"Vietnam derivatives market is is in the early phase with index futures products, it can be seen that the increase in transaction value. This shows that the potential profit is still great if securities companies can develop and take advantage of this service” - Mr. Nguyen Duc Hoan said.
Potential of Vietnam derivatives market
Mr. Nguyen Duc Hoan – CEO of KB Securities Vietnam (KBSV) said that the potential of the derivatives market in Vietnam is huge in the long term. To get better understand this issue, it is best to look at the booming process of the derivative market in developed and developing countries with a wide variety of products and capital flows attractive level. However, the pace of development will depend on the system connection ability and the deployment of new and diverse products, meeting both the demand of profitability and risk prevention of investors.
In short term, the market movement are forecasted to be more volatile and the risk of higher adjustment will appear. With the unique advantages of not losing time waiting for stock on accounts (T+3) and being able to flexibly invest in lower prices, the derivative market will attract more attention from many investors, including individuals and institutionals.
Mr. Nguyen Duc Hoan - CEO of KBSV
What do securities companies find in the derivatives market?
The CEO of KBSV commented that Vietnamese stock market, although it is in the early phase with index futures products, it can be seen that the increase in transaction value. This shows that the potential profit is still great if securities companies can develop and take advantage of this service, especially when new products are added.
Besides, for securities companies that can deploy derivative products early with good infrastructure and quality of consultancy, it is an advantage to attract more investors to open accounts, not only on derivative transactions but also the market share of the underlying market.
According to Mr.Hoan, KBSV soon realized the importance of derivatives market. Immediately after increasing capital successfully and meeting the requirements of SSC, KBSV has researched and invested to implement and expected to provide derivative transaction services by the end of the second quarter.
*Credit: https://vietstock.vn/2019/05/sep-ctck-noi-gi-ve-tiem-nang-cua-thi-truong-phai-sinh-4186-677395.htm