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Posted in: Securities Regulations
From 1 October 2015, foreign investors investing public companies and listed securities in Vietnam will be subject to a Circular 123/2015 issued in August 2015 replacing Circular 213/2012. The following are some key points of Circular 123/2015:
On 26 June 2015, the Government just issued Decree 60/2015 providing some amendments to the implementing regulations of the Securities Law 2006. Among the amendments, the most notable ones are about changes to foreign ownership limits in a public company in Vietnam. From 1 September 2015, these changes are as follows:
In other markets, a bond trustee acting for the benefits the bondholders is intended to make it easier for numerous bondholders to take collective action against the bond issuer especially in case of default by the bond issuer. In the U.S, a bond trustee is subject to duties under the Trustee Indenture Act of 1939.
In Vietnam, a representative of bondholders (đại diện người sở hữu trái phiếu) is the nearest concept to bond trustee in other markets. However, there are only a few provisions under Vietnamese law about a representative of bondholders:
Decree 42/2015 is an entirely new decree governing “derivative securities” (chứng khoán phái sinh) and will take effect from July 2015. A quick read of Decree 42/2015 seems to indicate that Decree 42/2015 is intended to provide a legal framework for a regulated market for derivatives in Vietnam. In particular, Decree 42/2015 provides detailed requirements for: