ACBS – THE FIRST SECURITIES FIRM ELIGIBLE FOR GENERAL CLEARING MEMBER UNDER THE CCP MECHANISM APPROVED BY SSC

The first securities firm gets approval from the State Securities Commission of Vietnam (SSC), ACB Securities Company (ACBS) has officially been eligible to become general clearing member (GCM) under the Central Counterparty (CCP) mechanism, marking an important step forward in enhancing its operational capabilities and completing its securities services ecosystem. This milestone affirms ACBS’s efforts to meet regulatory requirements for financial capacity, operational safety and operating systems.

The SSC stated that “By establishing financial requirements for members, the CCP will be able to classify and select financially strong companies to become its members.” To become a general clearing member, a securities firm must meet stringent requirements regarding financial capacity, capital adequacy and risk management capabilities. In addition, companies must satisfy requirements relating to securities depository operations, professional personnel, business processes and information technology infrastructure supporting securities clearing and settlement. These are important conditions to ensure the ability to fulfil settlement obligations, maintain stability and mitigate risks in market operations.

The SSC has affirmed that “Requirements for financial capacity, operational capabilities and human resources vary significantly among CCP members, with GCM subject to the highest standards, followed by direct clearing members.” Becoming a GCM under the CCP mechanism demonstrates ACBS’s strong internal capabilities while reaffirming the company’s proactive and pioneering spirit in implementing the policies and orientations set by regulatory authorities.

Regarding the Central Counterparty (CCP) mechanism, following FTSE Russell’s official upgrade of Vietnam’s stock market from Frontier Market to Secondary Emerging Market status, the need to further improve trading, settlement and clearing infrastructure has become increasingly urgent. Under this mechanism, the CCP operator occupies a central position in the clearing process, helping manage the obligations of participating parties and supporting the settlement of transactions in accordance with regulations.

The development of the CCP mechanism contributes to enhancing the safety and efficiency of clearing and settlement activities, while supporting the continued improvement of Vietnam’s stock market infrastructure in line with international practices.