VAFI proposes changing HOSE leaders
VAFI proposes changing HOSE leaders
The Vietnam Association of Financial Investors (VAFI) has proposed the Ministry of Finance change the leaders of the Hochiminh Stock Exchange (HOSE) and committed to seeking experienced foreigners to help address the trading system overload frequently facing the southern bourse.
A man monitors stock prices. The Vietnam Association of Financial Investors has proposed the Ministry of Finance change the leaders of the Hochiminh Stock Exchange (HOSE) – PHOTO: TNO
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The stock market has been affected for three months due to an order placing overload, the association said, adding that the problem was a result of the poor management and administration by the HOSE leaders.
The project to build a new trading system which was deployed in 2012 has yet to be completed, said the association.
As such, VAFI presented three solutions to handle HOSE’s system error and improve the operations of the Vietnamese stock market, including employing foreign staff with experience in managing stock exchanges to lead HOSE.
The second solution is not appointing the leaders of the State Securities Commission of Vietnam or some agencies under the Ministry of Finance for key positions at HOSE as State administrative governance is different from business administration.
The association also proposed equitizing the Vietnam Exchange and the Securities Depository Corporation, allowing foreign stock exchanges to become strategic shareholders who will be in charge of transferring technology and training staff.
A few days ago, HOSE proposed a plan to raise the minimum volume of shares that can be traded in an order from 100 to 1,000 to address its trading system overload, but faced strong objection from investors. As such, the plan was rejected by the Ministry of Finance at a meeting on March 9, the local media reported.
