Securities companies have chosen to gear their operation to other businesses such as real estate development, financial services or overseas investment to survive amidst the prolonged gloomy situation.
The President of the Trang An Securities Co Executive Council, Le Ho Khoi, explained the company’s investment of almost 15 percent of a property project as an extra source of incomes from 2012 when it is inaugurated.
Project “Complex Building of services, trade and electronic assembly workshop”, consisting of 15 stories on a compound of over 5,000 square meters, has a total investment of VND200 billion (US$10.2 million). It is mainly invested by the Fortika Joint Stock Co.
Another giant, the An Binh Securities Co, together with two other affiliates of the An Binh holding company, has signed an agreement on strategic cooperation with the Vietnam Aviation Insurance Joint Stock Co (VNI) to develop new financial services.
Some other leading companies in this field have decided to try their chances abroad with a plan to open overseas branches.
The Sacombank Securities Joint Stock Co (SBS) is preparing a plan to enter into a joint venture with the Lao Development Bank (LDB) to set up a securities company in Laos named Lanexang Securities Public Co Limited, or SBS-Laos.
SBS said the establishment of the SBS-Laos, scheduled for the fourth quarter of this year, would offer an opportunity for investors from the two countries and contribute to economic development in both countries, especially Laos, which is making great efforts to open their market.
After reaching its peak of 1,300 points in late 2007, the stock market in Vietnam began the falling trend due to the negative impacts of the global economic crisis and domestic difficulties.
Despite great efforts made by the State Securities Commission, the market has still been painting a dim picture with VN-Index fluctuating between 400 and 450 points. The situation has forced a number of securities companies to gear to other businesses for survival.
Experts remain pessimistic about the market fate, saying there were no signs of taking off for the market in the near future.
