SSC urges stricter compliance and tighter market supervision

SSC urges stricter compliance and tighter market supervision

Amid rising volatility in the stock market, Việt Nam’s top securities regulator has issued urgent instructions to tighten oversight and ensure market stability and investor protection.

The SSC warned against spreading misleading information, making groundless claims about stock prices or promising fixed returns. — Photo baochinhphu.vn

The State Securities Commission of Việt Nam (SSC) has called on all securities firms to follow legal rules strictly and take stronger control over staff conduct and client activities, in response to rising risks in the stock market.

Firms must fully comply with laws on securities trading, including margin lending. The SSC stressed that companies are responsible for managing their staff and licensed professionals. They must not allow any actions that break the law, such as giving unauthorised investment advice or promoting stocks in online groups.

The SSC also warned against spreading misleading information, making groundless claims about stock prices or promising fixed returns. Any agreements to share profits or losses with clients are strictly banned.

Securities companies must also meet all duties as trading members. They need to supervise client transactions, report suspicious activity to the SSC and Vietnam Stock Exchange (VNX), and work closely with other market bodies during inspections.

The SSC said early and accurate reporting of violations is key to protecting market fairness, transparency and stability.

At the same time, the SSC asked VNX, Ho Chi Minh Stock Exchange (HOSE), Hanoi Stock Exchange (HNX) and Vietnam Securities Depository and Clearing Corporation (VSDC) to strengthen market monitoring.

They must detect and report abnormal trades, especially in stocks with sudden price changes compared to the general market or similar industry stocks. Exchanges are also asked to watch for signs of manipulation in the media, on social networks and in online forums.

If unusual trading is found, exchanges must analyse the situation and send reports and suggestions to the SSC. VNX must lead efforts to monitor high-risk accounts, especially those with large volumes or newly opened accounts.

The SSC also told VNX, HOSE, HNX and VSDC to ensure smooth trading, clearing and settlement operations. Stable systems are needed to protect investor confidence and avoid disruptions. 

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