BIDV – 65 years
A typical member of Vietnam’s stock market
O
ver the past 21 years of development, Vietnam's stock market structure has continuously improved, developed strongly to become a considerably large market (compared to GDP) in the region, contributing to developing the national financial system in a more balanced and sustainable direction and gradually becoming an important capital mobilization channel for the economy. The Vietnam Securities Depository (VSD) - one of the market operators, and the Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) - a depository member of VSD, a settlement bank for underlying securities transactions, and a custodian bank for fund services, have also made significant contributions to this development. Since the launch of the Vietnam’s stock market, BIDV has always performed well its role as a depository member as well as a partner working closely with VSD in payment activities for underlying securities transactions, a custodian bank for fund services, ensuring these activities are safe and smooth.
Since the launch of the Vietnam’s stock market, BIDV has always performed well its role as a depository member and a custodian bank.
As a payment bank for the underlying stock market, BIDV is the first bank pioneering in participating in the stock market as a payment bank. Over the past 21 years, BIDV has worked with VSD to make payments for underlying securities transactions in more than 5,000 trading sessions with a total payment value of up to quadrillions of VND in an accurate, safe, and timely manner, ensuring interests for market members. This is a remarkable result as the market's transaction and payment size increases, which is always accompanied by potential insolvency risks as well as the complicated developments of the Covid-19 pandemic, causing difficulties in clearing and settlement activities for both VSD and BIDV. However, with BIDV’s proactive coordination, payment activities for securities transactions in particular and clearing and settlement activities in general have been ensured to be smooth and safe. In the coming time, following the stock market development roadmap as approved by the regulators, BIDV continues to be an important partner of VSD in the implementation of clearing and settlement activities for underlying securities transactions according to the central counterparty (CCP) model, contributing to removing problems in upgrading the Vietnamese stock market as well as developing payment activities for securities transactions according to a more advanced model, approaching international practices. As a depository member, BIDV is one of the banks registering to be VSD's member since the beginning of the stock market with securities depository operations. BIDV's customer base is diverse, including individual investors and various types of institutional investors. In the process of securities depository operations, BIDV always complies with the securities laws and VSD's business regulations. BIDV has also
30
B I D V r e vi e w
