The Situation of Securities Market Supervision in Vietnam

Abstract

In order to ensure the transparency as well as the efficiency and maintain the stability of the securities market, the supervision system needs to be established with the goal of detecting, preventing and handling violations of regulations, laws enacted by the State. In Vietnam, the State manages the securities market and assigns the securities market supervision task to the State Securities Commission (SSC). Over the past time, the SSC has implemented several supervision operations and obtained certain results. However, the monitoring results also showed that the number of violations on the stock market tended to increase, reports on stability and risk identification were not yet or clear. Some reasons come from the limitations of the market surveillance system such as the lack of close coordination between the stock market supervision with banks, insurance, and the supervisory authority cannot develop the overall risk report form. Potential as well as systematic risk, control of different accounts of stock market participants is loosened, supervision focuses on issues with complaints or duplicating supervision that cause many subjects. It is possible to take advantage of the monitoring gap to make violations more sophisticated. The research results provide solutions to complete the supervision system of Vietnam's securities market to achieve the targets set in the coming time.