On August 19, 2015, the Ministry of Finance issued Circular 123/2015/TT-BTC providing guidance on foreign investment activities on Vietnam’s securities market. Specificly:
- Guidelines on the investment form of foreign investors on the securities market consisting of the following forms: Direct or authorized representatives or organizations; capital investments, purchase, sale, swap shares; Indirect investments in the form of authorization;
- Guidelines on the registration of securities trading code before making the investment: specifies the required documents and registration procedures with the Vietnam Securities Depository. According to the new regulation, the registered documents of securities trading code shall not need to be legalized and only need to be notarized or authenticated; English documents shall also be not translated into Vietnamese. Period of issuing securities transaction code shall be reduced to 01 day.
- If the foreign organizations which meet the conditions specified in Clause 21 and Clause 24, Article 1 of Decree 60/2015/ND-CP want to own 51% or more of the charter capital of the securities business organizations, they shall deal with the securities business organisations which they want to own, and send the dossiers for approving to the State Security Commission of Vietnam.
This Circular shall be effective from October 1, 2015.
