Vietnam Securities Depository and Standard Chartered sign MoU

September 24, 2012 | 17:32
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To promote the growth of Vietnam’s financial services industry especially the funds services business, Vietnam Securities Depository (VSD) and Standard Chartered Bank (Vietnam) Limited today signed an MOU to set-up and provide transfer agency services for the open-ended funds in Vietnam.

Today, at the office of Ministry of Finance, Ms. Phuong Hoang Lan Huong – Chief Executive Officer of Vietnam Securities Depository and Mr. Louis Taylor - General Director of Standard Chartered Bank (Vietnam) Ltd., signed a Memorandum of Understanding. The ceremony was witnessed by The Lord Mayor of the City of London, Alderman David Wootton, Vietnam Minister of Finance Vuong Dinh Hue and H.E. Dr Antony Stokes, Ambassador.

Retail Transfer Agency is the product offerings to support open-ended funds, both at retail investor level and at distributor level. The offerings include (i) the maintenance of a register of investors, (ii) the establishment and management of their trading accounts, (iii) the processing of subscriptions, redemptions, switchings, and transfers of fund certificates, (iv) the support for corporate actions and (v) the provision of trade confirmations, account statements, and other related documents and reporting requirements.

At the ceremony, Phuong Hoang Lan Huong, chief executive officer of Vietnam Securities Depository said: “This MoU states general principles of the cooperation between VSD and Standard Chartered Bank (Vietnam), including technical assistance from the banker to VSD in developing infrastructure of transfer agency service for open-ended funds following international practices and the co-ordination between the trustee bank and transfer agents in providing services for this kind of product, laying foundation for diversification of the young fund management industry in Vietnam”.
“Both Vietnam Securities Depository and Standard Chartered Bank (Vietnam) are interested in the sustainable development of Vietnam’s fund management industry and this partnership will help strengthen the offering for the open-ended funds. This will help in the formation of a pool of long term domestic capital that can invest in the development of the Vietnamese economy.  We see it as another example in Vietnam of Standard Chartered fulfilling our brand promise, to be Here for good,” Louis Taylor, general director of Standard Chartered Bank (Vietnam) Ltd. said.

The MOU entails SCBVL, through its international experience and product expertise, providing advisory and technical assistance to VSD for a Retail Transfer Agency. This agreement supports the direction of the Ministry of Finance to allow the establishment of open-ended funds in Vietnam as per Circular 183/2011/TT-BTC dated 16/12/2011.

The partnership marks a milestone in the relationship between the two organizations. In the meantime it supports the sustainable and long-term growth of open-ended funds in Vietnam. The signing ceremony is a testament for the strong relationship between United Kingdom and Vietnam, according to Financial Cooperative Program between Ministry of Finance of Vietnam and the City of London (UK) in 2012 and following the spirit of the Strategic Partnership Agreement signed by the two countries in 2010.

By Hoang Anh

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