Market size at HNX continues to grow

VCN - As the Covid-19 pandemic has adverse impacts on the economy, the stock market has continued to grow, becoming a prominent highlight in the financial picture in 2021 in Vietnam. In which, the trading markets at the Hanoi Stock Exchange (HNX) operated safely, stably and smoothly, while the market size and transaction size have continued to grow.
Stock market still showing an uptrend in the near future Stock market still showing an uptrend in the near future
HNX successful with model “One exchange with three markets” HNX successful with model “One exchange with three markets”
Derivatives help reduce Derivatives help reduce "shocks" in the stock market
The trading markets at HNX are operated safely, stably and smoothly in 2021.
The trading markets at HNX are operated safely, stably and smoothly in 2021.


Average stock trading value rose by 330%

As of December 15, 2021, HNX has reviewed, approved and registered for securities trading for 23 codes, including six stock codes and 17 corporate bonds in accordance with the New Securities Law. Forty-three stock codes were approved for new trading registration.

In addition, HNX implemented mandatory delisting for 15 securities codes (14 stock codes and one bond code), and voluntary delisting for two stock codes, and cancelled trading registration for 70 stock codes.

HNX also approved 66 applications for additional listing valued more than VND17,438 billion at par value and 83 applications for changes of transaction registration valued at VND13,425 billion at par value.

As of December 15, 2021, the HNX has 346 enterprises with a listed value of more than VND128.67 trillion and market capitalization of more than VND488.9 trillion.

Despite a decrease of 28 listed companies compared to the previous period, the listing size and liquidity of the market still increased compared to the previous year, of which the listed value increased by 10.2%, and the market capitalization rose by 130%, the general stock price index HNX-Index rose by 123.85% compared to the end 2020.

The trading volume was approximately 150 million shares/session, the average trading value was more than VND3,136 billion/session, up 147% in volume and 335% in value over the previous year. The listed markets in 2021 have 17 stocks transferred from HoSE from March 2021 to early August 2021.

For the UPCoM market, as of December 15, 2021, 889 businesses registered for transactions with a registered par value of VND393,900 billion and capitalization of more than VND1,411 trillion, up 41% compared to the end 2022.

The UPCoM Index on December 15, 2021 rose 50.56% to 112.09 compared to the end of 2020. The average liquidity reached 97.28 million shares/session, the trading value reached VND1,671 billion/session, up 237% in volume and 298% in trading value compared to 2020.

Especially, in the trading session on November 19, the transaction value of UPCoM hit VND5,065 billion, the highest level ever in a trading session.

As for the share auction, as of December 15, 2021, the Hanoi Stock Exchange has successfully organized nine auctions, including four sessions for equitization of SOEs and three sessions for divestment.

Government bond market effective capital mobilization for state budget

Together with the listed markets and UPCoM, the bond market develops stably and effectively mobilizing capital for the state budget.

As of December 15, 2021, the HNX held 213 auctions of Government bonds, guaranteed Government bonds with total offering value of VND449,124 billion and called VND332,467 billion, up 2.9% year-on-year.

In the domestic market, as of November 20, 2021, 288 enterprises successfully issued 756 private placements valued more than VND458,153 billion, rising 35.38% year-on-year.

In the foreign market, there were four successful issuances of corporate bonds with issued value of US$1,425 million, up 7.7 times compared to 2020.

On the secondary market, as of December 15, 2021, the scale of listed Government bonds and Government-guaranteed bonds on the HNX rose 11.91% to VND1, 498,650 billion year-on-year. Average trading value session rose 11.46% year-on-year to VND11,232 billion.

According to HNX, over the past year, the derivatives market continued to see a strong growth with various products.

In which, the VN30 index futures contracts had a strong increase in liquidity and set new records with an average trading volume of 191,677 contracts/session (up 21% compared to the average in 2020). The Open Interest still maintains an uptrend. The trading volume hit a peak of 403,266 contracts on July 12, 2021, and the Open Interest reached the highest level of 61,090 contracts on January 14, 2021.

The 10-year government bond futures contract product was officially launched on June 28, 2021, contributing to the diversification of trading products on the market. The total volume traded in 2021 was 1,172 contracts; the highest Open Interest was up to 149 contracts.

In 2021, the derivatives market will continue to attract domestic and foreign investors. As of November 30, 2021, the market recorded 641,341 accounts.

By Hoai Anh/ Huyen Trang

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