In Vietnam, what are duties, entitlements and responsibilities of Securities Depository and Clearing Corporation?

Nội dung chính

• What are duties, entitlements and responsibilities of Vietnam Securities Depository and Clearing Corporation?
• What is the minimum charter capital of proprietaries in Vietnam?
• What are regulations on application for permission for establishment of an overseas representative office of a securities company?

What are duties, entitlements and responsibilities of Vietnam Securities Depository and Clearing Corporation?

What are duties, entitlements and responsibilities of Vietnam Securities Depository and Clearing Corporation (VSDCC) regarding registration of security interests?

Answer:

Pursuant to Article 173 of the Decree 155/2020/NĐ-CP stpulating duties, entitlements and responsibilities of Vietnam Securities Depository and Clearing Corporation as follows: 

1. Provide instructions and organize the registration of security interests for securities that are collectively registered at VSDCC in accordance with this Decree and relevant legislative documents.

2. Develop an electronic database about security interest registration at VSDCC; provide instructions on use and access of information on the online security interest registration system at VSDCC.

3. Provide instructions on freezing and unfreezing securities registered as security interests.

4. Provide information about securities with security interests at the request of organizations, individuals and competent authorities.

5. Transmit data about registration of security interests with securities that are collectively registered at VSDCC to the Ministry of Justice for update and synchronization with the database about guarantee with movable property (except airplanes and ships)

6. VSDCC shall collect charges for registration of security interests in accordance with pricing regulations of the Ministry of Finance.

7. Submit annual reports to the Ministry of Justice on registration of security interests with securities that are registered at VSDCC.

What is the minimum charter capital of proprietaries in Vietnam?

I would like to know some information about the minimum charter capital of proprietaries in Vietnam

Answer: 

Pursuant to Clause 1b, Article 175 of the Decree 155/2020/NĐ-CP stipulating as follows:

1. Minimum charter capital for securities business operations of securities companies in Vietnam:

a) Securities brokerage: 25 billion VND;

b) Proprietary trading: 50 billion VND;

c) Securities underwriting: 165 billion VND;

d) Securities investment counseling: 10 billion VND.

As regulations above, the minimum charter capital of proprietaries in Vietnam is 50 billion VND.

What are regulations on application for permission for establishment of an overseas representative office of a securities company?

I would like to know some information about the minimum charter capital of proprietaries in Vietnam application for permission for establishment, shutdown of an overseas branch, subsidiary company, representative office of a securities company.

Answer: 

Pursuant to Article 196 of the Decree 155/2020/NĐ-CP stipulating regulations on application as follows: 

1. The application form No. 74 or 75 in the Appendix hereof.

2. The resolution of the GMS, Board of Members or the company’s owner on approval for the establishment or shutdown of the overseas branch, subsidiary company or representative office, which contain the estimated capital, sources of capital, partners to the establishment of the subsidiary company (if any), contents and scope of operation, business plan in case of establishment; contract settlement plan in case of shutdown.

Best regards!