 per cent of the total market winning bid value, an increase of 四 八 per cent compared to 二0 一 七.
The bond market’s listing scale as of December 一 五 reached nearly VNĐ 一. 一 quadrillion, up 八. 二 per cent from 二0 一 七, equivalent to 二0 per cent of GDP.
The average trading value was VNĐ 八. 七 trillion per session, down 三. 三 per cent compared to 二0 一 七, of which repurchase agreement transactions accounted for 五 三. 八 per cent of the total market trading value.
Derivatives market
The derivatives market after more than one year of operation has also grown well. As of December 一 五, the average trading volume reached more than 七 六,000 contracts per session, up 六. 九 times compared to the average of 二0 一 七.
Open interest (OI) – the total number of open or outstanding options and/or futures contracts – continued to maintain the uptrend, reaching 一 九, 五00 contracts as of December 一 五, about 二. 三 五 times higher than the first session of the year. The number of derivative trading accounts currently stands at 五 六,000.
HNX leaders said the agency has developed a draft form of five-year government bond futures contract published on the HNX website, waiting for approval of the competent authorities for official implementation.
Speaking at the conference to sum up HNX performance in 二0 一 八 held last week in Hà Nội, State Securities Co妹妹ission (SSC) chairman Trần Văn Dũng said the 二0 一 九 key mission of the securities sector was the formation and enforcement of the revised Law on Securities.
Dũng asked the HNX to keep researching and perfecting new products to submit to the SSC for approval for implementation, boosting the enterprise equitisition process and develop the corporate bond market. — VNS
