The nation’s two bourses in Ho Chi Minh City and Hanoi will continue to operate independently under a new state-owned company. Ho Chi Minh City Stock Exchange (HoSE) and Hanoi Stock Exchange (HNX) will operate independently under the Vietnam Stock Exchange, which will be set up by the Ministry of Finance by 2020. The new company, to be headquartered in Hanoi, will have a charter capital VND3 trillion ($129 million), on the basis of combining the charter capital of both exchanges.
The Vietnam Stock Exchange will issue regulations on stock listings and trading, monitor the stock market and supervise the two bourses. This new plan indicates that Vietnam has given up on an earlier plan to merge the two exchanges, owing to disagreement over where the combined one would be located.
HoSE accounts for 93 percent of the two main exchanges’ total market capitalization of about $131 billion as of December. It is the main market, where blue chips such as Vietnam’s biggest private conglomerate Vingroup, dairy company Vinamilk and budget carrier Vietjet Air are listed.
HNX, on the other hand, is home to smaller and mid-sized enterprises, bonds and derivatives.