VNDIRECT Processes Payments for Two Non-Prefunding Transactions

On October 8th, VNDIRECT Securities Corporation reported a case of a foreign institutional investor (FII) failing to settle payment within the stipulated timeframe.

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Specifically, foreign investors placed orders on October 7 for two stock codes: 66,300 shares of MWG, valued at over VND 5.2 billion, and 362,900 shares of MBB, valued at over VND 9.8 billion. The total transaction value exceeded VND 15 billion, but payment was not completed. As a result, the entire payment obligation was transferred to VNDIRECT.

Under the new regulations outlined in Circular 68 issued by the Ministry of Finance, effective from November 2, 2024, foreign investors are no longer required to have sufficient funds before placing stock purchase orders (Non-prefunding). If a foreign investor fails to settle the payment post-transaction, the payment responsibility falls on the securities company where the order was placed. Both parties must agree on the required amount when placing stock purchase orders to ensure transparency and financial security.

VNDIRECT settled two stock purchase transactions for foreign investors

Source: VNDIRECT

Non-prefunding is a critical factor that enabled Vietnam’s stock market to enter the Secondary Emerging Market category under FTSE Russell’s classification. This achievement was highlighted by a senior executive from the rating organization.

David Sol, Global Policy Director at FTSE Russell, emphasized three key factors during an interview following the upgrade. These include the implementation of the Non-prefunding model, which streamlines stock trading; improved mechanisms for handling failed transactions, enhancing transparency and stability; and a significantly simplified account opening process for foreign investors.

Huy Khải

– 10:02 PM, October 9, 2025

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