Illustrative photo (Source: vietnambiz.vv)Hanoi (VNA) – With less than a monthleft until derivatives products will be available for trading in the Vietnamsecurities market, institutional investors seem highly interested in the newproducts, according to vtv.vn.
The first two derivatives products that willbecome tradable in May are the index future contract and future bond contract.
Derivatives products have become popular inother advanced markets and the products are expected to help the country drawmore foreign investment.
But in the domestic market, these are new andhighly risky products. Therefore, individual investors will need time to getused to them, and institutional investors are expected to create thefundamental foundation for the development of this market in Vietnam.
Those products will reduce the risks in theprice of stocks included in their long-term investment portfolios.
The first two derivatives products that willbecome tradable in May are the index future contract and future bond contract.
Derivatives products have become popular inother advanced markets and the products are expected to help the country drawmore foreign investment.
But in the domestic market, these are new andhighly risky products. Therefore, individual investors will need time to getused to them, and institutional investors are expected to create thefundamental foundation for the development of this market in Vietnam.
Those products will reduce the risks in theprice of stocks included in their long-term investment portfolios.
Vuong Tuan Duong, executive director atVinaCapital, said that the derivatives products would help attract more foreigninvestors to Vietnam’s securities market, increase the total market tradingliquidity and raise the market valuation.
According to the institutional research andadvisory division at Saigon Securities Inc (SSI), foreign investors in otherfinancial centres like Hong Kong and Singapore are highly interested in Vietnam’sderivatives market as they are now able to invest in one index that representsthe whole securities market instead of going through the two foreignexchange-traded funds (ETFs).-VNA
According to the institutional research andadvisory division at Saigon Securities Inc (SSI), foreign investors in otherfinancial centres like Hong Kong and Singapore are highly interested in Vietnam’sderivatives market as they are now able to invest in one index that representsthe whole securities market instead of going through the two foreignexchange-traded funds (ETFs).-VNA
VNA
