Nearly VND5,800 billion traded in the private corporate bond market

The Hanoi Stock Exchange (HNX) said that after 1 month of operation, the private corporate bond trading system at HNX has been operating safely and smoothly, with technical issues ensured. The market size continues to grow and bond liquidity is maintained.

Illustration photo: VNA

At the opening time, the market had 19 individual corporate bond codes registered for trading. Up to now, HNX has received and put into trading 12 new individual corporate bond codes. Currently, the number of bond codes being traded on the HNX trading system is 31 bond codes of 5 enterprises including: Vietnam Joint Stock Commercial Bank for Investment and Development ( BIDV ), Vietnam Joint Stock Commercial Bank for Foreign Trade (Vietcombank), VINFAST Production and Trading Joint Stock Company, Industrial and Transport Development Investment Joint Stock Company and Phan Vu Investment Joint Stock Company; in which, Vietcombank has the largest registered trading volume, reaching 7,240 billion VND with 15 bond codes.

Regarding liquidity, by the end of the trading session on August 18, 2023, the total bond trading volume in the whole market reached 23,328,110 bonds, equivalent to a trading value of VND 5,764.9 billion.

On average, the trading volume reached 1 million bonds/session, the trading value reached 250.6 billion VND/session; in which, the bond with the highest trading value was Vietcombank bond with 3,412.707 billion VND, followed by BIDV bond with a trading value of 1,831.655 billion VND.

Up to now, domestic investors' transactions account for 100% of transactions in the market.

The system of individual corporate bond trading members currently has 8 member securities companies. Up to now, there are 15 member securities companies and 1 commercial bank completing the procedures to participate in the individual corporate bond market.

The private corporate bond market was officially launched and put into operation from July 19, 2023. It can be said that after 1 month of putting private corporate bonds into centralized trading on the private corporate bond trading system at HNX, private corporate bond trading activities have been gradually improved in the direction of increasing transparency and limiting risks for investors in private corporate bond trading. Thereby, contributing to promoting liquidity for the market, at the same time, the primary market will have information and reference conditions for development, creating conditions for issuing enterprises to raise capital.

According to statistics from the corporate bond information website, in June 2023, there were 16 private corporate bond issuances with an issuance value of VND 7,625 billion, and in July, there were 32 issuances with an issuance value of VND 28,750 billion. From the beginning of August 2023 to now, there have been 18 private corporate bond issuances with an issuance value of VND 29,839 billion.

Pursuant to Clause 3, Article 3 of Decree No. 65/2022/ND-CP of the Government: Amending and supplementing a number of articles of Decree No. 153/2020/ND-CP dated December 31, 2020 regulating the offering and trading of individual corporate bonds in the domestic market and the offering of corporate bonds to the international market, after the individual corporate bond trading system comes into operation, all privately issued bonds must be put into centralized trading on the individual corporate bond trading system issued individually at the stock exchange within 3 months from the official operation of the individual corporate bond registration, depository and trading system.

HNX believes that after individual corporate bonds of these enterprises are put into centralized trading on the individual corporate bond trading system, it will contribute to improving the distribution of corporate bonds, limiting widespread offering and violations of regulations.

According to VNA

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