INVESTOR CAN OPEN MANY DERIVATIVE TRADING ACCOUNTS
This is one of contents on trading accounts of the investors prescribed at the Circular No. 11/2016/TT-BTC dated January 19, 2016 of the Ministry of Finance guiding for a number of contents of the Government’s Decree No. 42/2015/ND-CP dated May 05, 2015 on derivatives and derivatives market.
In particular, The investor can open many derivative trading accounts provided that the only one (01) trading account is opened at a trading member and open a margin account at the appointed clearing member in corresponding with each trading account in accordance with Article 8 of this Circular. Fund Management Company can open a derivative trading account on its name at the trading member for each entrusting investor.
Besides, the Circular also allows that a securities company, which has obtained certificate of good qualification for self-trading in derivatives and is not a derivative trading member, can open a trading account at the trading member and a margin account at the appointed clearing member to invest in derivatives in accordance with this Circular. A securities company which is established in a foreign country can open one (01) account for conducting self-trading in derivatives and one (01) other account for acting as a derivatives broker for other foreign investors.
A securities trading organization can trade in derivatives after having Certificate of good qualification for derivative trading granted by the State Securities Committee of Vietnam. A Certificate of good qualification for derivative trading shall be granted if securities trading organization must satisfy all conditions; all provisions are set up as prescribed and the organization has not incurred losses within two (02) latest years; at least 220% of working capital ratio has been continuously achieved within twelve (12) latest months ahead of the month of application for Certificate of good qualification for derivative trading; financial statements of the latest financial year have been audited and latest half-year financial statements have been controlled by an accredited auditing organization. The auditor’s opinion on these financial statements must be absolute approval without any exception or note….
This Circular takes effect on July 01, 2016.
