{"id":15619,"date":"2025-01-20T10:00:10","date_gmt":"2025-01-20T03:00:10","guid":{"rendered":"http:\/\/13.250.117.83\/?p=15619"},"modified":"2025-01-21T08:58:35","modified_gmt":"2025-01-21T01:58:35","slug":"new-securities-law-balancing-policy-objectives-with-a-greater-focus-on-risk-management","status":"publish","type":"post","link":"https:\/\/ykvn-law.com\/vi\/new-securities-law-balancing-policy-objectives-with-a-greater-focus-on-risk-management\/","title":{"rendered":"New Securities Law: Balancing policy objectives with a greater focus on risk management"},"content":{"rendered":"<div class=\"wpb-content-wrapper\">[vc_row][vc_column][vc_column_text css=&#8221;.vc_custom_1737111288573{margin-bottom: 0px !important;}&#8221;]\n<h1>New Securities Law: Balancing policy objectives with a greater focus on risk management<\/h1>\n[\/vc_column_text][vc_empty_space height=&#8221;20px&#8221;][vc_column_text css=&#8221;.vc_custom_1737424713338{margin-bottom: 0px !important;}&#8221;]January 20, 2025[\/vc_column_text][\/vc_column][\/vc_row][vc_row][vc_column][vc_single_image image=&#8221;13767&#8243; img_size=&#8221;full&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text css=&#8221;.vc_custom_1722310756622{margin-bottom: 0px !important;}&#8221;]<strong>Highlights<\/strong>[\/vc_column_text][mk_table]\n<table>\n<tbody>\n<tr>\n<td width=\"623\">\n<ul>\n<li style=\"text-align: left;\"><em><strong>The State Securities Commission (SSC) aims to balance market development with risk management and investor protection, working towards upgrading Vietnam&#8217;s status from a \u201cfrontier\u201d to an \u201cemerging\u201d market.<\/strong><\/em><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<tr>\n<td width=\"623\">\n<ul>\n<li style=\"text-align: left;\"><strong><em>Recent amendments to the 2019 Securities Law establish a comprehensive regulatory framework. These changes focus on addressing pre-funding requirements, enhancing disclosure requirements, tightening rules on securities offering with a focus on private placements and increasing accountability for advisors.<\/em><\/strong><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<tr>\n<td width=\"623\">\n<ul>\n<li style=\"text-align: left;\"><em><strong>The Government is currently drafting amendments to Decree 155, the implementing decree for the 2019 Securities Law. The amendments are expected to align Decree 155 with the 2019 Securities Law (as amended). In addition, they aim to clarify and simplify administrative procedures, and enhance corporate governance standards.<\/strong><\/em><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<tr>\n<td width=\"623\">\n<ul>\n<li style=\"text-align: left;\"><em><strong>The new framework prioritizes systemic risk management and retail investor protection, while the market desires a stronger focus on recovery and development. It remains to be seen if measures to encourage foreign investor engagement, such as relaxing foreign ownership limits and allowing FDI companies to list securities and conduct IPOs, will be implemented.<\/strong><\/em><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n[\/mk_table][vc_column_text css=&#8221;.vc_custom_1737342514352{margin-bottom: 0px !important;}&#8221;]As part of the SSC\u2019s efforts to achieve its broader policy objectives to develop Vietnam\u2019s stock markets, as well as to address current challenges in the stock market, Vietnam amended various laws, including the 2019 Securities Law, on November 29, 2024. The amended law took effect on January 1, 2025.\u200b<a href=\"#_ftn1\" name=\"_ftnref1\">[1]<\/a><a href=\"#_ftn3\" name=\"_ftnref3\"><\/a><\/p>\n<p>Vietnam\u2019s securities markets are currently underperforming the ambitious growth targets set for 2030: 120% of GDP for stock market capitalization and 58% of GDP for bond market debt.\u00a0 As of 2023, these figures stood at 63% <a href=\"#_ftn2\">[2]<\/a> and 28% <a href=\"#_ftn3\">[3]<\/a> of GDP, respectively.\u00a0 Several factors contribute to this stagnation.\u00a0 Geopolitical tensions, including the Russia-Ukraine war, U.S.-China trade disputes, and Middle Eastern conflicts, have caused global market volatility and capital outflows from emerging markets like Vietnam.\u00a0 Foreign investors, a critical part of Vietnam\u2019s institutional investor base, have been net sellers since 2023, selling approximately USD 4 billion, including USD 2.6 billion since the beginning of 2024 <a href=\"#_ftn4\">[4]<\/a>.\u00a0 Despite a favorable P\/E ratio compared to other ASEAN countries, the Vietnamese stock market has seen no profit growth in the past two years among several listed companies, further discouraging investors.\u00a0 Liquidity also remains low, with daily trading values significantly lower than larger regional markets <a href=\"#_ftn5\">[5]<\/a>.\u00a0 This is partly due to the dominance of retail investors, who favor short-term trading, and the limited participation of institutional investors, hindering long-term growth and market development.<a href=\"#_ftn3\" name=\"_ftnref3\"><br \/>\n<\/a><\/p>\n<p>The Vietnamese stock market, currently classified as a frontier market by MSCI and FTSE Russell, is actively pursuing an upgrade to emerging market status.\u00a0 The SSC is targeting a FTSE Russell upgrade in 2025, with a potential MSCI upgrade in subsequent years.\u00a0 A significant obstacle to the FTSE Russell upgrade\u2014the pre-funding requirement under the T+2 trading mechanism\u2014was removed on November 2, 2024, through Circular No. 68\/2024\/TT-BTC issued by the Ministry of Finance.\u00a0 This change enhances investor flexibility and addresses a key concern for foreign investors.\u00a0 In addition, disclosures in English will be implemented in phases, beginning in January 2025 for periodic disclosures, and January 2026 for other types of disclosures by listed and large public companies.\u00a0 Other public companies will follow in January 2026 and January 2027 for periodic disclosures and other types of disclosures, respectively.\u00a0 This change is expected to significantly improve transparency and accessibility of information for foreign investors, further boosting the potential for increased foreign capital inflows.\u00a0<a href=\"#_ftn3\" name=\"_ftnref3\"><br \/>\n<\/a><\/p>\n<p>In terms of securities violations, the past two years have been marked by intensified enforcement actions in the stock market.\u00a0 As part of the ongoing anti-corruption campaign, the SSC and other regulatory bodies have ramped up scrutiny, particularly focusing on the real estate, banking, and construction sectors.\u00a0 Several companies, including Van Thinh Phat, FLC Group, and Tan Hoang Minh, were found to have engaged in activities such as manipulating stock prices, providing misleading information to issue securities, and misusing proceeds of offerings.\u00a0 These actions impacted thousands of retail investors, leading to social unrest and public outcry <a href=\"#_ftn6\">[6]<\/a>.\u00a0 While the investigations caused short-term market disruptions, they also contributed to heightened caution among investors and regulators.\u00a0 As a result, the pace of transactions in both the stock and bond markets has slowed, with many deals being deferred.<a href=\"#_ftn3\" name=\"_ftnref3\"><\/a><a href=\"#_ftn3\" name=\"_ftnref3\"><\/a><\/p>\n<p>The SSC has two broad policy objectives: (i) support the development of Vietnam\u2019s capital markets and (ii) create a more stable and transparent environment to manage systemic risks and protect retail investors <a href=\"#_ftn7\">[7]<\/a>. Balancing these policy priorities is challenging amid changing economic and market conditions.\u00a0 Recent actions suggest the SSC prioritizes risk management and investor protection over market development.\u00a0 Due to the lack of class action cases and the generally low sophistication of retail investors in Vietnam, the SSC follows a merit-based approach rather than a disclosure-based one.\u00a0 More restrictive than the disclosure-based system, this approach involves regulators assessing the disclosure adequacy as well as the \u201cmerits\u201d of the securities, evaluating potential returns, risks, and fairness for investors.\u00a0 As a result, the regulators determine the suitability of investments for retail investors, with prescriptive disclosure requirements.\u00a0 The amendments to the 2019 Securities Law and proposed amendments to Decree 155 underscore this approach.<\/p>\n<p><a href=\"#_ftn3\" name=\"_ftnref3\"><\/a><strong>Amendments to the 2019 Securities Law <\/strong><\/p>\n<p>The amendments fall into three categories: tightening rules on securities offerings, with a focus on private placements; increasing accountability for advisors; and codifying securities crimes.<\/p>\n<p><em><u>Tightening Rules on Securities Offerings<\/u><\/em><\/p>\n<p>Public offerings of securities, which require the preparation of prospectuses and registration with the SSC under current regulations, will face stricter scrutiny under the amended law.\u00a0 For initial public offerings of shares, issuers will now be required to include an additional audited report on their contributed charter capital.<a href=\"#_ftn8\" name=\"_ftnref1\">[8]<\/a>\u00a0 Coupled with enhanced accountability of advisors for ensuring the accuracy and reasonableness of audited matters, this change aims to improve the quality and reliability of information provided to investors.\u00a0 It also seeks to prevent issues such as those encountered with FLC Group, where the issuer&#8217;s capital history was grossly overlooked, and the actual paid-up capital was significantly lower than the registered capital disclosed in the IPO prospectus.\u00a0 For public bond offerings, the issuer must submit a contract with a bondholders\u2019 representative (akin to a bond trustee in other jurisdictions) to the SSC for review.<a href=\"#_ftn9\" name=\"_ftnref2\">[9]<\/a>\u00a0 This requirement aligns with the documentation standards already applied to private placement bond dossiers.<\/p>\n<p>Private placements are also subject to stricter scrutiny. \u00a0However, unlike public offerings, private placements are not required to include prospectuses in the registration dossiers with the SSC.\u00a0 Under current regulations, only professional securities investors (PSIs) (akin to \u201caccredited investors\u201d in other jurisdictions) and strategic investors approved by a company\u2019s shareholders may purchase securities through private placements.<a href=\"#_ftn10\" name=\"_ftnref3\">[10]<\/a>\u00a0 Securities issued privately to PSIs are generally subject to a 1-year lock up period, except for transfers of securities among PSIs (i.e., a secondary transfer of securities between a PSI and a non-PSI is subject to the lock up).<a href=\"#_ftn11\" name=\"_ftnref4\">[11]<\/a>\u00a0 PSIs include corporates (including banks, finance companies, insurance companies, investment companies, funds and other corporates) and high net worth individuals.<a href=\"#_ftn12\" name=\"_ftnref5\">[12]<\/a>\u00a0 The amendments to the 2019 Securities Law introduce 2 significant changes:<\/p>\n<ul>\n<li><u>Restrictions on PSI Bond Purchases<\/u>: Only institutional PSIs are permitted to buy and trade privately placed and unlisted bonds.<a href=\"#_ftn13\" name=\"_ftnref6\">[13]<\/a>\u00a0 Individual PSIs may only purchase and trade bonds backed by credit ratings with collateral or bank guarantees.<a href=\"#_ftn14\" name=\"_ftnref7\">[14]<\/a>\u00a0 The distinction between individual and institutional PSIs aims to provide individual investors with additional protection from the higher risks associated with privately placed bonds.<a href=\"#_ftnref1\" name=\"_ftn1\"><\/a><\/li>\n<li><u>Automatic PSI Status for Foreign Investors<\/u>: Any foreign investor\u2014regardless of business type, capital, or operating history\u2014automatically qualifies as a PSI <a href=\"#_ftn15\" name=\"_ftnref1\">[15].<\/a>\u00a0 Consequently, foreign investors are no longer required to undergo the PSI status verification process.<\/li>\n<\/ul>\n<p>The PSI definition and the statutory 1-year lock-up period for private placements remain unchanged under the 2019 Securities Law amendments. An earlier proposal to apply higher PSI qualification standards and extend the lock-up period was ultimately rejected in the face of significant opposition.<\/p>\n<p><em><u>Increasing Accountability for Advisors<\/u><\/em><\/p>\n<p>Securities advisors involved in preparing prospectuses and other registration documents are required to exercise heightened diligence and may face increased civil liabilities (including monetary fines) and criminal liabilities (including imprisonment) for false statements or omissions. For example, the amendments to the 2019 Securities Law impose obligations on securities advisors to ensure the accuracy and reasonableness of the information disclosed in prospectuses and other registration documents <a href=\"#_ftn16\">[16]<\/a>. Penalties for violations include monetary fines and imprisonment.<\/p>\n<p><span style=\"text-decoration: underline;\"><em>Codifying Securities Crimes<\/em><\/span><\/p>\n<p>The amendments incorporate the 2015 Criminal Law provisions on \u201cmarket manipulation\u201d into the 2019 Securities Law <a href=\"#_ftn17\">[17]<\/a>. While not a new concept, this codification establishes a direct link between the prohibition on market manipulation and associated criminal and civil consequences. Thus, this amendment aligns with the SSC\u2019s policy objective of protecting retail investors by embedding deterrence and retribution measures within the law itself, particularly for serious violations, such as the market manipulation case involving FLC Group.<\/p>\n<p><strong>Implementing Decree\u00a0<\/strong><\/p>\n<p>Following the changes to the 2019 Securities Law, the Government has introduced several proposed amendments to Decree 155, the implementing decree for the law. These initial draft amendments are still in the early stages and remain open for public feedback <a href=\"#_ftn18\">[18]<\/a>.<\/p>\n<p>The draft amendments focus on (i) clarifying requirements, conditions, and procedures for public offerings and private placements, adopting a merit-based approach, and (ii) strengthening shareholder protection and improving transparency by raising corporate governance standards.\u00a0 Additionally, the amendments also restrict a company\u2019s ability to freely set a foreign ownership limit that is lower than its statutory limit.<\/p>\n<p><em><u>Requirements, Conditions, and Procedures for Securities Offerings<\/u><\/em><\/p>\n<p>The draft amendments propose several changes to the public offering and private placement procedures and requirements under Decree 155, aiming to streamline these processes and align them with international standards.<\/p>\n<ul>\n<li><u>Parallel IPO and HOSE Listing Procedures<\/u>: The HOSE listing procedure will run parallel with the IPO process, allowing issuers to work with the SSC (for IPO) and HOSE (for listing) simultaneously.<a href=\"#_ftn19\" name=\"_ftnref1\">[19]<\/a>\u00a0 This change aims to shorten the IPO timeline, as the current sequential process delays listing until after IPO approval.\u00a0 The delay between the IPO completion and listing has raised concerns about investor rights due to potential changes in the issuer\u2019s financial conditions during the review period.<\/li>\n<li><u>Restrictions on UPCOM-to-HOSE Upgrades<\/u>: UPCOM-listed companies&#8217; ability to upgrade to HOSE will be restricted.\u00a0 Currently, UPCOM companies can move to HOSE after two years of trading on UPCOM, or earlier through a public offering.<a href=\"#_ftn20\" name=\"_ftnref2\">[20]<\/a>\u00a0 In some cases, this public offering is accomplished by a rights issue to existing shareholders, often as a technical exercise rather than for raising capital.\u00a0 The proposed changes would eliminate this technical pathway, requiring companies to conduct a proper IPO to qualify for HOSE listing.\u00a0 Otherwise, the company must remain on UPCOM for at least two years.<\/li>\n<li><u>Stricter Requirements for Public Bond Offerings<\/u>: Public bond offerings will face stricter requirements, including mandatory credit ratings and new financial thresholds, such as debt-to-equity and bond issue value-to-owner\u2019s equity ratios.<a href=\"#_ftn21\" name=\"_ftnref3\">[21]<\/a><\/li>\n<li><u>Permissible Delegation of Authority to Boards<\/u>: For private placements, the proposed amendments clarify that the general meeting of shareholders can delegate authority to the board of directors to allocate shares to specific investors.<a href=\"#_ftn22\" name=\"_ftnref4\">[22]<\/a>\u00a0 This resolves the ambiguity in current regulations regarding whether such delegation is permitted.<\/li>\n<\/ul>\n<p><em><u>Corporate Governance Standards<\/u><\/em><\/p>\n<p>The proposed changes in corporate governance are intended to provide greater protection to retail shareholders and ensure the transparency of public companies.<\/p>\n<ul>\n<li><u>Limits on Board Memberships<\/u>: Board members of a public company will be restricted to serving on the board of directors or the members\u2019 councils of no more than five other companies.<a href=\"#_ftn23\" name=\"_ftnref5\">[23]<\/a> This change aims to minimize conflicts of interest and ensure that board members dedicate adequate time and attention to their responsibilities.<\/li>\n<li><u>Requirements for Non-Executive Directors<\/u>: The regulations introduce specific requirements for non-executive directors on public company boards, depending on the board&#8217;s size. Smaller boards must have at least one non-executive director, while larger boards require two or three, proportionate to their size. <a href=\"#_ftn24\" name=\"_ftnref6\">[24]<\/a>\u00a0 This measure promotes independent oversight and ensures diverse perspectives on the board.\u00a0 Additionally, independent board members for listed companies will be required to submit reports assessing the board&#8217;s performance.<\/li>\n<li><u>Restrictions on Family Relationships<\/u>: To further strengthen objectivity and prevent conflicts of interest, a company director cannot be a family member of any manager or controller of the company or its parent company.<a href=\"#_ftn25\" name=\"_ftnref7\">[25]<\/a><\/li>\n<\/ul>\n<p><em><u>Foreign Ownership Limit (FOL)<\/u><\/em><\/p>\n<p>Under current regulations, the general meeting of shareholders of a public company can set a lower FOL than the FOL prescribed by law.\u00a0 For example, if the law sets the FOL for a public company at 50%, the general meeting of shareholders can select a lower percentage and register this FOL with the SSC.\u00a0 Under the proposed amendments to Decree 155, only the authorities, such as the SSC, will be authorized to determine a FOL different from that stipulated by law.\u00a0 Public companies will no longer have the discretion to independently set a lower FOL which could impact transfers of shares by between foreign investors and potentially reduce market liquidity.<a href=\"#_ftnref1\" name=\"_ftn1\"><\/a><\/p>\n<p><strong>Conclusions<\/strong><\/p>\n<p>Many in Vietnam are optimistic that FTSE Russell will upgrade the market from frontier to emerging market status in September this year. Additionally, the market is anticipating other positive developments to restore investors\u2019 confidence. However, the amendments to the 2019 Securities Law have been met with mixed reactions. The SSC appears to prioritize systemic risk management and retail investor protection, while the market desires a stronger focus on recovery and development. Policies should encourage investor engagement. Measures like relaxing the FOL, allowing high-quality securities\u2014such as those of FDI companies\u2014to list and conduct IPOs, and shortening regulatory approval timelines would support this goal. A gradual transition from a merit-based system to a disclosure-based one should also be encouraged, as there are alternative ways to mitigate systemic risks and protect retail investors without excessive regulation. In this regard, enforcement is crucial with clear communication that the SSC and other regulators will closely monitor market developments and penalize violations. This approach will ensure that market participants adhere to laws and regulations without reactive legislation driven by public outcry.[\/vc_column_text][vc_empty_space height=&#8221;20px&#8221;][vc_column_text css=&#8221;.vc_custom_1737342698312{margin-bottom: 0px !important;}&#8221;]<a href=\"#_ftnref1\" name=\"_ftn1\">[1]<\/a>\u00a0 \u00a0 Law No. 56\/2024\/QH15 (National Assembly, November 29, 2024) amending and supplementing 2019 Securities Law (\u201cAmended Securities Law\u201d), Article 10.1.<\/p>\n<p><a href=\"#_ftnref2\" name=\"_ftn2\">[2]<\/a>\u00a0 \u00a0 As of 2022, the stock market capitalization as a percentage of GDP for ASEAN countries varies significantly, but for Singapore, Thailand and Malaysia range from 94%-124% of GDP.\u00a0 At its peak in 2021, the stock market capitalization in Vietnam reached 148% of GDP.\u00a0 <u>See<\/u> SSI, Prospects for Upgrading Vietnam\u2019s Stock Market: Striving Towards the Goal, page 2.<\/p>\n<p><a href=\"#_ftnref3\" name=\"_ftn3\">[3]<\/a>\u00a0 \u00a0Corporate bonds issued in Vietnam currently account for only 10-11% of GDP, whereas the average in other Southeast Asian countries currently ranges from 25%-50% of GDP.\u00a0 <u>See<\/u> Hoang Lan, Bonds of Manufacturing and Trading Enterprises Nearly Vanish from the Market, VnEconomy, July 16, 2024, <a href=\"https:\/\/vneconomy.vn\/trai-phieu-doanh-nghiep-san-xuat-va-kinh-doanh-gan-bien-mat-tren-thi-truong.htm#:~:text=Quy%20m%C3%B4%20th%E1%BB%8B%20tr%C6%B0%E1%BB%9Dng%20tr%C3%A1i,Nam%20v%E1%BA%ABn%20c%C3%B2n%20kh%C3%A1%20nh%E1%BB%8F.&amp;text=Trong%20qu%C3%BD%202%2F2024%2C%20gi%C3%A1,so%20v%E1%BB%9Bi%20c%C3%B9ng%20k%E1%BB%B3%202023\">https:\/\/vneconomy.vn\/trai-phieu-doanh-nghiep-san-xuat-va-kinh-doanh-gan-bien-mat-tren-thi-truong.htm#:~:text=Quy%20m%C3%B4%20th%E1%BB%8B%20tr%C6%B0%E1%BB%9Dng%20tr%C3%A1i,Nam%20v%E1%BA%ABn%20c%C3%B2n%20kh%C3%A1%20nh%E1%BB%8F.&amp;text=Trong%20qu%C3%BD%202%2F2024%2C%20gi%C3%A1,so%20v%E1%BB%9Bi%20c%C3%B9ng%20k%E1%BB%B3%202023<\/a>, last access on January 15, 2025.<\/p>\n<p><a href=\"#_ftnref4\" name=\"_ftn4\">[4]<\/a>\u00a0 \u00a0Kieu Trang, Dragon Capital Chairman: Foreign Investors Net Sold $4 Billion Due to Lack of Market Upgrade and New Attractive Factors in Vietnam, VnEconomy, July 19, 2024, <a href=\"https:\/\/vneconomy.vn\/chu-tich-dragon-capital-khoi-ngoai-ban-rong-4-ty-usd-co-phan-do-viet-nam-chua-duoc-nang-hang-khong-co-yeu-to-moi-hap-dan.htm\">https:\/\/vneconomy.vn\/chu-tich-dragon-capital-khoi-ngoai-ban-rong-4-ty-usd-co-phan-do-viet-nam-chua-duoc-nang-hang-khong-co-yeu-to-moi-hap-dan.htm<\/a>, last access on January 15, 2025.<\/p>\n<p><a href=\"#_ftnref5\" name=\"_ftn5\">[5]<\/a>\u00a0 \u00a0 \u00a0SSC, Average Transaction Volume as of August 2024, September 17, 2024, <a href=\"https:\/\/ssc.gov.vn\/webcenter\/portal\/ubck\/pages_r\/m\/thngtinthtrng\/thngkthtrng\">https:\/\/ssc.gov.vn\/webcenter\/portal\/ubck\/pages_r\/m\/thngtinthtrng\/thngkthtrng<\/a>, last access on January 15, 2025.<\/p>\n<p><a href=\"#_ftnref6\" name=\"_ftn6\">[6]<\/a>\u00a0 \u00a0 Kieu Linh, Arrest of Mr. Trinh Van Quyet: Is the Stock Market in Shock?, VnEconomy, March 30, 2023, <a href=\"https:\/\/vneconomy.vn\/bat-ong-trinh-van-quyet-thi-truong-chung-khoan-co-soc.htm\">https:\/\/vneconomy.vn\/bat-ong-trinh-van-quyet-thi-truong-chung-khoan-co-soc.htm<\/a>, last access on January 15, 2025.<\/p>\n<p><a href=\"#_ftnref7\" name=\"_ftn7\">[7]<\/a>\u00a0 \u00a0Ministry of Finance, Report on Assessment of Impact of the Policy in the Proposal to Draft Law Amending and Supplementing a Number of Articles in the Laws under the Management of the Ministry of Finance to Promote Growth, Control Inflation and Stabilize the Macro Economy, August 20, 2024, <a href=\"https:\/\/chinhphu.vn\/du-thao-vbqppl\/ho-so-de-nghi-xay-dung-du-an-luat-sua-doi-bo-sung-mot-so-dieu-cua-luat-chung-khoan-luat-ke-toan-6824\">https:\/\/chinhphu.vn\/du-thao-vbqppl\/ho-so-de-nghi-xay-dung-du-an-luat-sua-doi-bo-sung-mot-so-dieu-cua-luat-chung-khoan-luat-ke-toan-6824<\/a>, last access on January 15, 2025.<\/p>\n<p><a href=\"#_ftnref8\" name=\"_ftn8\">[8]<\/a>\u00a0 \u00a0 Amended Securities Law, Article 18.1(k).<\/p>\n<p><a href=\"#_ftnref9\" name=\"_ftn9\">[9]<\/a>\u00a0 \u00a0\u00a0Amended Securities Law, Article 18.3(i).<\/p>\n<p><a href=\"#_ftnref10\" name=\"_ftn10\">[10]<\/a>\u00a0 \u00a0 Amended Securities Law, Article 31.1(c).<\/p>\n<p><a href=\"#_ftnref11\" name=\"_ftn11\">[11]<\/a>\u00a0 \u00a0 Amended Securities Law, Articles 31.1(c) and 31.2(c).<\/p>\n<p><a href=\"#_ftnref12\" name=\"_ftn12\">[12]<\/a>\u00a0 \u00a0 Amended Securities Law, Articles 11.1, 11.1a and 11.1b.<\/p>\n[<a href=\"#_ftnref13\">13<\/a>]\u00a0 \u00a0 Amended Securities Law, Article 11.1a.<\/p>\n<p><a href=\"#_ftnref14\" name=\"_ftn12\">[14]<\/a>\u00a0 \u00a0 Amended Securities Law, Article 11.1b.<\/p>\n<p><a href=\"#_ftnref15\" name=\"_ftn12\">[15]<\/a>\u00a0 \u00a0 Amended Securities Law, Article 11.1(e).<\/p>\n<p><a href=\"#_ftnref16\" name=\"_ftn12\">[16]<\/a>\u00a0 \u00a0 Amended Securities Law, Article 11a.3.<\/p>\n<p><a href=\"#_ftnref17\" name=\"_ftn12\">[17]<\/a>\u00a0 \u00a0 Amended Securities Law, Article 4.49.<\/p>\n[<a href=\"#_ftnref18\">18<\/a>] The third draft of Decree Amending and Supplementing a Number of Articles of Decree 155, as issued by the Ministry of Justice on December 30, 2024, <a href=\"https:\/\/moj.gov.vn\/qt\/tintuc\/Pages\/chi-dao-dieu-hanh.aspx?ItemID=4699\">https:\/\/moj.gov.vn\/qt\/tintuc\/Pages\/chi-dao-dieu-hanh.aspx?ItemID=4699<\/a> , last access on January 15, 2025 (\u201c<strong>Draft Amended Decree 155<\/strong>\u201d).<\/p>\n[<a href=\"#_ftnref19\">19<\/a>] \u00a0 Draft Amended Decree 155, Article 111a.<\/p>\n[<a href=\"#_ftnref20\">20<\/a>] \u00a0 Draft Amended Decree 155, Article 109.1(b).<\/p>\n[<a href=\"#_ftnref21\">21<\/a>] \u00a0 Draft Amended Decree 155, Articles 19.2, 19.3 and 19.4.<\/p>\n[<a href=\"#_ftnref22\">22<\/a>] \u00a0 Draft Amended Decree 155, Article 43.2(a).<\/p>\n[<a href=\"#_ftnref23\">23<\/a>] \u00a0 Draft Amended Decree 155, Article 275.3.<\/p>\n[<a href=\"#_ftnref24\">24<\/a>] \u00a0 Draft Amended Decree 155, Article 276.2.<\/p>\n[<a href=\"#_ftnref25\">25<\/a>] \u00a0 Draft Amended Decree 155, Article 291.6.<\/p>\n<p><a href=\"#_ftnref12\" name=\"_ftn12\"><\/a><a href=\"#_ftnref12\" name=\"_ftn12\"><\/a><\/p>\n<p><a href=\"#_ftnref12\" name=\"_ftn12\"><\/a>[\/vc_column_text][vc_empty_space height=&#8221;20px&#8221;][vc_column_text css=&#8221;.vc_custom_1728468339657{margin-bottom: 0px !important;}&#8221;]If you have any questions, please contact our lawyers below:[\/vc_column_text][vc_empty_space height=&#8221;20px&#8221;][mk_employees column=&#8221;5&#8243; count=&#8221;-1&#8243; orderby=&#8221;post__in&#8221; employees=&#8221;417, 409, 431, 429, 405, 8025, 9283, 12339, 449&#8243;][mk_divider][vc_column_text css=&#8221;.vc_custom_1660814974666{margin-bottom: 0px !important;}&#8221;]For more information, please contact YKVN Marketing Team:<\/p>\n<p>T: (+84-28) 3 822 3155<br \/>\n<a href=\"mailto:marketing@ykvn-law.com\">marketing@ykvn-law.com<\/a><\/p>\n[\/vc_column_text][\/vc_column][\/vc_row]\n<\/div>","protected":false},"excerpt":{"rendered":"<p>The State Securities Commission (SSC) aims to balance market development with risk management and investor protection, working towards upgrading Vietnam&#8217;s status from a \u201cfrontier\u201d to an \u201cemerging\u201d market.<\/p>\n","protected":false},"author":17,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[96],"tags":[104,106],"class_list":["post-15619","post","type-post","status-publish","format-standard","hentry","category-legal-updates","tag-banking-finance","tag-corporate"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.3.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>New Securities Law: Balancing policy objectives with a greater 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