The Vietnam State Securities Commission reported on a Ministry of Finance conference in Ho Chi Minh City on the role of the fund industry in developing Vietnam’s securities market and attracting foreign portfolio investment. The meeting centred on the Ministry’s project to restructure the investor base and develop securities investment funds, alongside a set of supervisory and rulemaking priorities for the Commission. In opening remarks, the Finance Minister noted that Vietnam has 43 fund management companies managing more than VND 800 trillion in assets, over seven times the 2014 level and growing by around 20% per year on average. He linked the policy agenda to FTSE Russell’s 8 October upgrade of Vietnam’s equity market from frontier to secondary emerging market, and asked the Commission to accelerate work to support the upgrade, update implementing rules for securities investment funds and voluntary pension funds, coordinate on expanding hedging products for foreign investors, strengthen supervision, inspections and enforcement, and step up investor education for non-professional retail investors. Market participants were also encouraged to contribute to drafting legal documents and to develop shared professional ethics standards for the industry.

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