It is likely that in the first quarter of 2024, many securities companies will record strong profit growth over the same period in the context of widespread stock price increases since the end of 2023 and market liquidity also skyrocketing. , often at the threshold of over billion USD/session.
The ‘big guy’ in securities has been increasing capital to take advantage of historic opportunities
The move to increase the share ownership ratio of Mr. Do Quang Vinh at SHS Securities takes place in the context that the securities industry has many great prospects in 2024, with a high possibility of the Korean technology trading system KRX being included. stock market activities and opportunities were upgraded from marginal to emerging.
Also in this context, many securities companies are stepping up plans to increase capital to anticipate a large round of liquidity in the market, not only expanding investment but also lending on margin.
In the near future, at the shareholder meeting in early April, Vietcap Securities Company (VCI) will present a plan to issue more than 280 million additional shares, bringing its charter capital to exceed VND 7,000 billion. Vietcap also issued employee employee selection program (ESOP) shares, with an estimated revenue of about VND 2,400 billion.
Nhat Viet Securities (VFS) plans to issue an additional 120 million shares to existing shareholders, increasing capital to 2,400 billion VND this year. Guotai Junan Securities will sell more than 69 million shares to existing shareholders to double capital.
Previously, at the end of 2023, giant SSI Securities (SSI) held a meeting with shareholders to approve a plan to issue 453 million shares, increasing the capital scale to nearly 20,000 billion VND.
The market also recorded signals of many other securities companies preparing to increase capital by several hundred billion VND such as: FPTS, ACBS.
Securities companies increase capital scale in the context of the Korean technology trading system KRX may soon be put into trading. This system has been tested many times and is expected to be operational from early May.
The outlook for the stock market is also positive in the context that Vietnam’s economy is still growing at a fairly good rate compared to the region. The real estate market also shows signs of recovering from the bottom. In particular, bank deposit interest rates are at a record low, around 1.7-4%/year and overnight interest rates in the interbank market are still very low, sometimes falling below 1%/year.
The real estate market is not expected to break out and the gold market is too hot,… which may cause cash flow to go to the stock channel.
The issue of upgrading the stock market is also of concern to investors and securities companies. Recently, the Government has shown great efforts in supporting the meeting of conditions to be able to bring Vietnam’s stock market from marginal to emerging. At that time, foreign capital flows are forecast to pour heavily into Vietnam.