About to publish proprietary data of securities companies

The Securities and Exchange Commission will announce proprietary trading information and adjust the final settlement price of VN30 futures contract to stabilize the market after plunging sessions.

The State Securities Commission together with Vietnam Stock Exchange (VNX) have just had a meeting with HoSE, HNX, Securities Depository Center (VSD) and 23 securities companies to find solutions to stabilize the market. stocks, after a series of recent declines.

Management agencies and market members are of the same opinion, Vietnam market’s decline mainly comes from the downward trend of the world market and a number of domestic reasons. To support the market, the Securities Commission proposed and approved by the Ministry of Finance a number of short-term solutions.

Accordingly, the Committee will assign VNX to direct HNX and HoSE to issue warnings and request listed companies to disclose information when stocks show signs of increasing or decreasing at ceiling or floor prices from 5-10 sessions. At the same time, the regulator said it would disclose information about the securities company’s proprietary trading transactions.

Previously, from the beginning of March, information on the trading of securities companies’ proprietary trading department, one of the indicators of investment trends in the market, was stopped.

Proprietary trading is an activity where a securities company acts as an investor in the market. The net buying or selling of this group is noticed by the market because it reflects the change of short-term expectations, which has a great impact on supply – demand.

This information is provided by Exchanges but is not made public to investors but is sold in separate service packages to data service providers. Investors access this information by purchasing accounts from providers.

According to a representative of HoSE, at that time, stopping providing proprietary trading information “doesn’t affect the issue of information disclosure” because it only provided service packages for some customers. The Department also said that this suspension is to serve the review and development of new products.

VN-Index dropped sharply from the beginning of April, falling to the lowest level in more than 1 year. Image: Trading View

Along with that, in order to limit the possibility of impact from the derivatives market, the Committee approved for VSD to issue regulations on margin, clearing and settlement of derivative securities. In which, a new point is to adjust the final settlement price of the VN30 index futures contract.

The final settlement price will be the simple arithmetic average of VN30-Index in the last 30 minutes of the expiration date, including 15 minutes of continuous order matching and 15 minutes of periodic closing, after having been closed. excluding the three highest index values ​​and the three lowest index values ​​of the continuous matching session. According to the previous regulations, the settlement price only takes the value of VN30 index at the closing periodic order matching session.

Talking more about the market recently, the leader of the Securities Commission said that in the context of market volatility, the regulator is giving special priority to many short-term solutions to stabilize the market.

The management agency also said that it will continue to closely monitor developments in the economic – political situation, policy moves of countries around the world, assess the impact and influence on the Vietnamese market in order to promptly take action. appropriate solutions to ensure a stable and transparent market development.

Minh Son


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