Securities companies announce new credit limits
Securities companies announce new credit limits
A number of securities companies have announced proposals to open credit lines at banks to supplement working capital.
An investor watches share prices on a screen at Saigon Securities Inc. — VNA/VNS Photo Tran Viet |
VNDIRECT Securities Joint Stock Company has recently announced the opening of a maximum credit line of VND10 trillion (US$424 million) at Vietcombank.
On June 27, DNSE Securities Company also announced the decision to open a credit line of VND2 trillion at VPBank. SSI on June 22 announced the opening of a credit line of VND16 trillion at Vietinbank, including VND6 trillion at the Thanh An Branch and VND10 trillion at the Ha Noi Branch of the bank.
HSC on June 19 also simultaneously issued three resolutions on lines of credit at three banks, namely VietinBank, Vietcombank and Maritime Bank (MSB). The total credit value of the three banks reached VND11 trillion.
Thus in less than a fortnight, the above securities companies requested banks to grant a total credit amount of VND39 trillion (US$1.65 billion). The purpose includes serving investment and trading in stocks, Government bonds, and certificates of deposit, as well as carrying out business activities.
This trend is likely to continue as the market beginning to see an uptrend, said Bui Van Huy, Branch Manager of DSC Securities Company. It is likely that in the coming days there will be many other firms announcing that they are opening lines of credit with banks.
With the current abundant cash flow, margins will be chosen more by investors. The current margin usage is at its highest level since the beginning of the year.
