Jul 27, 2020 / 23:45

Vietnam finance ministry extends program to support stock market

The Hanoitimes - The reducing and waiver of securities services fees would last until June 30, 2021.

Vietnam’s Ministry of Finance (MoF) has decided to extend the validity period of Circular No.14 that exempts fees for six securities services and lowers the fees for nine others for another 10 months to June 30, 2021 in a move to support traders.

 Vietnam's finance ministry has decided to extend a support program for the stock market.

The free services include registration for listing; securities registration; securities borrowing and lending via the Vietnam Securities Depository (VDS); membership registration for derivatives transaction; registration for clearing participant; and first time online connection.

Meanwhile, nine other securities services are subject to reductions from 10% to 50% of the current fees, including a 10% reduction for transaction fees on the share and derivatives market, securities depository; 15 – 20% reduction for position management fee, management of margin assets on the derivatives market; 30 – 50% reduction for management of covered warrants after listing, information registration, stock transfer, auction and competitive offering.

Circular No.14 was enacted on March 18 and was initially set to take effect until August 31 to help stock investors overcome impacts of the Covid-19 pandemic.

At the close today, Vietnam’s benchmark VN-Index plunged 5.3% to 785.17 as news about the local coronavirus infections in Danang spooked investors. This was the sharpest drop among stock markets globally during Monday’s trading session.